Juniper Research: Half a Million People Will Use Mobile Money Transfer Services by 2014
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Research and analysis firm Juniper Research (News - Alert) recently revealed a study showing that global consumer demand for money transfer services will significantly increase and cross the 500 million threshold by 2014.
This proliferation of mobile money transfer services will be mainly in developing countries, the firm’s research finds. Details of this analysis have been outlined in its latest report, “Mobile Money Transfer & Remittances: Markets, Forecasts & Strategies 2009-2014.” The report further purports that several new mobile money services which are in the pipeline will counter political, regulatory and commercial obstacles before their services can be distributed in the market.
In a release, Howard Wilcox, senior analyst at Juniper Research and lead author of the report, said “Every country has different regulatory structures, and its own set of local market conditions that service operators need to plan around. Nonetheless, we see this as a growth market because of the ubiquity and convenience of mobiles which offer realistic prospects of financial service access for those without traditional banking services.”
The banking sector has very low penetration in developing countries -- as very few people hold bank accounts and credit cards. In contrast a bigger cross-section of the population possesses or has access to a mobile phone. Juniper suggests that many more people might use a mobile phone for banking in these penetration economies.
Juniper Research further suggests that more advanced mobile financial services like loans and savings accounts can further enhance the appeal of mobile money services. This will also contribute to bringing down service provider churn. Juniper also predicts that Africa & Middle East, Far East & China and the Indian Sub Continent will witness major growth in mobile money transfer service sector by 2014.
The report, “Mobile Money Transfer & Remittances,” details an extensive six year extrapolation for all important market variables including users, transactions and values for national and international transfers and cutting edge mobile financial services. The report can be downloaded for free from the Juniper website.
Edited by Patrick Barnard