The partnership will enable customers to pay globally with a virtual payment solution from Mastercard linked to the Cellulant wallet, Tingg; Mastercard’s technology will enable consumers to shop online with or without a bank account, through a simple and secure payment experience. Mastercard and Cellulant have partnered to enable millions of Cellulant customers in Africa to shop and pay online with global merchants wherever Mastercard is accepted. Mastercard’s virtual payment solution, linked to Cellulant’s payment gateway, Tingg, can unlock a number of opportunities for consumers, whether or not they have a bank account. Consumers will be able to shop from recognised global digital commerce brands, paying quickly and securely for leisure purchases, travel, accommodation, entertainment, streaming services and more, while in their home countries or traveling abroad.
The announcement comes as digital commerce and online shopping are thriving in Africa and the need for more secure means of shopping online is growing. According to the Economy 2021 Outlook by the Mastercard Economics Institute, the 20-30% increase in digital commerce related to COVID-19 will remain a permanent feature of overall retail spending, with mobile purchases largely how consumers access these opportunities. In sub-Saharan Africa, mobile devices are the main channel used to connect to the Internet. According to the GSMA, smartphone connections are expected to reach 678 million by 2025, with a penetration of 65%. As a result, alternative payment methods powered by mobile payments have begun to increasingly dominate the digital payment landscape.
Consequently, consumers increasingly expect access to a wider range of online offers and digital financial services. Most of these consumers obtain goods and services from micro, small and medium enterprises. Africa today has around 100 million MSMEs, but less than 5% of their transactions are digitised. For these businesses, virtual cards offer a compelling path to digitisation with additional benefits such as fast daily payment tracking, reconciliation and settlement, better customer and supplier relationship management, and minimised fraud risk, all without sacrificing operational speed. Leveraging these opens avenues for growth through value chain financing and ease of obtaining working capital. Mastercard is collaborating with partners to build a strong digital economy that can unlock a world beyond cash where everyone thrives.
The partnership with Cellulant plays a role in advancing Mastercard’s global commitment to financial inclusion to bring a combined 1 billion people and 50 million micro and small businesses into the digital economy by 2025. “Mastercard technology enables our digital partners redefine business interactions and experiences. By focusing on providing omnichannel multi-channel digital payment solutions, Mastercard is enabling its partners, such as Cellulant, to improve their operational efficiency, diversify their revenue and make a smooth transition to digital commerce. We see the growing proliferation of fintechs as a strategic opportunity to add value by creating more connections, better user experiences and more choice for consumers,” said Amnah Ajmal, executive vice president of market development, Eastern Europe, Middle East and Africa, Mastercard.
“We believe that seamless payment experiences are the backbone for accelerating economic growth in Africa. MSMEs are the driving force of Africa’s economy and our work on digitising payments for businesses and their consumers enables the necessary foundation for innovation, economic development and financial inclusion. By partnering with Mastercard, we look to open up more pathways that effectively position our customers for the growth they need,” said David Waithaka, Chief Revenue Officer, Cellulant Group. Over the past 18 years, Cellulant has built an extensive and unparalleled payment platform that provides local, regional and global businesses with a comprehensive payment solution that offers a frictionless payment experience for their needs across the continent. Covering 35 countries in Africa with over 300 payment integrations, Cellulant helps unite the fabric of Africa’s business landscape by making interoperability possible.
