Pilot and Rollout Issues for Mobile Phone Banking Services

This paper states that pilot testing and incremental entry for mobile phone banking services is difficult due to the newness of the technology, new partner relationships and regulatory challenges. The challenges in pilot testing and rolling out mobile phone banking services include:

• Institutional issues, such as staff training, developing a marketing and publicity strategy, and developing back office systems;
• Regulatory compliance issues, such as understanding the Basle risk management principles for electronic banking;
• Pilot testing and monitoring with staff, clients and merchants to study their response and assess how the system performs in different locations;
• Partnership support and coordination among banks, MFIs, mobile network organizations, merchants and third party service providers.

Pilot testing mobile phone banking applications can also be challenging due to the potential for exponential uptake, which may make controlled pilot tests more difficult. Finally, smaller MFIs will most likely need to work together or through networks in order to offer mobile phone banking solutions.