“This
move gives Paymaster the ability to capitalise on some big opportunities
particularly in the areas of online and mobile-based payments. Given our
already positive working relationship, we quickly established that Digicel
Group is the right strategic partner for Paymaster and I am very excited about
the future”
Executive Chairman of
Paymaster Audrey Marks in a joint statement with Digicel regarding the takeover
of her company
Digicel,
it seems, is going after the Mobile Money market after all.
This
as on Friday December 11th 2015 Digicel has acquired Paymaster for
an undisclosed sum of money as reported in the article “Digicel
Group Buys Paymaster”, Published Friday December 11, 2015, The Jamaica Gleaner.
This
purchase comes a week after the purchase of Prism Holdings, again for an
undisclosed sum on Friday December 4th 2015 as reported in the
article “Digicel
Acquires Prism In A More Serious Play For Mobile Money Market”, Published
Friday December 4, 2015, by Neville Graham, The Jamaica Gleaner and “Digicel
acquires controlling interests in Prism Holdings”, published Wednesday,
December 02, 2015, the Jamaica
Observer.
Now
with this latest purchase, it definitely seals it; Digicel is making a push for
Mobile Money by 2016. Paymaster, which specializes in Bill payment was started
by Audrey Marks in 1997 has some 170 shops in Jamaica as well as 40,000
locations in the United States and Canada as reported in the article “Digicel
Group acquires Paymaster”, published Friday, December 11, 2015, The Jamaica Observer.
Paymaster
now belongs to Digicel Jamaica with Audrey Marks remaining as the executive
chairman of Paymaster.
Digicel
it seems likes this partnership as it will expand their product and service
offerings according to Digicel Group CEO, Colm Delves: “Paymaster is a great
brand and a great product and we are delighted to welcome it to the Digicel
family as we expand our range of products and services consistent with the
convergence of communications, e-commerce and financial services”.
Wait,
did he just say “communications, e-commerce and financial services”? Does this
mean that they’ll soon be launching a Mobile Money platform in Jamaica?
Digicel purchases
Paymaster - Why Digicel is launching Mobile Money in 2016
It
certainly looks that way.
Digicel
has long been rumoured to be launching a Mobile Money service in Jamaica in
Partnership with ScotiaBank since May 2014 as predicted in my blog article
entitled “Digicel's
Mobile Money Service in 2014 - Haiti Tcho Tcho with ScotiaBank heralds Cashless
Society by 2015”.
This
however did not materialize at the end of the 2014.
Meanwhile
Paymaster became the Third-party Bill Payment Processor for JCCUL (Jamaica
Co-operative Credit Union League)'s CONEC Mobile Wallet later in September 2014
as reported in my blog article
entitled “JCUES
now CONEC Mobile Wallet - Why CONEC Mobile Wallet still inconvenient despite
Paymaster and Remittances in the JCCUL-Mozido Jamaica mix”.
With
Supreme Ventures muscling it way into Mobile Money via a upgrade of their
betting platform and mobile apps with the new IFLEX Betting Platform in October
2015 as reported in my blog article
entitled “Supreme
Ventures Limited IFLEX Betting Platform Upgrade - How Mobile Gambling via
Smartphone is finally coming to Jamaica”, it appeared that the Mobile Money
arena was getting really crowded really fast.
This
prompted me to again predict Digicel making a Mobile Money push in 2016 as
they'd recently rebranded Digicel Tcho Tcho to Mon Cash as reported in my blog article
entitled “Why
Digicel Mon Cash Rebranding for Haiti means Mobile Money coming in 2016”.
How Digicel Mobile
Money will work - Launch in First Quarter of 2016 with QR Codes
So
with this latest announcement, expect a more detailed announcement come either
Friday December 25th 2015 or by January 1st 2015 with a
full product launch later in the Third Quarter of 2016.
This
as they’ll have to get regulatory approval for their Mobile Money platform from
the BOJ (Bank of Jamaica) as was the case with the JCCUL as noted in my blog article
entitled “JCCUL
get's approval from BOJ to launch their JCUES Mobile Money Platform - JCUES Mobile
Money Wolverine marks the Kick-Ass 2 beginning of a Cashless Society”.
Also
unlike CONEC Mobile Wallet, I suspect Digicel Mobile Money (Simple but straightforward
name!) will not only be capable of paying for Mobile Credit and Data plans from
your smartphone but also will be used to enable the unbanked in Jamaica with
older cell phones to make purchases at any location that has as Digicel POS
terminal.
Additionally,
Digicel may choose to use a QR Code based system to enable anyone from street
vendors to storeowners to be able to conduct Mobile Money transactions using
their smartphones.
This
is following on the example of WeChat, SnapScan and FlickPay which enables
phone to phone money transfers, receiving remittances as well as QR code purchases
as reported in my blog article
entitled “Why
WeChat ewallet in South Africa as ScotiaBank Jamaica and Digicel going Cashless”.
Digicel needs ScotiaBank
partnership – US$2 billion per year Remittance market as pieces fall into place
Finally,
they might soon be making a partnership with ScotiaBank to enable Jamaicans to
use their smartphones to make ATM (Automated Teller Machine) withdrawals, as
they'll most likely be banking partner as is current the case with Mon Cash in
Haiti.
Already
ScotiaBank may be gearing up for a Mobile Money push, having enable Cross-Bank
Transfers as noted in my blog article
entitled “Why
ScotiaBank is introducing Cross-Banking Transfers – Supreme Ventures Mobile
Money on the horizon”.
Digicel
is going after Mobile Money to tap into the US$2 billion per year Remittance
market before the predicted global slowdown of Remittances due to the falling
price of Oil as predicted in my blog article
entitled “World
Bank's Global Remittance Slowdown - Why Jamaica's Remittance will slow in 2016
as Saudi Arabia Runs out of US Dollars”.
Digicel
will thus be launching Mobile Money in the Year of the Monkey 2016 as the final
missing pieces to the puzzle are slowly falling into place.
But
the obvious question begs; How will FLOW Jamaica respond?
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