Exploring the consumer perspective in Sub-Saharan Africa

About half of consumers in Sub-Saharan Africa use mobile money, based on the countries surveyed. When comparing 2015 and 2021’s data, mobile money usage has tripled in Ghana, quadrupled in Angola and increased tenfold (from low levels) in Nigeria. Today, this survey shows that consumers in Ghana have the highest usage levels, at 90%. Meanwhile, this is about 80% for Ivory Coast and Senegal, while Nigeria and Ethiopia are still in the early stages of establishing mobile money use. Furthermore, most non-users are now at least aware of mobile money, which was not the case in 2015.

This study shows how consumers have turned to mobile money for financial matters since COVID-19 restrictions came into place. Half say they have started using, or increased their usage of, mobile money due to the pandemic, while also noticing friends using it more now than before the pandemic. As a result, as many as 7 in 10 say they are now more positive towards mobile money and, more importantly, are willing to learn more about it. Using mobile money simply means a better chance of avoiding infection, keeping distance from both cash and mobile money agents.

The trend of only using one type of mobile money supplier seems to be relatively strong. Over half of mobile money users say they only have one type of mobile money supplier. This is significant as only 17 percent have 2 types of provider, and 1 in 4 have more than 2 types. Single-supplier usage is particularly evident for the CSPs and their solutions, since they are by far the most used mobile money providers. Nine in 10 users chose a mobile money service provided by a CSP, and half use the service at least weekly. At the same time, only 3 in 10 use remittance agencies, internet banks, financial payment companies or social media for mobile money.

CSPs are perceived as a trustworthy mobile money supplier, according to 63% of their customers. Additionally, their customers associate them more often with factors such as ease of use, a good variety of offerings, great transaction security and affordability. Banks are second when it comes to trust, with 32% of their customers expressing trust in them. Interestingly, close to 50% of those using mobile money from social media companies have no associations at all with them, even though they claim to use their mobile money services.

Currently, users see several benefits to using mobile money. Across all surveyed countries, simplicity, speed and convenience are seen as the greatest benefits, at 67%, 56% and 55% respectively among users. This indicates that suppliers have created relatively easy, fast and convenient services that appeal to a broad spectrum of consumers beyond tech-savvy early adopters.

Still, 4 in 10 are asking for services which are easier to use due to the reasons outlined in the figure above. Consumers also express a perception of time saving when utilizing mobile money services for financial transactions. As the figure above shows, transaction speed is also the most important improvement area for mobile money users to use these services even more in the future.

Triggers for adoption

Word of mouth is the strongest trigger for adoption in the region, with 7 in 10 users claiming that their friends and/or family use or recommend mobile money. These recommendations mean that users of mobile money are relatively pleased with the services and offerings they receive. Only 10% automatically got mobile money with their mobile phone contract. In Angola, the situation is slightly different, as 43% automatically got the service through their mobile phone contract. This highlights the active role that CSPs are taking as a facilitator.

Mobile money is more than just better individual money transactions – it can positively impact many facets of society.

Supporting the vulnerable

As many as three-quarters of Sub-Saharan African consumers believe that mobile money can play a crucial role for supporting the most vulnerable.

A safety net for farmers

Four-fifths of consumers are convinced that mobile money, with a type of weather-indexed mobile insurance service, can provide a safety net for farmers in case of environment-related disasters.

Gender equality and educational access

Almost 80% across the region believe that mobile money can improve conditions for women by providing them with safe and secure access to financial services. Eight in 10 believe that mobile money can make it easier for parents to pay school-related fees.

Supporting a healthy population

Over 80% of consumers believe that mobile money can improve access to utilities, such as electricity, water and sanitation services, through affordable and convenient payment methods via mobile money.