Financial technology is now on everyone’s lips. The industry is disrupting the playing field. Companies are popping around the world offering payment, lending, and insurance services with an accelerated pace. Digitalization has advanced to a point where people don’t need to go to a bank – if they even have a bank account in the first place. The following three charts capture the fintech boom.
Mobile technology and Un(der)banked are the main drivers
Technology drives the fintech boom. We have finally passed a threshold where data transfer, and the infrastructure supporting it, is speedy, reliable and secure enough for the consumer. This development, coupled with the fact that billions of people around the world lack bank accounts, is a powerful explanation. The time is just ripe.
This momentum is a huge opportunity for financial technology companies. Fintech has the potential to bring financial inclusion for the masses. Companies, such as, M-Pesa and Kopo Kopo have developed mobile platforms that are revolutionizing payments and financing in Africa. Tapp Commerce, in turn, has developed a mobile marketplace that enables the use of cash online in Southeast Asia.
Fintech industry has witnessed a massive capitalization
The fintech industry as a whole has witnessed a ten-fold increase in investment in the past five years. The biggest bump was seen in 2014, when the industry experienced a 200 % increase in investment compared to the previous year. While the growth has slowed, the flow is nowhere near of stopping. Tapp, for example, secured 9 million USD series A funding this summer.
Where are all the dollars going?
Within the fintech industry, lending and payments are collecting most of the capital, followed by insurance, and savings & wealth. These are the services that people need the most in the developing markets. Our first product Tapp Market is, among many other things, functioning as a payment collector for the insurance company Chubb in Southeast Asia.
Jump into the fintech wagon
Tapp Commerce’s mission is to be the leading mobile e-commerce network globally connecting the social, mobile and physical worlds of commerce.
In a nutshell:
- Our vast network of agents facilitates the use of cash payments online.
- With Tapp Commerce, for example, a local mom & pop store can make extra money by acting as a hub connecting the physical and digital worlds.
- At the moment Tapp Commerce has over 30 000 agents in Indonesia and Philippines.
- Our service will open soon in Thailand and Vietnam.
Would your company want to sell its products or services on Tapp Market? Click here and let’s make it happen.
Would you like to be a Tapp agent? Click here and become one.
The writer, Elia Elenius, is a Community Manager at Tapp Commerce. Follow Elia on Twitter