In a bid to boost revenue by hundreds of millions of Rands, retailers are increasingly selling virtual products and services known as Value Added Services (VAS). However, it is not as simple as selling normal stock as VAS which includes products such as; prepaid airtime, prepaid electricity, gift cards, bill payments, money transfers, e-tickets and loyalty transactions, all provide different challenges.
Electrum, a FinTech business based in Cape Town, is providing retailers and banks with the technology platform that they need to connect their systems to VAS providers and sell Value Added Services.
The Electrum platform, which runs in the cloud, was specifically designed for VAS management, transaction processing and payments integrations. It provides fast, reliable, VAS integrations and easy-to-use management tools. It runs either as a stand-alone VAS platform or in conjunction with a retailer’s existing payments switch.
Electrum enables retailers to quickly bring VAS to market, reduces the cost of adding new integrations and in turn, drives additional revenue. Electrum is South Africa’s best platform for providing a single integration point that connects a retailer’s payments environment to the relevant VAS providers.
The tremendous growth of VAS has created substantial demand from South African retailers such as Pick ‘n Pay for the technology to support the sale of these services. Founded by three of South Africa’s top payments tech experts, Electrum developed a solution to fulfil this need.
The growth of VAS in the retail business is exponential according to Jason Peisl the IS Executive of Customer Applications at Pick n Pay who explained that, “We are continuously adding new VAS to meet consumer demand for these products, and drive revenue growth. Electrum has allowed us to rapidly expand our market offering and manage the complexity of integrating with more than thirty third party VAS providers.”
Dave Glass, Electrum Managing Director, said that they realized a solution for processing VAS transactions was needed and that there was nothing out there that could cope with the demands, “Our cloud-based VAS platform is now processing billions of VAS transactions per annum, and we’re helping our customers grow their bottom line.”
Glass concluded that, “One of Electrum’s challenges in meeting customer demand is finding talented software developers as there is very limited supply in South Africa. However, we have found that Electrum is a very attractive place for developers to work, and we have built an excellent team with some real superstars.”