Oh really? What happened to innovation? Edith From: kictanet [mailto:kictanet-bounces+eadera=idrc.ca@lists.kictanet.or.ke] On Behalf Of Odhiambo Washington Sent: March 12, 2013 5:06 PM To: Edith Adera Cc: KICTAnet ICT Policy Discussions Subject: Re: [kictanet] Safaricom On 12 March 2013 16:20, Edith Adera <eadera@idrc.ca<mailto:eadera@idrc.ca>> wrote: Listers, It just occurred to me to ask if anyone knows whether you can convert airtime to mpesa money and effect a transfer via mpesa? If not, has Safaricom thought of this innovation? Edith Hi Edith, A previous discussion by techies somehow came to a consensus that it is close to impossible/untenable: http://orion.my.co.ke/pipermail/skunkworks/2012-September/070111.html -- Best regards, Odhiambo WASHINGTON, Nairobi,KE +254733744121/+254722743223 _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ I can't hear you -- I'm using the scrambler.

Brian, I've checked their service, it's done at a huge premium of 35% cost!! and no guarantee that money will be sent to me unless they have proven reputation. Safaricom should tell us if they have anything in the works? Edith From: kictanet [mailto:kictanet-bounces+eadera=idrc.ca@lists.kictanet.or.ke] On Behalf Of Brian Ngure Sent: March 12, 2013 5:25 PM To: Edith Adera Cc: KICTAnet ICT Policy Discussions Subject: Re: [kictanet] Safaricom There is a company that does this: http://www.facebook.com/pages/Peoples-Market-Kenya-PMK/358014810880759 See also this thread: http://www.kenyaplex.com/discussionforum/12438-transferring-money-from-airti... On Tue, Mar 12, 2013 at 5:05 PM, Odhiambo Washington <odhiambo@gmail.com<mailto:odhiambo@gmail.com>> wrote: On 12 March 2013 16:20, Edith Adera <eadera@idrc.ca<mailto:eadera@idrc.ca>> wrote: Listers, It just occurred to me to ask if anyone knows whether you can convert airtime to mpesa money and effect a transfer via mpesa? If not, has Safaricom thought of this innovation? Edith Hi Edith, A previous discussion by techies somehow came to a consensus that it is close to impossible/untenable: http://orion.my.co.ke/pipermail/skunkworks/2012-September/070111.html -- Best regards, Odhiambo WASHINGTON, Nairobi,KE +254733744121/+254722743223 _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ I can't hear you -- I'm using the scrambler. _______________________________________________ kictanet mailing list kictanet@lists.kictanet.or.ke<mailto:kictanet@lists.kictanet.or.ke> https://lists.kictanet.or.ke/mailman/listinfo/kictanet Unsubscribe or change your options at https://lists.kictanet.or.ke/mailman/options/kictanet/brian.ngure%40gmail.co... The Kenya ICT Action Network (KICTANet) is a multi-stakeholder platform for people and institutions interested and involved in ICT policy and regulation. The network aims to act as a catalyst for reform in the ICT sector in support of the national aim of ICT enabled growth and development. KICTANetiquette : Adhere to the same standards of acceptable behaviors online that you follow in real life: respect people's times and bandwidth, share knowledge, don't flame or abuse or personalize, respect privacy, do not spam, do not market your wares or qualifications.

Edith, Some years ago, I made my daily bread designing mobile banking products for Cellulant, one of which was the 'Transfer to MPESA' service from your bank account and reverse, and I had a look at this particular option. It would be possible, technologically, but the business case and amount of reconciliation that would be required makes it unlikely that Safaricom will do it. 1. Airtime is booked by Safaricom as sales and contributes to revenues, while MPESA float is money that Safaricom holds on your behalf and only charges you a small portion when you transact. Transferring to MPESA would technically be a refund to you of money that Safaricom may have already paid out a commission to distributors of, say, 10%. They would need to charge you, say 25%, to recoup their commission and make 15% on the money that you are transferring. 2. While they register the sale when you actually use the airtime *(or should anyway -this is Safaricom)* the ways in which you can use airtime is limited - call, text, data, or transfer - all from which Safaricom makes substantial margins. Your airtime in its entirety is for Safaricom to ' take ' in the delivery of their service. Transferring airtime to MPESA would mean that Safaricom only takes a small portion of the total volume as charges that may need to be split with agents, rather than taking all of it, which would be more profitable for them. 3. On the reconciliation side: For all the transactions that MPESA handles, there is usually very little in terms of actual cash movement. To create MPESA float, an equivalent sum must have been received by the trustee bank, CBA. One reason, to ensure that Safaricom is not 'creating money'. In the airtime-MPESA transfer, Safaricom would be required to transfer cash from its sales account, to the MPESA account, and that would possibly need to be done before they could create the float. That transfer would need to reflect on all other records - from airtime sales to cash in bank. There would need to be very, very many people using the service for it to make sense for Safaricom. -- Joel Macharia mobile:: +254 712 210 600 on twitter <http://twitter.com/themacharia> | on linkedin<http://ke.linkedin.com/in/joelmacharia/> www.macharia.co.ke -- On Tue, Mar 12, 2013 at 5:40 PM, Edith Adera <eadera@idrc.ca> wrote:

Brian,****

** **

I’ve checked their service, it’s done at a huge premium of 35% cost!! and no guarantee that money will be sent to me unless they have proven reputation.****

** **

Safaricom should tell us if they have anything in the works?****

** **

Edith****

** **

*From:* kictanet [mailto:kictanet-bounces+eadera= idrc.ca@lists.kictanet.or.ke] *On Behalf Of *Brian Ngure *Sent:* March 12, 2013 5:25 PM

*To:* Edith Adera *Cc:* KICTAnet ICT Policy Discussions *Subject:* Re: [kictanet] Safaricom****

** **

There is a company that does this: http://www.facebook.com/pages/Peoples-Market-Kenya-PMK/358014810880759****

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See also this thread: http://www.kenyaplex.com/discussionforum/12438-transferring-money-from-airti... ****

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On Tue, Mar 12, 2013 at 5:05 PM, Odhiambo Washington <odhiambo@gmail.com> wrote:****

** **

On 12 March 2013 16:20, Edith Adera <eadera@idrc.ca> wrote:****

Listers,****

****

It just occurred to me to ask if anyone knows whether you can convert airtime to mpesa money and effect a transfer via mpesa?****

****

If not, has Safaricom thought of this innovation?****

****

Edith ****

** **

Hi Edith,****

A previous discussion by techies somehow came to a consensus that it is close to impossible/untenable:

http://orion.my.co.ke/pipermail/skunkworks/2012-September/070111.html ****

-- Best regards, Odhiambo WASHINGTON, Nairobi,KE +254733744121/+254722743223 _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ I can't hear you -- I'm using the scrambler.

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The Kenya ICT Action Network (KICTANet) is a multi-stakeholder platform for people and institutions interested and involved in ICT policy and regulation. The network aims to act as a catalyst for reform in the ICT sector in support of the national aim of ICT enabled growth and development.

KICTANetiquette : Adhere to the same standards of acceptable behaviors online that you follow in real life: respect people's times and bandwidth, share knowledge, don't flame or abuse or personalize, respect privacy, do not spam, do not market your wares or qualifications.****

** **

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The Kenya ICT Action Network (KICTANet) is a multi-stakeholder platform for people and institutions interested and involved in ICT policy and regulation. The network aims to act as a catalyst for reform in the ICT sector in support of the national aim of ICT enabled growth and development.

KICTANetiquette : Adhere to the same standards of acceptable behaviors online that you follow in real life: respect people's times and bandwidth, share knowledge, don't flame or abuse or personalize, respect privacy, do not spam, do not market your wares or qualifications.

-- Joel Macharia mobile:: +254 712 210 600 on twitter <http://twitter.com/themacharia> | on linkedin<http://ke.linkedin.com/in/joelmacharia/> www.macharia.co.ke