Ivory Coast / Mobile Money: MTN increases market share

MTN’s share of the Côte d’Ivoire mobile money market has increased more than 2% over the past 18 months to 36%, despite falling profitability after Wave’s arrival.

“We continue to have a good performance compared to the market where our target was to exceed it by 1% and we now hold 36% of the market share,” said Gabriel, General Manager of MTN Ivory Coast, on Friday evening, in Abidjan. Ouattara, according to Abnews.

He was speaking at a party called “Djussi Party” organized by the telephone company on Labor Day. A moment during which the public administration presents the ambitions and challenges of the subsidiary company.

Over the course of two years, he’ll note, “we’ve actually captured more than 2% of market share (specifically) over the past 18 months, which is a fantastic performance” because of the work that’s been done on the company’s managed transformation.

“Despite the significant drop in Mobile Money revenue and the fact that we are below our Mobile Money target by more than 35%, of total revenue, we are still 100% below expectations,” he noted.

In this context, which has been marked by the Covid-19 health crisis, the phone company last year generated “revenues in excess of CFA 9.6 billion”. In the first quarter of 2022, the subsidiary registered about 5.2 billion CFA francs.

“It is a decrease of more than 46% (…) and we drop a lot on income due to the mechanical decrease in the price to the client, but despite everything we are still attracting and increasing our clients,” A- wondered.

“The drop in profitability started in the third quarter of 2021 with lower tariffs and we deteriorated sharply to move to a loss of more than 3 billion CFA francs that had to be compensated,” he continued.

According to Mr. Djibril Ouattara, “If we compare the same period, we find that its growth is 36% the same, and 16% is above budget.” In addition, the volume of incoming and outgoing cash has improved.

With the adjustments made last year, Mr. Ouattara noted, “There is a growth in volumes and number of transactions, and this is what allows us to maintain our competitive position.”

This moment, which occurred after two years of latency, was a friendly moment for the General Manager to reaffirm the commitment of the company and give the necessary energy to management and staff to achieve the goals.

He presented the challenges facing the company, starting with the group’s strategic priorities, entitled “Ambition 2025”, stressing that the group wants to “provide digital solutions to Africans and advanced digital solutions.”

Sharing this dimension of the company’s behavior, he noted that the subsidiary’s ambition is “to guide the operations of evolving communities, to create value that can be shared in all communities and transform some of our portfolios.”

The subsidiary has set itself five priorities for 2022, with changes to Fintech of Mobile money, as it is “in the process of structuring itself differently so that it can reposition itself in the Fintech market.”

It also aims to achieve strong growth in the field of data and the Internet, with the activation of a large number of users on the network with many innovations in order to achieve a significant growth of close to 40% annually.

Already, it is “on a full-fledged turnaround of production tool for rapid deployment” of its network to increase 4G and 3G coverage in certain areas. In 2022, more than 250 new websites should be up and running.

The group has been spreading positive results on the continent for the past seven years. In recent months, the stock market curve has risen sharply, reaching an all-time high. In Côte d’Ivoire, the subsidiary has also launched a 5G test.

“We continue to roll out 5G in select areas so that people can learn about this technology,” he added, adding to the customer experience.

The company has shown strong resilience, and has kept 100% of jobs since the start of the Covid-19 health crisis. Mr. Djibril Ouattara welcomed the “good immunization coverage” estimated at more than 80%.

The Djossi party was held in Marcory, south of Abidjan at the company’s headquarters, and turned into a festive venue, where top management and other employees shared meals.

A staff representative, Yves Aymar Casey, explained workers’ complaints, including reassessing the payroll network, maintaining skills, resuming a couple’s dinner and starting a staff real estate project.

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