The role of super-apps in Africa’s financial inclusion drive

“THE CONTINENT PRESENTS A WEALTH OF CUSTOMER DATA THAT REGIONAL PLAYERS COULD LEVERAGE

What are Super-Apps? Essentially, they are multi-function tools that offer a single location from which a person can engage in diverse commercial transactions, from calling a taxi and buying groceries, to paying an electricity bill – or applying for a loan, which is especially useful for small businesses and micro merchants.

Over the past decade, super-apps such as WeChat and AliPay in China have led the field. But Sub-Saharan Africa has a number of promising players too.

In Nigeria, the most populous country in Africa, Gokada, a courier service, established its own super-app allowing users to send packages, order food and hail cabs in one platform. SafeBoda, a Ugandan-based ride-hailing firm, also recently expanded into superapp territory. MTN Group, a telecoms provider headquartered in South Africa, is bundling instant messaging with m-commerce (transactions carried out via mobile phones) and entertainment in its Ayoba super-app.

A study commissioned by Mastercard and carried out by Economist Impact, From online bazaar to one-stop-shop:

The rise of super-apps, examines this progress. It explains how various factors like population growth, digital access, connectivity, a diverse demographic, increasing trust, and affordability are contributing to the rapid progress of super-apps in the region.

Ngozi says: “With Africa already the youngest continent, and soon among the most populous, the continent presents a wealth of customer data, which regional players could leverage to add value for all stakeholders. Mastercard is that single technology provider of choice that can connect diverse players such as telcos, digital e-tailers and fintechs to become super-apps, enable a superior digital experience and drive greater financial inclusion for people and small businesses across Africa.”