Peppermint signs deal with mobile wallet GCash, potentially expanding reach to 40m people
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The agreement with GCash gives Peppermint exposure to 40 million people in the Philippines, and further stamps its footprint in the country.
Fintech company Peppermint Innovation (ASX:PIL) has just expanded its payment transactions capability in the Philippines, signing an agreement with G-Exchange Inc, the operator of mobile wallet GCash.
The deal will enable Peppermint’s bizmoto merchants, bizmoto agents and bizmoGo riders to accept payments directly from GCash mobile wallet holders.
This will significantly open up bizmoto’s visibility and market reach, as nearly one in three Filipinos, or around 40 million people, currently hold the GCash mobile wallet.
“Given there are currently more than 40 million registered GCash mobile wallet holders, it makes perfect sense that our bizmoto ecosystem accepts and facilitates payments from customers’ GCash mobile wallets in a quick and easy fashion,” commented Peppermint’s CEO, Chris Kain.
Under the agreement, any Filipino with a mobile GCash wallet account can directly pay for goods or services provided by any one of the bizmoto’s platforms – bizmoto merchant, agent or bizmoGo.
The arrangement is potentially a win-win for both the customers and bizmoto service providers, as it gives both sides of the transaction easy access.
“This agreement is all about making it simple for mobile GCash customers to directly pay for bizmoto goods and services and, just as importantly, allow our bizmoto merchants, agents and bizmoGo riders to directly accept payment from a GCash mobile wallet,” Kain said.
Peppermint will not earn direct revenue from the agreement, but instead will pocket a system fee for every transaction that is made across the bizmoto platform.
The fee is not set, and varies depending on the trading exchange used, which could be from a flat fee basis to a percentage of the transaction value.
As a guide, the company currently earns up to 6 per cent of the transaction value on most transactions across the bizmoto platform.
The integration with GCash will also encompass further development of the bizmoto app, which includes the incorporation of the new bizmoto ‘Pabili’ (which translates as “to buy for me” in the local dialect).
“Pabili will allow GCash mobile wallet holders to not only order goods and services across the bizmoto ecosystem via the app, but they can have it seamlessly delivered to their home or work via our network of bizmoGo riders,” explained Kain.
The company expects that all of the necessary technical and system integration be completed for a first phase ‘go-live’ date in Q3 of this year.
The GCash deal signed today will run for initially one year, and renews automatically each year.
Peppermint has just come off a very productive quarter, in which it raised $2.5m in fresh funds to further expedite its bizmoto offering in the Philippines.
The bizmoto micro-enterprise app platform operates in four vertical silos built under one ecosystem: payments, delivery & logistics, ecommerce and financial services.
The company has lodged a financial licence application to the Philippines SEC; the approval of which will underpin its bizmoPay microfinance operations.
It also has an agreement in place with a major bank in the country, the Bank of the Philippine Islands, which gives it exposure to the bank’s four million customers.
Recently, Peppermint entered the Philippines insurance market, signing a deal with Cebuana Lhuillier Insurance, which will see it selling insurance products through its bizmoProtect platform.
This article was developed in collaboration with Peppermint, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.