The number of ATMs in India will double over the next four years, to 200,000, as regulatory changes that open the market up to non-banks take effect, according to Celent.
A doubling of installed base is the most obvious area of growth for service providers. A less obvious, but potentially more lucrative source of revenues lies in the relatively large number of transaction types catered to by ATMs in India. It's common for
ATMs to go well beyond their traditional role as cash dispensers and balance inquiry terminals to support ticket booking, P2P remittance, religious donations, mobile top-up and many more value-added features.
You would have hoped that India would bypass the whole need for ATM's by using Mobile technology like some African nations. They are going to invest millions for what?
Nokia tried mobile money in India and gave up. Vodafone never got past its single-state pilot for its M-Paisa mobile payments service in India, despite achieving blockbuster success with M-Pesa in Kenya and a couple of other markets in Africa. The country's
largest MNO is currently on its third attempt with mobile payments. Just the title of this FT article explains very well why India is not a promising market for mobile money:
to $120K base + bonusNew York City, NY (USA)
© Finextra Research 2015