Mpesa Agent Earnings: Customers Withdraw Or Deposit Money
The modification that was made to the remuneration structure for Safaricom Mpesa agents is a significant improvement that enables improved profitability for agents across the board for all transaction bands. This modification represents a substantial shift in the manner in which Mpesa agents can profit monetarily from their services, and it is anticipated that it will have a considerable impact on the approach that they take to their business.
Under the revised rates, Mpesa agents would be eligible for higher profit margins on deposits over a broad spectrum of transaction bands, which will be to their advantage. This pattern is especially obvious for deposits ranging from fifty to one hundred Kenyan shillings, where agents can now profit up to four shillings on each transaction. Even though this might seem like a very insignificant amount, it actually represents a more fair distribution of commissions across the various transaction sizes.
However, the most lucrative opportunity for Mpesa salespeople lies in transactions involving larger sums of money, specifically those ranging from 50,000 to 70,000 shillings. The commission fee is astronomically high here, coming in at 190 shillings. Because of this huge increase in price, agents who handle larger transactions are rewarded, which motivates them to target customers who have major financial transactions.
In order to make the most money possible, Mpesa agents should strategically place themselves in areas with significant foot traffic and a big number of customers who use the service for both making deposits and withdrawals. These locations have a greater likelihood of generating a constant flow of transactions, which in turn increases the agents’ potential earnings.
It is also important to note that the fee structure for using Mpesa has been adjusted in recent times. Withdrawals that range from 50,000 Kenyan shillings to 75,000 Kenyan shillings will now incur a cost of 5,000 Kenyan shillings. Because of this dynamic, there is a possibility that it will have an effect on consumer behavior, making it more enticing for individuals to transmit money via the Mpesa system rather than withdraw cash, which is now associated with increased charges.
