This paper shares the experience of designing and launching Jipange KuSave (JKS), a process that highlights the importance of iterative testing, vigilant innovation accounting, rapid customer development, and commercial model validation. It also exposes the innovator’s dilemma in trying to provide savings services for the poor. Can licensed incumbents think beyond the short-term need to win and serve the wealthy few customers who are already banked, and invest next-generation products like JKS that use technology to open up banking to millions of potential new customers?
Hughes, N., Ivatury, G., Petrides, J., & Rutherford, S. (2011). Liquidity and savings in the age of M-PESA. MIT Innovations, 6(4), 27-42.