Rural Banks Providing Financial Education in Branchless Banking

November 21, 2011 By Leave a Comment

By Cheryl Lualhati Balingit, RBAP-MABS Special Projects Coordinator

In Filipino grammar, adding the prefix mag is a nifty way to verbalize a noun. This extends from everyday, colloquial conversation Mag-kape tayo (Let’s have coffee) Mag-sine tayo (Let’s watch a movie) to more profound exhortations, like Mag-bago na tayo. (It’s time we make a change). The United States Agency for International Development-supported Rural Bankers Association of the Philippines Microenterprise Access to Banking Services (RBAP-MABS) Program with assistance from Microfinance Opportunities (MFO) is now assisting rural banks to extend this further to promote mobile phone banking services with the launch of mag-CellBank! and the pilot testing of the Financial Education for Branchless Banking Project.

mag-CellBank!, the new logo for mobile phone banking services, employs the prefix mag to cell (for cellphone) and bank. Mag-CellBank! is an enthusiastic call for clients to perform banking transactions using their cellphones. The new name, along with a visual identity, is integrated into the new Financial Education for Branchless Banking toolkit that is currently being used by three pilot banks – GM Bank, Cantilan Bank, and 1st Valley Bank. mag-CellBank! services include Text-A-Payment (TAP), Text-A-Deposit (TAD), Text-A-Withdrawal (TAW), and phone-to-phone transfers and payments.

mag-cellbank!Launched in June 2010, the Financial Education for Branchless Banking Project is implemented by the RBAP-MABS Program with support from MFO, a Washington-based global nonprofit that develops consumer-focused ideas and solutions for the microfinance industry. The project, which is implemented in partnership with The MasterCard Foundation, aims to increase the uptake and use of mobile phone banking services through the use of financial education tools.

The dissemination and use of the toolkit rounds up close to a year of work and preparation.

[Read more...]

Filed Under: Latest Updates, MABS Features, MABS Highlights Tagged With: , , , , , , , ,

Webinar on Tools to Address Challenges of Branchless Banking

November 18, 2011 By Leave a Comment
As part of the Consumer Education to Support Uptake and Use of Branchless Banking project, sponsored by the MasterCard Foundation, Microfinance Opportunities will be conducting a webinar on November 29, 2011, at 9:00am EST (10:00pm Manila Time).
The webinar will present the challenges to uptake and usage of Branchless Banking identified through market research studies carried out in the Philippines, India, Malawi and Zambia. Webinar participants will also learn how MFO is addressing branchless banking challenges through a package of tools for consumers and agents intended to drive use of mobile banking and smart card services.
The webinar is aimed at key stakeholders implementing or funding branchless banking initiatives focused on low income markets – donor community, financial service provider such as banks or microfinance organizations, telecoms, payment platform providers, associations like GSMA.
Webinar Registration inquires must be sent to the following address: mfo-temp@mfopps.org

As part of the Consumer Education to Support Uptake and Use of Branchless Banking project, sponsored by the MasterCard Foundation, Microfinance Opportunities will be conducting a webinar on November 29, 2011, at 9:00am EST (10:00pm Manila Time).

The webinar will present the challenges to uptake and usage of Branchless Banking identified through market research studies carried out in the Philippines, India, Malawi and Zambia. Webinar participants will also learn how MFO is addressing branchless banking challenges through a package of tools for consumers and agents intended to drive use of mobile banking and smart card services.

The webinar is aimed at key stakeholders implementing or funding branchless banking initiatives focused on low income markets – donor community, financial service provider such as banks or microfinance organizations, telecoms, payment platform providers, associations like GSMA.

Webinar Registration inquires must be sent to the following address: mfo-temp@mfopps.org

Filed Under: Announcements, Latest Updates Tagged With: , , , , ,

When I mention mobile phone banking services, what is the first idea that comes to your mind?

April 19, 2011 By Leave a Comment

Guest Blogger: Matt Steine

FE 1This was one of the questions asked at the focus group discussion (FGD) conducted recently in a small town of Laur in Nueva Ecija, Philippines.  The participants were borrowers of the local rural bank, GM Bank, based in Cabanatuan City.  The session was held to road test the financial education materials developed with assistance from the Microfinance Opportunities (MFO), partner of the Rural Bankers Association of the Philippines (RBAP).

RBAP, through its USAID-supported Microenterprise Access to Banking Services (MABS) Program, is receiving support from MFO as part of a joint project established between the latter and The MasterCard Foundation. The project is to support the adoption and sustained use of mobile phone banking (m-banking) services via increased financial education for clients of rural banks. [Read more...]

Filed Under: MABS Features, MABS Highlights Tagged With: , , , , ,

Marketing Tips for Reaching Microfinance Clients

July 1, 2010 By Leave a Comment
Mr. Mike Rios of Microfinance Opportunities livened up the audience at the 2010 RBAP-MABS National Roundtable Conference in Manila on June 3rd with an entertaining and informative presentation on marketing strategies.
“Market like your customer, not like your ‘Mom’” was the first of his three rules of marketing new products. Too often, marketers focus on the benefits that are not tangible to the customer, pretty much like moms lecturing about the benefits of vitamins to their children. Imagining what it is like to be a customer should drive design, branding and marketing decisions. Think of how Flintstones vitamins changed the way vitamins were marketed to children.
Mr. Rios’ second rule is: “Make your product easy to try, buy, and know ‘what’s in it for me’.” A product can have great brand recognition, but if customers do not know what the product does or how it benefits them, then the product will not be successful. This seems like a great lesson as banks look at how to market mobile phone banking services – take the time to explain to your customers why it is safer and more convenient to use GCASH or Smart Money, and then show them how to use the technology.
The third rule is: “The experience you give is your best marketing.” Mr. Rios shared an example of a small bank in Cambodia that has its employees go to people’s homes, sit on the floor, and explain to them how banking can change their lives. The friendly and sincere staff provides their clients with a memorable experience.
Mr. Rios continued with three marketing tips. “Walk in your client’s shoes,” he advised. Document what a client does when he or she first walks into your branch and take pictures of what the client observes. Remember that an unfamiliar environment can be confusing to new clients. Redesign the lobby or improve the signage to make your branch more welcoming and engaging. Second, Mr. Rios recommended creating simple tools. These tools can be stories that teach people how to save or testimonials from past and current clients that illustrate the benefits of the bank’s products. It is not about “dumbing-down” concepts, but prioritizing what is important and making ideas easy to remember. Finally, Mr. Rios concluded by urging rural banks to conduct lots of mini pilots: “Those who constantly improve their ideas will be the winners.”
Jove Tapiador, MABS Regional Manager for Luzon, continued this compelling panel session by offering a consumer profile of the average Filipino, and providing guidance on how this changing profile affects microfinance marketing strategies. The recent economic problems have pushed Filipinos to stay at home more, so offering house to house calls or promoting the ease and convenience of mobile phone transactions can provide clients a way to conduct banking without leaving their homes. As Filipinos look for alternate sources of income, rural banks should emphasize microenterprise loan products and share their previous experience with successful microenterprise clients to build a trusting relationship and to promote the benefits of microfinance services.
Another trend in Filipino buying behavior is the value of performance over image and the shift from premium to less expensive brands. This is a great opportunity for rural banks to communicate the advantages of their products over fancy commercial bank services. They can emphasize the convenience and excellent customer services offered by local rural banks.
Filipinos are now less inclined to make impulse purchases. Rural banks can prepare effective marketing materials with better information about the bank, its products and its prices. Given the tendency to be more cautious and put aside more money, rural banks can also now promote savings to help clients save for a rainy day.
What are some of the unique marketing strategies your bank has implemented? How are you adapting to the changing needs of the microfinance customer? Share your experiences and stories by replying to this post.
This is the final edition of the 2010 RBAP-MABS National Roundtable Conference session recaps. We look forward to another informative and rewarding conference next year.
Until next time, Mabuhay ang Rural Banking at Mabuhay ang Microfinance!

Mike RiosMr. Mike Rios of Microfinance Opportunities livened up the audience at the 2010 RBAP-MABS National Roundtable Conference in Manila on June 3rd with an entertaining and informative presentation on marketing strategies.

“Market like your customer, not like your ‘Mom’” was the first of his three rules of marketing new products. Too often, marketers focus on the benefits that are not tangible to the customer, pretty much like moms lecturing about the benefits of vitamins to their children. Imagining what it is like to be a customer should drive design, branding and marketing decisions. Think of how Flintstones vitamins changed the way vitamins were marketed to children.

Mr. Rios’ second rule is: “Make your product easy to try, buy, and know ‘what’s in it for me’.” A product can have great brand recognition, but if customers do not know what the product does or how it benefits them, then the product will not be successful. This seems like a great lesson as banks look at how to market mobile phone banking services – take the time to explain to your customers why it is safer and more convenient to use GCASH or Smart Money, and then show them how to use the technology.

[Read more...]

Filed Under: MABS Tips Tagged With: , , , , ,

Branchless Banking Video from India

June 27, 2010 By Leave a Comment

This video was taken during our recent meeting with FINO organized by Microfinance Opportunities (MFO) with the support of the MasterCard Foundation. FINO and RBAP-MABS are the Asian recepients of a grant to provide financial education to support and expand branchless banking. Special thanks to the team at MFO for arranging this visit.

Filed Under: Videos Tagged With: , ,
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