Mobecom springs into South African market with top telco
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Customer engagement technology provider Mobecom (ASX:MBM) has sealed a major agreement with South Africa’s largest telco and Vodafone UK subsidiary, Vodacom.
It follows several key agreements the company has landed in the past few months with Singapore payment platform NETS and South African restaurant conglomerate Spur Corporation.
The company’s latest deal will see Mobecom partner with Vodacom to provide loyalty and digital currency services to the telco’s mobile customers, bolstering their existing ‘Switched On Benefits’ program.
“This is an incredibly significant contract for Mobecom. We’re now working with the ninth largest listed company in South Africa, giving our software the potential to reach over 67 million customer across the continent,” CEO of Mobecom, Neil Joseph said.
“This partnership also shows there is a clear synergy with our offering and the telco sector, who are looking for more reasons to keep consumers loyal as competition and changing consumption trends reshape the sector.”
The first stage of the deal will see Mobecom power a white label solution for Vodacom’s existing consumer voucher offering.
The company expects the agreement to boost its recurring revenues by up to 26 per cent within the first 12 months.
It comes as Mobecom prepares for the rollout of its airBux product in South Africa, Singapore and Australia in 2018. airBux works as an alternative to regular payment and reward points programs — helping consumers earn digital ‘cash’ currency that they can aggregate and spend across a raft of stores with every purchase.
airBux CEO, Sean Smith, says the rollout is just the first step in fully exploring the potential of this digital currency solution.
“Talking to industry experts at the USA Blockchain Expo last month, we are heartened that our payment and loyalty technology could play a broader role as cryptocurrencies and blockchain technology has started to gain mainstream adoption,” Mr Smith said.
“Our broader goal, beyond helping consumers convert, consolidate and ultimately leverage their unspent 3rd party program reward points, is to be a leading supplier of digital payment and loyalty technology. We are also very focussed on leveraging more ‘current’ channels of ‘stored value’ in cryptocurrencies.
“airBux will make the bridge between payment with cryptocurrency in bricks-and-mortar stores while being able to simultaneously earn and consolidate a single loyalty currency (airBux Cash) more accessible to consumers than ever before.”
Mobecom listed on the ASX last October, raising $5.1 million with the backing of Sydney-based Tulla Private Equity Group. Former T Rowe Price global CEO, Todd Ruppert, serves as a non-executive director of the company.