The financial technology landscape shows no signs of slowing down. The industry as a whole saw a 67 % rise in investments during the first quarter of 2016, compared to the same period last year. This amounts to a staggering 5.3 billion USD globally. A recent study shows that particularly companies working on payments in the emerging markets are attractive. For example, within fintech, 38 % of the investments in the APAC region were funneled to payments related companies. The numbers do not lie, there is a huge need for innovative payment methods.
Huge but risky opportunity of cash economies
Especially e-commerce services working in cash economies have notable growth potential, but need help with payments. For example, according to a survey, 34 % of the people in APAC region paid online purchases with cash during the past six months. The number grows to 54 % in Africa and 84 % in India.
As a consequence, online stores pursuing to penetrate cash economies have, so far, needed to accept cash-on-delivery payments – if they want to have customers. This increases their risks, since cash may never see the company, for instance, if the customer is not at home or accidentally lacks cash when the order arrives. Add challenging infrastructure environment to the equation, and the logistics costs can rise to unbearable levels for any online store.
Tapp Commerce reduces risks with a cash-on-purchase option
Tapp Commerce solves the problem of cash-on-delivery by accepting cash-on-purchase orders. Our customers do not need a credit card or even a bank account. The online marketplace that we have developed is facilitated by a vast network of agents, who can handle cash purchases. This way we can significantly reduce your risks as a merchant. Using cash online has never been as convenient. Everyone who sells their goods or services at Tapp Market can always rely on being paid.
At the moment Tapp Market has over 30 000 agents in Southeast Asia, and the number is growing fast. In the near future Tapp Commerce is set to increase the number of agents to 500 000, and expand its business to new emerging markets beyond Asia.
Would you like to be a part of our story and sell your products or services at Tapp Market? Tap into the cash economy and contact us now!
The writer, Elia Elenius, is a Community Manager at Tapp Commerce. Follow Elia on Twitter @EliaElenius.