Applicant name: Hello Paisa
Applicant type: Private Company
Headquarter City: Pretoria
Headquarter Country: South Africa
Innovation Name: Quick Pay Rate
Innovation Type: Solution
Category: Remittance Evolution
Status of Innovation: In-market
Innovation Active Since: 07/04/2022
Innovation Description: To understand the innovation I will first explain the problem in South Africa with money remittances. Customers are very price sensitive so they would create a transaction and then wait the full 24hours they are given to settle the transaction. They wait in the hope that the exchange rates will change for the better. Hello Paisa’s problem was that we would not know which transactions was going to be settled and this causes a liquidity issue. So, we created Quick Pay Rate (QPR) which allows users access to a better rate provided they settle the transaction instantly. We display the normal rate along with the Quick Pay Rate showing the customer the saving if they settled the transaction instantly as opposed to later.
What has been a strategy you implement to be ahead of the market? Our Strategy has always been digital first so to speed up this strategy the Quick Pay Rate plays a big role in this. Anyone on our Hello Paisa app can view the Quick Pay Rate but only customers on the Hello Paisa Banking option has access. The Quick Pay Rate has significantly driven the take up on our Digital Banking Offering, furthermore you also need to hold a balance in your Hello Paisa Bank account that is equal to or greater than the amount you want to remit and only then will you get access to the Quick Pay Rate all the while the Quick Pay Rate is in full view. Now customers are clamouring to get the Hello Paisa Banking account (digital strategy working) and store their funds with us so they can get better rates. Hello Paisa gets guaranteed remittances and converts a stage and pay customer to completely digital.
What has been your competitive advantage in adapting so quickly to market change? I would say our in house technology is our competitive advantage. We have over 100 in house developers so all our Tech is built by us. Our ability to make changes quickly along with innovating on the spin to suit our customers needs puts us in a very fortunate position compared to our competitors who outsource all their development.
What has been the biggest change that was essential for your evolution? The migration from cash to digital has been the biggest change, since the launch of the QPR feature our ratio from cash to digital has significantly changed in a predominantly cash environment.
What was the inspiration for this innovation? I would say competition, we always want to stay ahead and we continuously strive to differentiate ourselves and QPR was just another differentiator we could add to our stable.
Who can benefit from your innovation most? First and foremost the customer but Hello Paisa gains so much by getting the customer completely digital. We get to store their funds and earn on it, we get to up sell them VAS services on their banking account, the churn is significantly less because the customer banks with Hello Paisa and remits their money via hello paisa. We get immediate settlement on transactions initiated so we can manage our liquidity but again the customer gets what’s most important to them, the best rate when they send money.
What are you most proud of about your innovation? The adoption, in just the 9 months since its launch we already have 45% of our processed volume being done through QPR.
Why do you think you should win this category? I think it was a very innovative solution because it solves problems for both the customer and Hello Paisa in this case. We do have case study results that clearly demonstrate the impact the feature has had. The adoption has been really positive. We are always looking to solve our problems using technology and here is just another example of how we did it.
Full Name: Moosa Manjra
Full Name: Anand Naidoo