Hopefully I'm on the right track Mohnish? Here's another one of...

Hopefully I'm on the right track Mohnish?

Here's another one of my posts from a while back on the 'solution layers' you mention.

Thanks Marty.

You wrote;

My question is how do you see the Bharat Bill Payment System & UPI? Some people appear to see them as a poison. I most certainly don't. What is your view Tony?

As I mentioned in my opening thread post last night, the branches on this tree of ours have certainly increased in just a short space of a few years. There are now five solid branches (existing business lines with products on the market in India) that have branched off this tree with potential for many many more to grow.

Two potential sub-branches off the five main branches are the Bharat Bill Payment System & the Unified Payments Interface (UPI) as you also highlighted. So where would these sub-branches potentially grow from?

Answer... from Solid branch #3 = Bill Payment Solutions.

At present, the company has 400 odd Bill Payment Kiosks/Terminals products on the market throughout India. Many of these Kiosks/Terminals have been on the market for approximately a decade. However, the company's Bill Payment share of the market is almost negligible right now at only 400 machines in a population of over 1.2 billion people. What's the potential scope and scale here? A new Bill Payment solution has recently been launched in pilot Phase 1 across India called the Bharat Bill Payment System (BBPS). Anyone who has done even a bit of research on the BBPS solution will understand how game changing this system will be across India. 31 billion bills were paid per annuum in India. As I said, TSI's share was almost negligible at 400 kiosks, but that could dramatically change with the introduction of the BBPS.

Why?

Once investors realise that TSI India are working with 30 plus banks and various high profile Utility Companies and Financial Institutions, are now serving over 500 million customers and are performing 525 million transactions per year, it might just sink in.

So how do TSI India capitalise on this new BBPS solution?

Page 12, point 6.1.1 (b) is instructive. No doubt TSI India would have applied for the BBPOU license, but even if they don't qualify they can still become an agent of an existing BBPOU as per point (b).

http://www.npci.org.in/documents/BBPS-Procedural-Guidelines.pdf

Sub heading 4.1 point #3 & 5 also has me very interested. Why? Look at where these bills can be paid and via what particular mode! Do people realise the significance here? What are some of the BBPS outlets? Bank branches, ATMs, Kiosks etc. Refer to point #5 on page 9. Do you see where I'm going with this? TSI India have a strong foothold in everyone of those outlets!

Now remember the reply you received from management below Marty? One of the questions I had asked was question #6. Please have a read of that again folks.

http://hotcopper.com.au/threads/questions.2774858/page-66?post_id=17864038#.V2iOOvl97IX

As for the Unified Payments Interface (UPI), I'll come back to that in another post, but here's one of the points that Mr. Nilekani highlighted in the video presentation I posted a while ago...

BBPS - will create a complete digitization of bills. A bill will come into your payment box and you can pay that bill with UPI. These digital payment systems will be integrated and they will be API based.

How's that for integration!!

Market is so behind on this one it's laughable.

Tony