Will One Money knock out Ecocash?
It is reported that the highest increase registered active mobile money subscriptions on One Wallet was 30.1% with a Market share of mobile money subscriptions of 0.4% according to Potraz’ Q2-2017 with active mobile subscribers at 13,137. Although Netone came third this quarter, the company is coming up with a lot of solutions to get on top of the ladder.
Recently Netone launched its ONE Money on which the company believe that it will be a real icebreaker, using a Kenyan mobile money transfer platform, M-Pesa (M for mobile, Pesa is Swahili for money), an innovative mobile payment solution that enables customers to complete simple financial transactions including person to person money transfer using their phones using USSD.
In Kenya, M-Pesa has 19 million active customers and it is doing well there, which might also bring an increase at Netone on using this platform since its being said to be the best on the market so far. So is Netone trying to steal Ecocash customers not to create new ones because as it stands Netone is late into the game? They will not knock Ecocash subscribers, at 6 million are 117% of all economically active mobile money subscribers Zimbabweans.
Ecocash revenue growth is beginning to plateau as shown in Potraz’ Q2-2017 report and Econet’s 2017 annual report. Netone is entering a mature market with the Lion roaring in the jungle.
We think Netone is late for the show unless they have other strategies to gain more market share in Zimbabwe, it just leaves a lot to be desired.