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How Digital Wallets are Remodeling Remittances as an Entry-point for Home Staff into Formal Monetary Providers

That is the third in a three-part sequence inspecting a recent strategy to digital remittances in Indonesia.

By Angela Ang, Elwyn Panggabean, and Ker Thao

Over the past six months, we launched a pilot program with DANA, one in every of Indonesia’s largest e-wallet suppliers, to offer a digital remittance resolution for home staff to ship a refund dwelling in a protected and safe means. The pilot resolution was initially designed to focus on DANA’s current customers who could possibly be potential employers of home staff and leveraged them as the primary touchpoint in introducing DANA as a viable remittance channel. By means, employers would assist train their staff about the advantages and values of utilizing DANA, offering a less expensive, quicker, and safer digital avenue for staff to ship cash dwelling.

Taking an iterative strategy within the pilot implementation

Initially, the pilot mission was deliberate to be launched throughout a three-month, three-part part: the primary and second with a deal with concentrating on employers as a touchpoint to succeed in home staff, serving to them sign-up their home staff for DANA accounts, and educating them about DANA and tips on how to use DANA to switch cash dwelling; whereas the third part spanned during the last two months, immediately focused the home staff with a deal with constructing buyer’s confidence and expertise in utilizing DANA. Whereas the primary and second phases confirmed optimistic ends in serving to home staff with entry and use of DANA as a remittance service, the third part confirmed a big enhance in engagement and use.

Key learnings from the pilot

Program Consciousness
Most of the members of the home employee remittance program realized about this system via quite a lot of completely different channels and media resembling via word-of-mouth referrals, the most well-liked and trusted technique between staff, from different customers who had been taking part in this system (buddy, neighbor, relative, or employer) and thru DANA’s Instagram web page and tales. The analysis highlighted extra avenues to succeed in a bigger home employee viewers, with prospects suggesting extra commercials and messages in locations that they frequented: companion retailers (resembling comfort shops); social media (YouTube and TikTok, which they use for leisure); and leveraging influencers to assist get the message throughout.

This system used messaging that was focused in the direction of home staff resembling “Program untuk Mbak ART” or Program for home helpers, which helped staff really feel appreciated in a way that this was a program made particularly for them. We additionally included taglines that talked about sending cash to their “household, village, or again dwelling”, which resonated with prospects. Consequently, they got here to know the advantages and values of utilizing DANA and regarded it as a handy instrument that could possibly be used at their fingertips, it was simple to make use of, and supplied 10x free transfers a month.

Program Signal-up and Onboarding
It was evident throughout the first two phases of this system that employers weren’t the best means to assist home staff sign-up for an account. This was additional validated within the pilot analysis. We found that staff who wished to take part in this system had been keen, ready, and able to signing themselves up for their very own account, with the caveat that the majority of those that had been ready to take action are usually extra tech-savvy and digitally literate. They had been resourceful and in a position to entry movies and tutorials that which had been supplied throughout the program to assist them full the required steps. The remainder of the home staff realized with the assist of members of the family or their employer.

Whereas employers didn’t change into an ideal sign-up touchpoint, they had been efficient in offering schooling and serving to their staff to make use of DANA. Nonetheless, the employers had been confronted with challenges of their very own. A number of the main challenges had been attributable to staff not having smartphones or not being as tech/digitally-savvy, which discouraged employers from taking part and assist their staff take part as effectively. One other problem was that employers didn’t have the time and/or data to show their staff. Many employers had no objections in assuming the educating function, however most popular somebody who was a lot nearer to the employees (like household, mates, or friends) to show them with some saying that the tutorial piece ought to come immediately from DANA.

Transacting with DANA and different Use-cases

General, the answer program proved to achieve success. It helped train home staff tips on how to use DANA to make remittance transfers again dwelling and with the development of customers who began to know the advantages and values of utilizing DANA, they turned extra inquisitive about exploring different use-cases. We noticed as a direct end result, prospects who participated in this system began utilizing DANA for invoice funds (electrical energy tokens and water payments), top-ups, and on-line procuring. Moreover, they even began to make use of DANA Targets—a short-term financial savings aim function in DANA.

Drivers and Detracting Elements for Utilization
As part of the analysis, we recognized particular components that helped drive the usage of DANA for remittance providers and past, in addition to detracting components that forestalls prospects from utilizing DANA.

Drivers Detractors
Focused messaging and communications helped prospects see and really feel that this system was aimed toward them

Reminder messages and in-app notifications helped to nudge prospects on the proper time to remind them to make use of DANA to ship cash dwelling

Ease of use and transacting made prospects wish to discover different use circumstances

Program incentives (raffles and rewards) additionally helped to drive use


Clients who didn’t have assist or a trainer to assist information them prevented them from studying and utilizing

Clients who didn’t have a smartphone or shared their smartphone with others resulted in them not with the ability to take part

Clients who didn’t perceive the Phrases and Situations of this system (the required steps wanted to be accomplished to be able to qualify for this system and to qualify for modifications to win incentives)



Incentives for Utilization Past Raffles and Rewards

The pilot analysis confirmed that the best resolution elements had been a mixture of key advertising/messaging, reminders, and incentives to assist drive utilization. The focused advertising and messaging had been efficient to relay the values and advantages of utilizing DANA for home staff and struck a chord with a program that was designed particularly for them. The communications about DANA’s values and advantages had been clearly understood by prospects. Reminders performed a crucial function within the resolution as effectively. It helped to nudge prospects who could have forgotten about utilizing DANA and helped remind prospects that DANA could possibly be used for a lot of different transactions past remittance transfers.

By the pilot analysis, we additionally found that whereas many purchasers had been initially drawn to this system as a result of likelihood to win money prizes and rewards. Nonetheless, upon additional utilization, many began to see the precise advantages and values of utilizing DANA. It was seen as a quick, simple, and free solution to transact. As well as, it was additionally seen to be a safe and protected solution to ship cash dwelling; whereas on the identical time simple to study. These had been the actual incentives for utilizing DANA as a remittance channel. It’s encouraging to see as this system helped construct person confidence and digital monetary capabilities via a learn-by-doing strategy which gave them the digital instruments to transact and handle their very own cash.

Subsequent Steps: Scaling for Impression for all Home Staff

The mission offers evidences on the effectives of utilizing remittances to assist carry migrant staff, on this case, home staff, into formal monetary providers, in addition to showcasing the vital function of digital wallets, like DANA, to drive digital remittance providers in Indonesia. The enterprise alternative on (home) remittances is large and could be a sturdy use-case to focus on the low-income section, significantly migrant staff.

With the success of this pilot program with DANA, Ladies’s World Banking is trying to scale this resolution to the remainder of the home employee neighborhood in Indonesia. We plan on creating an answer that particularly targets them to offer a protected, safe, and straightforward solution to ship cash dwelling. As well as, we wish to measure the affect of the answer on the lives of girls prospects and plan to conduct an outcomes analysis. The upcoming analysis will measure the impacts of the answer within the quick and long-term intervals in the direction of girls’s (financial) empowerment.

Our ongoing efforts are to maintain buyer engaged and proceed to study to make use of digital monetary providers for his or her day by day monetary wants by constructing their digital monetary capabilities and confidence so that they can also change into advanced and multi-case customers. It’s our hope, at Ladies’s World Banking, that options resembling this may assist assist low-income girls develop to change into extra assured and impartial customers who can enhance their monetary well being, monetary resilience, and monetary independence to make their very own monetary selections within the long-term.



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