M-commerce is Taking off in Namibia

I just love how connected Namibia is becoming digitally. I mean, can our president's Twitter and Facebook pages get verified already? Ok, fine, I'll have a bite on that topic in future. 

Today I scribble on FNB's e-wallet, mobi-pay and Ebank.

Namibia is soo moving in the right direction. Turtle pace? Definitely but this probably has the potential to be the single most significant innovation. The establishment of the above-mentioned mobile payment platforms in Namibia has provided solutions for people without bank accounts.

Ebank, which is linked to the first lady, has a unique approach, targeting Engen Service Stations, and in doing so, they are hitting potential target audiences such as cab drivers. However, Engen Service Station isn't the bank's only affiliate; Agra, Woerman n Brock, Cymot and Spar accept deposits and payout on Ebank transactions. 

Mobipay is the first company that lured MTC into the mobile payment market. MTC, the telecommunications company, had 2.2 million prepaid mobile subscriptions by December 2013 (according to CRAN 2014 market report). The partnership has resulted in MTC Money, a payment solution that allows MTC subscribers to conduct money transfers, make withdrawals, and deposit money. The service also allows for buying airtime, payment for utility bills and POS payments at any MTC Mobile home, and transferring funds between people, as long as they have a mobile number. 

However, in my humble opinion, I believe FNB's eWallet is the sweetest slice of the pie sowaar. This USSD option allows customers to send money to anyone with a valid Namibian cellphone number. The money is transferred instantly and can be used to withdraw cash from FNB ATM'S, buy prepaid airtime and send money to another cellphone.

All 3 players provide really delicious services. We will hopefully only find out whether the market is reacting to them in the 2015 Market report.

In 2011, Google launched a phone to replace credit card transactions. 4 years later, this has become a reality in Namibia for the past year thanks to mobile phone technology and innovative nation-building partnerships. The local consumer is fed with options that could mean that banks will have to be innovative in retaining and engaging new customers, FINALLY!

How MTC is Hurting Namibia's Non-existent Digital Marketing Industry

It's a fact, online marketing works. It works in Saudi Arabia, and it works in America. It works in South Africa and Australia. It works in any country where consumers are active online, and brands are willing to be strategic and creative. 

If you compare our digital marketing landscape to more advanced countries, Namibia is undoubtedly arriving late to the party. Still, we have been invited to the party, and that’s all that matters. However, the dominant telecommunications provider in Namibia can do more than what it is currently offering. 

Comparing MTC and TN Mobile to other mobile operators from 12 African countries covered by Research ICT Africa shows that both are among the top 5 operators in average download and upload speeds. This clearly indicates that there is massive traffic on MTC and TN Mobile’s networks.

More people have migrated online. Brands should capitalise on this trend and speak to a larger pool of people and reinforce an online marketing campaign, but this isn’t happening, and I partially blame MTC. They have the most significant market share, so big it is safe to call it a monopoly. However, the services provided are not helping create a recognisable digital marketing industry in the Land of the Brave.

Not only are consumers online, but their activities online are evolving as well. Concurrently, their expectations of brands are growing too. Gone are the days when all Namibians did online was check their email and visit Facebook. These days, Namibians want more efficiency from their online interactions. They use the internet more often, for more extended periods and for a more comprehensive array of activities. They are consuming content, interacting with their social networks and searching for information. More importantly, they are beginning to make purchases online. 

The Namibian digital market is no different from any other country in Africa. Factors always to be considered include;

·         The Internet landscape

·         The Internet population’s online activities

·         The brands

·         The strategies

This piece mainly dealt with the internet landscape in Namibia. For the best overview of the Namibian digital landscape, I refer to the Communications Regulatory Authority of Namibia Market report for 2014.

By 2013, Namibia’s population stood at 2.303 million people. Between July and December 2013, MTC had 788 015 active mobile broadband subscriptions, yet you can randomly ask anyone about MTC's internet services, and you will hear nothing but complaints from slow download and internet speeds to expensive data.

Comparing prices for 1GB prepaid user basket valid for at least 30 days data across 12 African countries shows that Namibia’s prices are very high. On this comparison, Namibia offers the fifth-highest value for money, significantly outperformed by Kenya, South Africa, Nigeria, and Tanzania. For our population, MTC should be offering the Namibian consumer better. The Namibian market should be spoiled with lustrous packages to increase online activity (from brands) to brew a digital marketing industry so that forward-thinking brands capitalise 

Industry service providers have confirmed that the increased demand for data/internet services has been enhanced by increased access through mobile phones.

Will MTC up its services to allow brands to tap into the online community?