Consulting Services for Deposit Mobilization Strategy Development

2016-01-31 - 2016-06-30
Kenya

Musoni DTM Limited is a credit only microfinance institution and the first MFI in Kenya to go 100% mobile thus being cash free, enabling clients to repay their loans by using mobile money transfer products. The institution has the intention of becoming a deposit taking microfinance institution and has therefore contracted LFS to develop a deposit mobilization strategy and designing deposit products using alternative delivery channels. The output of the project will serve to prepare Musoni to start the preoperational phase for deposit mobilization. The project is undertaken in a creative and sustainable process: Musoni is one of the most innovative MFIs in Kenya, with a unique relationship-capacity based model that is fully cashless, leveraging on the M-Pesa network for repayments. Its deposit mobilization strategy should strengthen the innovative reputation of the MFI and leverage on the staff’s innovative power and its client base that appreciates the convenience alternative delivery channels. In other words: great emphasis is put throughout the project to not to emulate anything existing but to think new.
Following Services are provided to Musoni: Demand and Supply Market Analysis Qualitative evaluation of potential segments of savers (behavior & requirements) and assessing their receptiveness towards alternative delivery channels (ADC) providers Assess the competitive environment for savings products (especially MMTs and transactional accounts) and mapping additional ADC options and their competition-cooperation environment Institutional Assessment and recommendations for change SWOT Analysis in regard to savings products and the companies delivery channels Strategy Workshop for savings products and its delivery channels Recommendations on deposit products and its alternative delivery channels based on customer-centric product design Define the segmentation of the target market Design a range of products with corresponding channels Decide on priorities and dependencies among the products defining a client-product matrix Develop an overall deposit mobilization strategy and implementation plan