Tagit launches aggregated mobile banking service in Vietnam
Date: Jan 02, 2013
Categories: Retail Banking, Technology & Operations
Singapore, December 21st 2012 - Tagit, a leading Singapore-based mobile banking solutions company, today announced the launch of the first aggregated mobile banking service by leading Vietnamese payment switch operator, Smartlink.
Over 40 million domestic bankcard holders and 120 million mobile users in Vietnam are expected to benefit from Tagit’s Mobeix platform when Smartlink jointly deploys mobile services with the network’s growing base of member banks across Vietnam. Tagit’s collaboration with Smartlink will set the trend in Vietnam’s mobile payment space, opening up new growth opportunities for the mobile payments ecosystem in this market.
The new aggregated service business model from Tagit allows payment networks to deploy robust, scalable and secure mobile solutions, enabling member banks to offer innovative mobile services in a timely and cost-effective manner. Tagit will be adopting a usage-based model, an alternative business model from its current enterprise model that it has adopted with its banking customers.
Speaking on the collaboration and the launch of the new service in Vietnam, Mr. Navtej Singh (“Naffi”), Tagit’s President and Head of Business Development, said, “This is an important milestone for Tagit as we introduce our aggregated service, which will expand the user base on Tagit’s mobile platform and expand our presence in the region. By connecting with payment switch networks like Smartlink, Tagit’s mBanking platform will be quickly made available to all network member banks.”
Mobile penetration rate in Vietnam is estimated at 136%, according to a study by Pricewaterhouse Coopers, while smartphones penetration is relatively low at 11% based on statistics from GfK Asia, leaving room for growth for smartphones and mobile services in the market. With Vietnam ranked 25th among 35 countries in the MasterCard’s Mobile Payments Readiness Index, Vietnam’s mobile payments sector is slated to flourish in coming years.
The first bank to launch Tagit’s mobile banking service in conjunction with Smartlink is Vietcombank, the largest member bank under the Smartlink network. The new VCB Mobile B@nking application allows customers to perform core banking transactions which include account information query, funds transfer within Vietcombank system, bill payments and topups for prepaid mobile services. The application will be supported by all mobile networks in Vietnam and is compatible across all operating systems, including iOS, Android, Blackberry and Java systems. Through Tagit’s platform, customers of Smartlink will also be able to connect with other players within the mCommerce ecosystem and third-party entities, such as utility companies and government agencies in Vietnam.
In collaborating with payment networks like Smartlink, Tagit stands to increase their reach in their target markets and strengthen their position as a leading mobile solutions provider.Previously, Tagit has delivered mobile banking solutions for banks including DBS Bank, Singapore and Hong Kong, CitiBank India, UOB, Standard Chartered Bank and Maybank in Asia, to MovenBank and Royal Bank of Canada in North America.
Re-disseminated by The Asian Banker