1. Orange Money Branchless banking: progress & potential for new business models
Aurore NOUMAZALAY – Orange Money
European Microfinance Week Luxembourg, Nov 3rd 2011

2. Orange Money is launched in 8 countries, with already more than 2
Orange Money is launched in 8 countries, with already more than 2.8 million customers
Cameroon
launched in May 2010
Mali
Launched in September 2011
Senegal
Launched in June 2010
Launched in June 2010
Niger
Kenya
Ivory Coast
Launched in Oct 2010
Launched in Dec 2008
+ 1 million customers
Madagascar
Orange Money is the Orange branded mobile money product designed exclusively for emerging countries with low banking penetration
Available in 8 countries.
It is a must have products for all our AMEA affiliates and will be launched in all our footprint by end of 2012 (except regulatory issues or exceptional situations like political turmoil ….)
Launched in Sept 2010
Botswana
Launched in August 2011
Orange Money countries
Orange AMEA footprint

3. … and innovative merchants accepting Orange money as a mean of payment
Orange Money launched in partnership with leading banks on African Market …
Partnership to issue electronic money and to apply compliance framework
Partnership to distribute Orange Money services across the bank & MFI distribution channels
… and innovative merchants accepting Orange money as a mean of payment
Orange Money used to pay for Orange bills, electricity bills, TV programs, school fees ….
Orange’s initial strategy has been to team with banks
BNP Paribas if they have a subsidiary
NIGELEC

4. Link with account at financial Institution (bank, MFI)
Orange Money’s basic value proposition is to transfer, pay & buy with the mobile
Need to hold an Orange line to open a wallet
Compatible with all mobile handsets
Account open free with no minimum amount
basics
money in
money out
access
Orange Money Account
Salary
disbursement
Merchant
Payment
National
Money Transfer
Link with account at financial
Institution (bank, MFI)
Bill
Payment
Airtime Top up
Most common usages today: secure money in the wallet & top up mobile.
Banked users influence penetration among unbanked populations (transfer, salary payment …)
Reaching the BOP is a challenge: need to adapt regulatory environment, improve product design, extend agent network & built new business models (KYC, user interfaces, cash out points …)
Services available at agents: cash in, cash out
On line account management: balance enquiry, mini statement
access

5. Our ambition is to attract the unbanked and deliver financial services on top of Orange Money
Orange Money is the primary “financial account”
+ money transfer services
+ mean of payment at acceptance network
transfers
payments
account
Bank/MFI provides financial services for OM customers
= interest bearing account
+ lower interest rates
savings
credits
Insurance company provides micro-assurance for OM customers
= health ….
insurance

6. Get additional revenues as MNO cash agents
MFI have been traditionally considered as users of Orange money platform or cash managers in the agent network
INTEREST FOR MFI
Improve service to existing customers through the MNO mobile banking platform
Get additional revenues as MNO cash agents
MFI integrates technically to MNO’s platform to offer mobile based loan disbursements, repayments and saving deposits to customers
Orange provides mobile based money transfer to unbanked & payment acceptance network
MFI branches are part of the MNO agent network and ensure cash liquidity for agents/customers
MFI pays fee to MNO
MFI optimizes internal processes costs
MFI receives commission from MNO
MFI’S
ROLE
BENEFITS FOR MFI

7. Extend business portfolio leveraging MNO customer base
MFI should reinforce financial capacity and ultimately gain new customers through extended partnerships with Orange
MFI brings
MFI gets
High volumes of cash from MNO & improves credit portfolio capacity
Collects information on users savings & financial behaviors
Reaches new customer segments for credit
Banking/MF license
B2B2C product design solutions for MNO to help them offer savings on interest bearing accounts
Extend business portfolio leveraging MNO customer base
SAVINGS
Banking/MF license
Designs credit products for qualified customers
CREDITS
Orange brings Brand, capacity to manage large scale technical, distribution networks & marketing programs

8. Orange Madagascar: innovating with saving & micro-insurance
SAVINGS - Orange Madagascar has launched a first live test in October
Value proposition:
Customers earn interest on their Orange Money account
Opt out service
Interests are paid on a monthly basis
4 to 6% depending on account balance
Partner is MICROCRED (MFI & Bank)
INSURANCE – coming
life insurance
OM agents
All payments/disbursements on mobile

9. Thank you