万国邮政联盟-为中小微企业服务的潜在邮政商业模式：“邮政作为中小微企业支付数字化的推动者”研究的配套文件（英）

POTENTIALPOSTALBUSINESSMODELS

TOSERVEMSMEs

Companiondocumenttothestudy“PostsasenablersofMSMEpaymentdigitalization”

PublishedbytheUniversalPostalUnion(UPU)Berne,Switzerland

PrintedinSwitzerlandbytheprintingservicesoftheUPUInternationalBureau

Copyright©2023UniversalPostalUnionAllrightsreserved

Exceptasotherwiseindicated,thecopyrightinthispublicationisownedbytheUniversalPostalUnion.

Reproductionisauthorizedfornon-commercialpurposes,subjecttoproperacknowledgementofthesource.

Thisauthorizationdoesnotextendtoanymaterial

identifiedinthispublicationasbeingthecopyrightofa

thirdparty(e.g.throughanimagecredit).Authorizationtoreproducesuchthirdpartymaterialsmustbeobtainedfromthecopyrightholdersconcerned.

AUTHORS:UPU

TITLE:PotentialpostalbusinessmodelstoserveMSMEs:Companiondocumenttothestudy“PostsasenablersofMSMEpaymentdigitalization”,2023

ISBN:978-92-95116-28-3

DESIGN:SonjaDenovski

CONTACT:ihab.zaghloul@

POTENTIALPOSTALBUSINESSMODELS

TOSERVEMSMEs

Companiondocumenttothestudy“PostsasenablersofMSMEpaymentdigitalization”

TABLEOFCONTENTS

PostalbusinessmodelstoserveMSMEs 8

Model1:FinancialservicesagentstoMSMEs

10

Model2:DigitalpaymentacceptorsforMSMEs

15

Model3:Facilitatorsofsupplychainpaymentanddeliveryservices

2

1

ChallengestoMSMEpaymentdigitalization 26

Keyrisksandproposedmitigations 28

HowcanPostsgetstarted? 30

Keyconsiderationsforago-to-marketstrategy

32

Annexes

37

FIGURES

FigureABusinesscanvasformodel1 13

FigureBBusinesscanvasformodel2 19

FigureCBusinesscanvasformodel3 25

Listof

MNO

Mobilenetworkoperator

MSMEs

Micro,smallandmediumenterprises

MVP

Minimumviableproduct

OECD

OrganizationforEconomic

CooperationandDevelopment

P2G

Persontogovernment

PCIDSS

PaymentCardIndustryDataSecurityStandard

POD

Paymentondelivery

POS

Pointofsale

PSP

Paymentserviceprovider

QIB

QatarIslamicBank

SaaS

Softwareasaservice

TAT

Turnaroundtime

ToT

Trainingoftrainers

UPI

UnifiedPaymentsInterface

USSD

Unstructuredsupplementaryservicedata

abbreviations

AML

Anti-moneylaundering

API

Applicationprogramminginterface

B2B

Businesstobusiness

BC

Bankingcorrespondent

CFT

Combatingthefinancingofterrorism

CICO

Cash-inandcash-out

DFS

Digitalfinancialservices

FGD

Focusgroupdiscussion

FITAF

FinancialInclusionTechnicalAssistanceFacility

FMCG

Fast-movingconsumergoods

FSP

Financialserviceprovider

G2P

Governmenttoperson

GSMA

GlobalSystemforMobile

CommunicationsAssociation

ICT

Informationand

communicationstechnology

KPI

Keyperformanceindicator

KYC

Knowyourcustomer

MFI

Microfinanceinstitution

MMP

Mobilemoneyprovider

MMRI

MobileMoneyRegulatoryIndex

Peri-urban

Denotesanareaimmediately

adjacenttoacityorurbanarea

POS

Pointofsale,whichcanbeforanypaymentmeans(card,app,etc.)toaccesswallet

Real-timesettlement

Themerchantaccount/wallet

getsfunded/deductedinreal

timeforallcompletedpaymentsorCICO

Reconciliationand

settlement

Allcompletedtransactionsare

talliedwitheachrecordasto

whetherthepaymentmade

throughthechannelhasreachedtherecipient

Remittance

Theactionofsendingmoneyinpaymentorasagift

Underwriting

Theprocessthroughwhichanindividualorinstitutiontakesonfinancialriskforafee

Utility

payments

Includesbillpaymentsformobilephones,electricity,water,etc.

Whitelabel

Productsthataredeveloped

byacompanybutcanbeusedbyallastheyarenotowned

orrestrictedbyasponsoredpartner

Workingcapital

Themoneyrequiredtorunbusinessoperations

Glossary

Agent

managers

Individualsresponsiblefor

supervisingtheagentscarryingouttransactions

Card

skimming

Illegalpracticeusedbyidentitythievestocapturecreditcarddata

Cash-in

DepositingmoneyatPOS

Cash-out

WithdrawingmoneyatPOS

Digital

paymentacceptance

Receiptofpaymentsmadebydigitalmeansoronline,withnophysicalexchangeofmoney

involved

Equity

financing

Involvessellingastakeinyourbusinessinreturnforacash

investment

Equity

investing

Equityisusedascapitalraised

byacompany,whichisthen

usedtopurchaseassets,investinprojectsandfundoperations

Financialservicesagent

Peoplewhosellfinancialservicesandconnectbuyersandsellersinfinancialmarkets

Floatincome

Thenetinterestmarginearnedondepositsbydeployingthemviatreasury

Formal/

registeredMSMEs

MSMEsthatareregisteredwith

relevantgovernmentauthoritiesandcoveredundertheprevailingtaxregime

Frontlineagent

Individualresponsiblefor

managingdirectinteractionswithcustomersandprovidingservices

InformalMSMEs

MSMEsthatarenotregisteredwithrelevantgovernment

authoritiesandhencenot

coveredundertheprevailingtaxregime

8PotentialpostalbusinessmodelstoserveMSMEs:Companiondocumenttothestudy“PostsasenablersofMSMEpaymentdigitalization”

POSTALBUSINESS

MODELSTOSERVEMSMEs

Basedonourassessmentconductedaspartofthestudyentitled“PostsasenablersofMSMEpaymentdigitalization”,wehavedevelopedthreepotentialbusinessmodelsforPoststoconsiderintheireffortstoprovideappropriatedigitalpayment

servicestoMSMEs.1

WedesignedthesemodelsbasedonourunderstandingofwhatmightberealisticandachievableforPostsinemergingeconomies.

MODEL1

MODEL2

MODEL3

Postsasfinancialservicesagentsforproducts

tailoredtoMSMEs

PostsasdigitalpaymentacceptorsforMSMEs

Postsasfacilitatorsfor

paymentsanddelivery

servicestoMSMEs

andsupplychain

TARGET

CUSTOMERSEGMENT

RESPONSIBILITIES

Microenterprises

Marketing

Startingwithexisting

customerbaseandthen

expandingtoMSMEs

Marketingandselling

MSMEsSmallholder

farmersAgribusinesses

Paymentexchangeswithinthesupplychain

Customerrepresentationandacquisition

PaymentacceptanceonbehalfofMSMEs

Collection/transportationofgoods

Deliveryofasuiteof

financialproductswith

paymentsasanentrypoint

Goodsdistribution

Responsibilitiesthatapplytoeachrole:

Productco-creation

After-salesservices

Informationservices

Paymentsettlementandreconciliation

KEYPARTNERS

Financialserviceproviders(FSPs)

Acquirerbanksorfintechs

Actorsinthesupply

chain,suchasdistributors,

aggregators,suppliers,

producers,etc.

Platformproviders

LEGAL

REQUIREMENTS

PartneracquirerorFSPtobearprimarylegalresponsibilitiesandtotrainthepostalstaff

1Throughoutthisstudy,weusethetermmicro,smallandmediumenterprises(MSMEs)inlieuoftermssuchassmallandmediumbusiness,microentrepreneursandmicrobusinesses.

PostalbusinessmodelstoserveMSMEs9

MODEL1

MODEL2

MODEL3

Postsasfinancialservicesagentsforproducts

tailoredtoMSMEs

PostsasdigitalpaymentacceptorsforMSMEs

Postsasfacilitatorsfor

paymentsanddelivery

servicestoMSMEs

andsupplychain

KEYAREAS

FORCAPACITYBUILDING

Executive-levelunderstandingofpaymentdigitalizationforMSMEs–enoughtomakestrategicdecisionsonhowtoenterthemarketsuccessfully

MarketresearchtounderstandMSMEneedsandopportunitiesforpaymentdigitalization

Technicalandoperationalskillsforimplementation

POTENTIALRESULTS

OUTPUTS

MSMEsregisterfor,useandadoptdigitalpaymentsandotherfinancialproductsthatdirectlyrespondtotheirbusinessneeds

MSMEsgainconvenientaccesstoinformation,hand-holdingsupportforonboarding,andrecourseincaseofgrievances/complaintsthroughpostofficestaffandbranches

Scalinguptheproductthroughthepostalnetworkhasthepotentialtoreachbusinesses,especiallyMSMEsinurban,peri-urbanandruralareas

OUTCOMES

HybridpaymentacceptancebythePostswillleadtogreateruptake,within-centivesforMSMEstofullytransitiontodigitalpaymentacceptance

IncreasedincomelevelsowingtogrowthandexpansionofMSMEs

IMPACT

ImprovedfinancialresilienceofMSMEsandhouseholds

GainfulemploymentopportunitiescreatedasMSMEsgrowandthrive

Boosttothedomesticeconomy

AdetaileddescriptionofeachmodelisprovidedbelowfollowedbysectionsonthekeychallengestoMSMEpaymentdigitizationandtheassociatedriskconsiderations.

10PotentialpostalbusinessmodelstoserveMSMEs:Companiondocumenttothestudy“PostsasenablersofMSMEpaymentdigitalization”

MODEL1:FINANCIALSERVICESAGENTSTOMSMEs

Background

FSPagentsactasintermediariesandfacilitatetransactionsbetweenFSPsandendcustomers.Theyplayacriticalroleinmakingfinancialservicesaccessibleandaffordableforlast-milepopulationsandallowforofflinesolutionswhereInternetconnectivityisfragmented.

Forthisreason,nationalfinancialinclusionstrategiestend

toprioritizethedevelopmentoflow-costchannels,suchasagentnetworks,toallowadiverserangeofbankingandnon-bankingfinancialinstitutionstodistribute

financialproductsasameansofuniversalizingaccesstoformalfinancialservices.

Somecountriesrequirebanksandotherregulatedfinancialserviceentitiestosubmitplansforthe

geographicaloutreachoftheiroperations.Banksin

Bangladesh,forexample,requiretheappointmentofthreeruralagentsforeachagentrecruitedforurbanareas.

Thestructureofagentnetworksindifferentnational

contextsisadirectfunctionoftheprevailingregulations

anddifferenttypesofagentsexist.Regulationsdeterminetheresponsibilitiesthatagentscanexecuteonbehalfof

theFSPwhere,fromalegalperspective,thelatterremainslargelyresponsiblefortheactionsofitsagents.

ThismakesitcriticalfortheFSPor“principal”toengagewithagentsoragentnetworksthatarereliableandcanhelpthemmanageoperationalrisks,suchasthosethatmakethemliableforfraud,orissuesrelatedtocustomerprotection.Forexample,amobilemoneyagentisusuallyacash-inandcash-out(CICO)pointforamobilemoneyprovider(MMP),assistingwithutilitypaymentsand

domesticremittances,amongothertransactions,whereasabankingcorrespondent(BC)agentcanacceptdepositsonbehalfofabank.

Therearealsoagentsthatareabletodisburseloansandacceptloanpaymentsformicrofinanceinstitutions(MFIs)andbanks.Dependingondomesticregulations,agentscanalsoopenaccountsonbehalfoftheFSPs.

DefiningtheroleofPosts

Itisestimatedthat,globally,over1.5billionpeopleaccessfinancialservicesthroughpostalnetworks.Historically,

PostshaveactedasagentsforFSPsinseveralcontexts.

Forexample,VietnamPostactsasanagentforLienVietBank,offeringbankingservicesthrough63ofitsbranchesacrossthecountry.

TounderstandtheroleofPostsasagents,itwouldbe

importanttodefinethecontextinwhichsucharoleis

placed.AnagentisathirdpartythatactsonbehalfofaFSPunderanagencyagreementforthedirectdeliveryoffinancialservicestocustomers.Othertermsforthisrole

include“distributor”,“correspondent”or“servicepoint.”

FromthePosts’perspective,thisstudydoesnot

distinguishbetweennon-bankandbankingpartnerswithwhichthePostsmayenterintoanagreement.Theterm

“financialservicesagent”isforPoststhatwillactonbehalfofbanksandnon-bankinstitutionstodeliverfinancial

servicestoMSMEs.

Model1:FinancialservicesagentstoMSMEs|11

AsagentsforFSPs,thePostcanprovidethefollowing

financialservicestoMSMEs:

CICOservicesforwalletsorbankaccounts;

Payments,suchasbillpaymentsandairtimetop-ups;

Domesticandinternationalremittances;

Savings,creditandinsuranceproducts.

Rationale

Forthisspecificmodelandtherelatedbusiness

opportunities,weproposethatPostscontinuetoactasagentstoFSPswithaspecificfocusonMSMEs.

TheMSMEfinancegapindevelopingcountriesis

estimatedtobeapproximately5trillionUSD.2Currentaccesstoworkingcapitalandrisk-mitigatingfinancial

productsrequiredbytheseenterprisesisclearlynot

commensuratewiththecashflowsthattheygenerateandsustainonaregularbasis.

ThisisoftenperplexingforFSPsandregulatorsalikesincethelackofapapertrailandalackofrequisiteknowyourcustomer(KYC)documentationhasoftenleftthissegmentoutofformalfinancialservices.

ByactingasagentsforFSPsanddirectlyservingMSMEs,Postscanbringthelatterintotheformalfinancialsectorandhelpthembuildtheirdigitalfootprintandestablishanauditablefinancialtransactionhistory.Thiscan

alsoincreaseMSMEs’trustandconfidenceinfinancial

institutionsandtechnology,thuspreparingthemformorecomplexfinancialproductsandservices.

2SMEFinanceForum,[nodate].MSMEFinanceGap,SMEFinance

Forum.Availableat:

/data-sites/

msme-finance-gap

INDIAPOSTASAGENTS

Since2018,IndiaPosthasbeenprovidingfinancialservicesto

15millioncustomersontheir

doorsteps,throughpostalworkersfrom150,000branches.

Atotalof90%ofthecustomers

reachedareinruralareas,withhalf

ofthosebeingwomen.ThePost

providesCICOforsavingsaccountsandfacilitatesmoneytransfers,

paymentsandinsurancetransactionsusingahand-heldmicro-ATMthat

thepostalworkersusetoprovidedoorstepservices.

DuringtheCOVID-19pandemic,

IndiaPostdeliveredgovernment

digitallifecertificatestocustomers

whowereunabletoleavetheirhomesbecauseoflockdownsorillness.

EnabledbyIndiaPostPaymentBank’scorebankingsystem,whichbecamefullyonlinein2018,thePostisable

toidentifyandonboardcustomersthroughanationalbiometric

identificationsystemcalledAadhar.

ThePostisalsoabletoprovideCICOservicesforotherbanksthanksto

aninstantreal-timepaymentsystem

calledUnitedPaymentsInterface(UPI).

Thisfinancialservicegenerates

revenueforIndiaPostandhasproventobevitalduringtheCOVID-19

pandemic.Whenaskedaboutcriticalsuccessfactors,IndiaPostsaid“It

isacombinationofdataanddigital

transformation–completewithsafetyfeaturessuchasafirewallingand

peoplewhohaveknowledgeofdigitalplatforms.”

12PotentialpostalbusinessmodelstoserveMSMEs:Companiondocumenttothestudy“PostsasenablersofMSMEpaymentdigitalization”

Throughouranalysis,wehavefoundthemainoperationalandfinancialneedsofMSMEstoinclude:

BUSINESSMANAGEMENT

Digital/physicaldiscovery

oftheirbusinessoraccess

tomarkets

FINANCIALNEEDS

Personalsavingstoshield

microentrepreneursfrom

unexpectedfamilyevents

(suchashealthissuesor

death)thatcanimpactthe

business

RELEVANTPRODUCTS

Credit/loan

Toolstomanagepersonal

andbusinessincomeand

expensesseparately

through

business

continuity

Workingcapital debtfinanceforadvancementand

Equityinvestments

Establishment,building

andmaintenanceofaprime

credithistory

Equityfinancingfor

expansion,buildingbrandstrengthandsustainability

Businessinsurancesuch

aslife/healthgroupcover

foremployees,property/

equipmentcover,workers’

compensation,etc.

Planforpersonal

andbusinessvolatility

Insurancetobuildthe

businessandindividual

resiliencefortheenterprise

andentrepreneur

Paymentsolutionsfordigital

transactionswithcustomers,

financialmanagement

withbusinessrelationships

(suppliers/FSPs)

ForMSMEsspecifically,whilebusinessneedsmaybethesameasforanyotherbusinesssegment,theirfinancialneedsarealsodrivenbyarequirementforgreateragilityandflexibilityintheservicesoffered,

includingaccessfacilitatedbylimitedKYCrequirements.

Forexample,MSMEsneedloanswithflexibletenuresandrepaymentstructuresrangingfromdailytomonthly.Similarly,productssuchasliabilityinsurancethatcancovertheentrepreneuragainstunforeseencircumstancescanbeofferedasashieldfromnegativecopingmechanisms.

Inthismodel,wethusrecommendthatPostsnotonlyofferexistingFSPproducts,butco-createproductstogetherwiththeirpartnerFSPsandmicroentrepreneurs.ThismeansbothworkingonthebusinessandoperationalmodelanddeliveringtheproducttotheMSMEtogether.

Toreiterate,ratherthanthePostsimplyprovidingaccountopeningandCICOservicestoMSMEs,thePostandtheFSPwilltailorexistingFSPproducts(suchaswallets,savings,creditandinsurance)tocatertotheexactneedsoftheMSMEs.

Model1:FinancialservicesagentstoMSMEs|13

Businessmodelcanvas

WiththecontextsetforPostsaspotentialfinancialservicesagents,andwithspecificconsiderationsinmind,thefollowingbusinessmodelcanvasbringstogetherthedifferentelementsforthePoststoevaluatewhenconsideringthisrole.

Thisisatwo-sidedbusinessmodelwhereinthePostmusteffectivelyservetwocustomersegments(MSMEandtheFSP)forthemodeltowork.

FigureA:Businesscanvasformodel1Colourcoding:MSMErelatedFSPrelated

CUSTOMER

CUSTOMERSEGMENTS

VALUE

PROPOSITION

KEYACTIVITIESKEYRESOURCES

Businessowner

RELATIONSHIPS

Agenttrainingand

management

Ourfinancial

productsand

serviceshelp

microentrepreneurs

growtheir

Micro

entrepreneurs

Financialplatformagent

managementsystem

DigitalServicewith

Marketingandselling

Postoffers

anddelivers

servicesatthePost

officeandatthe

microentrepreneurs’

placeofbusiness

and/orhome

businessesand

protecttheirfamilies

andbusinessesfrom

financialshocks.

Postaccount

managers

co-createand

co-managefinancial

servicewithFSPs

FinancialService

providers

Agentmanagers

andagents(Post

officers)

Servicedelivery

(registration,KYC,paymentcollection)

Partner

PlatformManager

developmentand

management

SystemIntegrations

Settlementand

reconciliation

MarketingLead

Technology

Providers

Postandpost

officersforservice

delivery

Websitefor

informationand

administration

CHANNELS

Productco-creation

PartnerManager

KEYPARTNERS

Ourpostofficers

andbranchesare

accessible,trusted

membersofthe

community,andare

abletoadviseand

facilitatetheright

financialproductto

microentrepreneurs.

Mobilephonefor

communications

Time/salaryofkeyresources

Commissionand/or

transactionfees

COSTSTRUCTURE

REVENUESTREAMS

DFSplatforminvestmentsandmaintenancecosts

POShardwareandinternetconnectivity

SOCIAL&ENVIRONMENTALBENEFIT

Impactcanbemeasuredby:

-NumberofMSMEswho

nowhaveaccesstoneededfinancialservice

-Qualityofportfolio

-MSMEbusinessgrowth

Templatesource:

,assessmentbythestudyteam

14PotentialpostalbusinessmodelstoserveMSMEs:Companiondocumenttothestudy“PostsasenablersofMSMEpaymentdigitalization”

5Ibid.

Customersegments

Theillustratedbusinessmodelisanexampleofamulti-

sidedplatformwhereabusinessservestwoormore

interdependentgroupsofcustomers.3Inthiscase,the

Post–actingasanagent–willcreatevalueforboththe

MSMEsandFSPsbyfacilitatingtransactionsbetweenthetwo.Thebusinesssuccessliesinattractingandprovidingvaluetobothcustomers(MSMEandFSP)simultaneously,whileclearlyidentifyingwhichcustomerswillbethesourceofrevenueandthedriverofproductsthataretobe

offered.

SincetheMSMEswillbe“buying”theFSP’sproducts,itwillbeimportanttodesigntheproductfeaturesandexperiencefortheMSME.Inthismodel,itislikelythatthetransactionfeeswillbeprovidedbytheFSP,ratherthanthecustomer–itisrarethatendcustomerspay“conveniencefees”whentransactingviaathirdparty.

Moreover,tobeabletoservethedifferentneedsofthe

MSMEsinthedifferentregionsofthePost’scoverage,itislikelythatthePostwillhavetopartnerwithdifferentFSPstoprovideadiversifiedproductofferingacrossthewholeregionthatitintendstoserve.

Regulatorycompliance

(Thissectionisnon-exhaustiveandisspecifictoindividualcountryrequirements.)

Manycountriesmandatenon-exclusivityofagents,whileafewallowexclusivity.Inbothcases,agentsarefree

toservemultipleDFSproviders.Wherenon-exclusivity

ispossible,DFSprovidersaretypicallyresponsiblefor

assessingthecapacityofanagenttomanagetransactionsformultipleDFSprovidersbeforehiringtheagent.5

Thebusinesssuccess

liesinattractingand

providingvaluetoboth

customers(MSMEand

FSP)simultaneously,whileclearlyidentifyingwhichcustomerswillbethe

sourceofrevenueandthedriverofproductsthataretobeoffered.

Inthisbusinessmodel,FSPsremaintheownerofthe

financialproductsandarethusresponsibleforobtaining,maintainingandadheringtonecessarylicencesfortheirproducts–thisincludesliabilityfortheiragents,whichinthiscaseisthePost.

Forinstance,agentbankingregulationsinKenyaand

Tanzania(UnitedRep.)clearlystatethatthedigitalfinancialservices(DFS)providerisresponsibleandliableforall

actionsoromissionsofitsagentandemphasizethatthisresponsibilityextendstoactionsofanagent“evenifnot

authorizedintheagencyagreementaslongastheyrelatetoagentbankingservicesormatters”.4

Ontheotherhand,Postswillneedtoconsidercountry-specificregulatoryframeworksforagentmanagement,includingexclusivityclauses,transactionlimitsand

minimumcapitalrequirements.

3Osterwalder,A&Pigneur,Y,2010.BusinessModelGeneration:AHandbookforVisionaries,GameChangersandChallengers(TheStrategyzerseries),(NewJersey:Wiley).

4Kerse,M.,Meagher,P.&Staschen,S.,2020.TheUseofAgentsbyDigitalFinancialServicesProviders–Atechnicalnote.Availableat:

/research/

publication/use-agents-digital-financial-services-providers

Model2:DigitalpaymentacceptorsforMSMEs|15

MODEL2:DIGITAL

PAYMENTACCEPTORSFORMSMEs

Background

MostPostshaveanexistingbusinessrelationshipwith

MSMEs,providingdeliveryandshipmentservicesfortheirgoods.Postscanaugmentthisrelationshipbyaddinga

paymentsolutiontotheirexistingdeliveryservices.

Inthiscontext,Postscouldofferseveralsolutionsthat

allowMSMEstoacceptpaymentsaccordingtotheir

customers’preferencesandexistingcapabilitiesand

practices.Theproposeddigitalpaymentsolutionshouldbeableto:

Acceptcashanddigitalpayments

viavariousmeans,suchascards,QRsandwallets;

Acceptpaymentbothatthetimeofplacingtheorderoratthetimeofdelivery–insomemarkets,

thecustomersprefertoseetheproductbeforetheypay;

AcceptpaymentsthroughallPO

S–directviaphone,directviamessaging,directonlinesales,orviathird-partyplatforms.

Thejourneyfromcashtodigitalcanbefacilitatedby

providingtheaboveoptions,thusloweringtheentry

barriersforMSMEsandtheircustomers.Also,asthey

gainMSMEs’trustinthesystem,thePostcanencouragecustomerstoconverttodigitalpaymentsandtopaywhenorderinginsteadofondelivery.

Rationale

Thegloballast-miledeliverymarketsizeisprojectedto

reach66billionUSDby2026,comparedwith39.6billionUSDin2020,atacompoundannualgrowthrateof8.9%duringthe2021–2026period.Majorfactorsdrivingthe

growthofthelast-miledeliverymarketaretheintegrationofadvancedtechnologiesintoexistingsystems,risein

consumerdemandforjust-in-timedelivery,increaseinInternetpenetration,andexpansionofthee-commerceindustry.6

Postscanusethismomentumbyenablingdigitalpaymentservices,sincemostMSMEsarelikelytolookforpartnerswithintegratedsolutions(suchasthoseprovidedbySwissPost).

DefiningtheroleofPosts

PostswillofferdeliveryserviceandpaymentacceptancetotheirexistingMSMEclients.Toimplementthismodel,

Postsneedtopartnerwithanacquiringbankoralicensedfintechandputinplaceamerchantagreementthatwill

allowthemtoacceptdigitalpaymentsforMSMEs.

6CISIONPRNewswire.LastMileDeliveryMarketSizeisProjectedtoReachUSD66,000Millionby2026atCAGR8.9%,ValuatesReports,15December2020.

Availableat:

/in/news-releases/last-mile-delivery-market-size-is-projected-to-reach-usd-66-000-million-by-2026-at-cagr-8-9-valu-

ates-reports-869597416.html

16PotentialpostalbusinessmodelstoserveMSMEs:Companiondocumenttothestudy“PostsasenablersofMSMEpaymentdigitalization”

PostscanacceptdigitalpaymentsforMSMEsinthefollowingways:

IN-PERSONDIGITAL

PAYMENTACCEPTANCE

ToenableacceptanceofdigitalpaymentsdirectlyfromMSMEcustomersatthetimeofdeliveryusingpostal

workers’handhelddevices.

Aspartofthemerchantagreementwiththeacquirer,

thePostwillequiptheirpostalworkerswithadequate

hardwareandprovidethoroughtrainingandchange

management7fortheirstaff,sothattheycaneffectivelyacceptpaymentsonbehalfofMSMEsastheycarryouttheirdutiesinthefield.

Processflowforin-persondigitalpaymentacceptance:

1

CustomerordersgoodsfromMSMEviaphone,email,chat,socialmedia

2

MSMEfulfillsorderandthegoodsfordelivery

packs

MSMEprintsmailinglabel,enters

amountandmodeofpayment(cash,card,e-wallet,etc.)

3

4

PostpicksupparcelorMSMEs

dropstheparcelatthepostoffice

QatarPosthasenabledfullyintegratedpostaldeliveryPOSinpartnershipwithQatarIslamicBank(QIB)andQPay.

UsingthenewPOSdevice,theQPaypaymentsolutionallowscustomerstomakecashlesspaymentsondeliverywhenreceivingparcelsandothermailitems.

ThesmartPOSallowsQatarPost’s

deliverydrivertoknowtheexact

customerdetailsforeachdelivery–

includingtheamounttobecollected

–byscanningtheitemusingtheQPaydevice,whichhasbeenfullyintegratedwiththeQatarPostback-endtrackingsystem.Customersaregiventheoptiontopaybytappingtheircontactless

bankcardsonthePOS.

5Postdeliversparcel

6

7

Postcollectspayment

Ifpaymentisincash,Postwill

encouragecustomertouseexistingcardsore-walletsolution

8

PosttransferspaymentminusfeestoMSME(T-Xday)

7Asystematicapproachtodealingwiththetransition.First,initiating

smallincrementalchangesandcontrollingthepaceofchangetohelppeopletoadapt.

Model2:DigitalpaymentacceptorsforMSMEs|17

ONLINEDIGITALPAYMENTACCEPTANCEONTHE

POST’SE-COMMERCEO