DFS Toolkit #4: Develop Your Own Agent Network
Download All Four Toolkits Here
For a financial institution (FI), developing its own proprietary agent network is a tantalizing option, presenting both potential and perils. In this 4th DFS model, a financial institution identifies, recruits, trains, brands and manages its own network of third-party agents which distributes its financial products and services.
Agents are the cornerstone of any digital financial service (DFS). They allow clients to deposit or withdraw from their account, often at a small kiosk or local store, without needing to physically visit an FI’s branch. An FI may decide that, rather than rely on an agent network offered by another DFS provider, such as a mobile network operator, it will manage its own network. However, this approach comes at a significant cost to the FI in both time and resources.
Is developing an agent network right for your FI? Find out in this free toolkit, Develop Own Network. Inside, you will get:
1. A step-by-step guide to implement this agent model
2. A real-world case study of an FSP that developed its own agent network, and the opportunities and challenges it presented
3. A budget template
4. A risk mapping exercise
5. Key performance indicators so your financial institution can track its success
Download the DFS Toolkits and Case Studies Now.
Two more toolkits in the DFS series will be released over the coming months, so watch the MicroLead website for more info!
MicroLead, a UNCDF global initiative which challenges financial service providers to develop, pilot and scale deposit services for low income, rural populations, particularly women, was initiated in 2008 with support from the Bill & Melinda Gates Foundation and expanded in 2011 with support from Mastercard Foundation and LIFT Myanmar. It contributes to the UN’s Sustainable Development Goals, particularly SDG 1 (end poverty), SDG 2 (end hunger, achieve food security and promote sustainable agriculture) and SDG 5 (achieve gender equality and economic empowerment of women), as well as the Addis-Abeba Financing for Development Agenda (domestic resource mobilization).
MicroLead works with a variety of FSPs and Technical Service Providers (TSPs) to reach into previously untapped rural markets with demand-driven, responsibly priced products offered via alternative delivery channels such as rural agents, mobile phones, roving agents, point of sales devices and informal group linkages. The products are offered in conjunction with financial education so that customers not only have access but actually use quality services.
With a specific emphasis on savings, women, rural markets, and technology, MicroLead is a performance-based programme that supports partnerships which build the capacity of financial institutions to pilot and roll out sustainable financial services, particularly savings. As UNCDF rolls out the next phase of MicroLead, it will continue to focus on facilitating innovative partnerships that encourage FSPs to reach into rural remote populations, build on existing digital financial infrastructure and emphasize customer-centric product design.
For more information, please visit www.uncdf.org/microlead. Follow UNCDF MicroLead on Twitter at @UNCDFMicroLead.