06 Feb eCommerce Payment in Africa: Growth of Mobile Payment for Online Purchases (Part 2)

There are some very interesting parallels between the nature of the Asia/Pacific market and Africa.  Emerging markets like Asia Pacific and Africa is where the double digit growth of mobile payment methods is taking place.  More developed markets have established banking and methods of payment which are difficult to disrupt. The developing countries have government intervention which catalyses the growth and saturation level of local mobile payment method...
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03 Feb eCommerce Payment in Africa: Growth of Mobile Payment for Online Purchases (Part 1)

eCommerce in Africa is on the rapid rise off the back of increasing bandwidth, consumer connectivity, a burgeoning middle class, and widespread mobile payments like M-Pesa in Kenya and Paga in Nigeria to support online purchases.  Companies like MallforAfrica, a platform for retailers like Macy’s and Zappos, are bringing goods within reach of African consumers by adding local payment methods including PayPal. PayPal is slowly crawling across t...
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31 Jan African Payment Solutions: Kenya - Online Payment Billing Descriptors, Chargebacks, Adult and Online Gambling

The banks are risk averse and very strict when it comes to using the correct MCC codes for processing transactions for eCommerce payments.  An incorrect MCC code and billing descriptor will most likely result in repudiation of a chargeback.   Mainstream banks in Kenya don’t do merchant acquiring for gambling, casinos (online gambling), pornography (adult), drugstores (pharmacy). Dynamic billing descriptors are possible in certain instances for mult...
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27 Jan African Payment Solutions: Info for Multinationals Looking for Online Payment in Kenya

China Union Pay has been slower than expected to come to Kenya as a de facto payment method.  Kenswitch, a local payment service provider in Kenya has a number of cards in issue which can make sense for adding to an acquiring suite for eCommerce companies and there is talk of banks like KCB accepting Kenswitch cards. There are between 100,000 and 200,000 credit cards in circulation on Kenya which is less than a percent of the Kenyan population of 45m.  De...
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26 Jan African Payment Solutions: Kenya - Insights into Local Online Payment

Debit cards are increasingly being enabled for use online payment in Kenya.  Banks DTB and KCB are Mastercard licensees.   Nakumatt, a large retailer in Kenya has had prepaid Mastercard debit cards in operation for two or more years.  Initially they were issued as loyalty cards, but because of the proliferation of M-Pesa as the dominating Kenyan alternative payment method, use of it for payment has been slow.   Currently the highest fraud in Ke...
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24 Jan African eCommerce Payments - Cards vs M-Pesa for Kenya Online Payment Solutions

Kenya is as a politically and economically stable African country is fast becoming one of three African hubs for online payment solutions.  Kenya credit card payments, with more than 10m cards in circulation, are rapidly catching up with Kenya’s leading M-Pesa payment solution. With a high ATV of almost $50 a transaction, Kenya follows Egypt, Morocco and South Africa.  One in five Kenyans own a card, and can make card payments, and make an average o...
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23 Jan eCommerce Payment Across the African Continent - Languages and Cultural Differences

Africa is an interesting place to do business if you are a multinational looking for online payment solutions on the continent.  It is often regarded as if it were a country with homogeneous people, speaking the same language and the same cultural backgrounds.  Just like Europe with its different languages and cultures, the diversity of African countries like Kenya, Nigeria, South Africa is even more extreme. Even for African payment gateways looking to p...
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20 Jan East African eCommerce Payments: Credit and Debit Card Internet Acquiring - Kenya, Rwanda, Tanzania

eCommerce in Kenya is growing but can be very challenging.  The mainstream banks licensed to do eCommerce have up to 500 internet merchants each.  The big local merchants are the hotels in the territory and airlines in the region which includes Rwanda and Tanzania who are developing steadily as part of the East African monetary area. Kenyan banks are traditionally risk averse and International merchants looking to sell to Kenyans are often referred to Mau...
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16 Jan Nigeria eCommerce and Online Payment Solutions:  Credit card and Alternative Payments

  African Payment Solutions is integrated to Interswitch as one of many payment gateways and payment methods provided to multinational eCommerce companies across the African continent.  Interswitch is a provider of debit card switching in Nigeria and has recently acquired PayNet in Kenya. Interswitch provides issuing and acquiring of the Verve debit card and facilitates card brand switching in Nigeria.  A pan-African payment solution for multination...
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13 Jan eCommerce and Payment in Côte d’Ivoire: Mobile and Alternative Payment Methods

African credit card processing; Accepting online payments from Africa; African ecommerce payments; African ecommerce strategy; Emerging African ecommerce Côte d’Ivoire is a dark horse when it comes to the African eCommerce market.  They seem surprisingly innovative when it comes to adoption of fintech and mobile penetration (more than 90%) Leading African eCommerce company Jumia has become an authorised dealer of Intex smartphones in Côte d&...
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