MicroLead partner UGAFODE, supported by the technical service provider, MEDA, has taken a partnership approach to group savings, linking to savings groups organized by existing community-based organizations.
“When an FSP links to a savings group,” says UGAFODE’s Nathan Barigye, “it’s opening one group account, but it has the opportunity to open accounts for each of the 18-20 group members. FSPs also have the ability to cross-sell other products within groups. Finally, members of savings groups already have a savings culture. This enables them to more easily maintain a savings account.
“However, cross-selling remains the greatest market opportunity. For UGAFODE, our cross-selling is doing well, because individual customers can open accounts where they don’t have a limit, security is high, and they have access to more services. Then, outside the group, these new customers are individually able to access a range of formal financial services, including alternate savings options.”
UGAFODE was featured in a case study on small balance deposit mobilization. You can download and read the case here.
Read about UGAFODE's three-pronged engagement strategy to reach rural women here and the story of a UGAFODE savings group here. UGAFODE is also featured in MicroLead's Digital Financial Services Toolkit #3L Leverage an Existing Agent Network. And watch for this space for the upcoming UGAFODE case study!
Photo (top) courtesy of UGAFODE.
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