First, we are global. We have full operations in 6 countries while others operate only in their home country.
Second, we focus on rural areas where 2.5 billion people who lack access to finance live. Others focus on cities where doing business is convenient and everything is easily accessible.
Third, “Digital”. We have developed our own IT system for people at “Emerging Grass Roots” economy and keep updating it every day.
At the end of 2015, we were in only 3 countries: Thailand, Cambodia and Laos. In 2016, we have full-scale operations in 6 countries and with every country profitable. In Indonesia, we achieved profitability in very first quarter after receiving our business license. No other finance company can perform faster than that.
* Recorded more than USD $30 million in Net Income *
The key focus for our finance business is controlling bad debts. It is very important to select customers who will pay on time to control the bad debts.
The important point of screening is to “Know Your Customer (KYC)”. We focus on understanding our customer’s real information. At screening, our staff visit all customers house by motorcycle. Our staff interview each customer at his or her house, confirm its location and the customer’s background, and interview the neighbors to reconfirm the information.
Typical finance companies focus on documents, having their staff to collect and check papers. However, our target “Emerging Grass Roots” customers do not have such documents, so we cannot screen via documents. Additionally, it is very common in our emerging markets that documents are old and inaccurate and therefore do not provide us with true information. We control our bad debts ratio, very low compared to peers, by our own screening system.
Our staff key in and send useful and true information through our original application to headquarter in real-time. Our country headquarters can then make a decision in a couple of hours based on the in-person collected information. Our method provide us with a fast and efficient screening.
This is our basic business unit: one table, a few chairs, one computer, one smart phone and one or two staff.
The investment amount per one unit of POS is about USD $400. The low cost explains why we can expand so quickly in rural areas. We do not have Managers at our POS but instead connect each one directly to our local headquarters. Alternatively, other finance companies set up attractive but expensive branches with offices, air-conditioning, electricity and many other facilities. This system has huge cost and speed differences compared to ours. Our “flat structure without middle cost” allows us to expand as fast as opening 100 POS in half a year while other finance companies “hierarchy structure with big middle management costs” prevents them from doing so.
To accelerate our expansion, we are forming alliances with companies in different fields who already have POS networks. For example, we can provide finance via their POS and through their agents. We can achieve this because we have our original IT system.
We will connect with all current dealers and partners networks. Our partners, TrueMoney, which has about 5,000 agents in Cambodia, and AMK Consortium, which has about 22,000 retail shops in Myanmar, will be connected through our original IT system
These dealers become our dealers who introduce “Emerging Consumers” to us and become our clients as “Emerging Enterprises” at the same time.
At the end of 2015, we had about 1,000 dealers.
At the end of 2016, we had more than 50,000 dealers.
At the end of 2015, we had about 200 thousand contacting customers.
At the end of 2016, we had about 20 million potential contacting customers.
High-speed expansion and small investments, these are the strong points of our Digital Finance.
10 million shops and 100 million customers in 2018.
We are IT company and also a finance company. We have expandability like an IT company, monetizing ability like finance company and real points of contact to reach customers in rural areas. We can sell any products and serve any kinds of business. This is our Digital Finance business.
Continue to lead IT Innovation
Continue to lead Finance Innovation
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Digital Platform for Billions of People.
Digital Platform for Millions of Products.