Mpesa

Mobile pesa is an interesting way for money transfer and quite useful for people trying to send money across locations. This is another way of trying to expand the telecom services to become a money transfer service or a bank.

For the telecom service provider ( in this case vodafone ) there are multiple benefits .

1. Money comes into their organization and they can get a very significant float for them. Their Treasury services can get quite a boost.

2. Stickiness of customers . once you set up an account you will continue to use this and get used to the facility .

3. With mpesa being in a lot of places .. Significant branding benefits at different point of sales

Let it be mpesa or Airtel money ... Its an interesting innovation.