Home > General > Affiliate Marketing Forum

How to receive money from "underbanked" countries? (9)

04-14-2021 05:27 AM #1 revale (Member)
How to receive money from "underbanked" countries?

Hi,

my fascination with the so called "emerging markets" is growing. Currently I'm running Portuguese traffic meaning I do not just get sales from Portugal but also from Brazil and Angola (didn't know they speak Portuguese there).

After a short research you find out that these "emerging markets" usually have already high percentage of their population being connected to the internet, yet the big issue are the payment methods. A large percentage of the population prefers cash payments and doesn't even have a credit card, PayPal or even a bank account.


For example: In Brazil many people are used to pay with so called "Boletos" for e-commerce. https://en.wikipedia.org/wiki/Boleto
The e-commerce site generates a document with a bar code and the customer can then pay the boleto either in cash or via online banking.

The problem is that I can't generate Boletos as a foreign entity. I need a middleman like a payment processor like adyen for example. The issue there is (apart from the time consuming application process) that they most likely will reject my "high risk" business - as so many others did.

The only solution I can think of this moment is to have the customer register for transferwise (or a similar service) and have them fill out all out all the information manually to send the money (cause these services can be payed via Boleto). I think that would technically work but the disadvantages are 1) it's a long process to type in all the information 2) People might not trust those services 3) I can't redirect them to the upsell page once the money has been sent.

Does anybody have other ideas or can share some experience on how to overcome the payment problems in these markets?

Thanks

04-14-2021 06:16 AM #2 jack_l (Veteran Member)

Quote Originally Posted by revale View Post
Hi,

my fascination with the so called "emerging markets" is growing. Currently I'm running Portuguese traffic meaning I do not just get sales from Portugal but also from Brazil and Angola (didn't know they speak Portuguese there).

After a short research you find out that these "emerging markets" usually have already high percentage of their population being connected to the internet, yet the big issue are the payment methods. A large percentage of the population prefers cash payments and doesn't even have a credit card, PayPal or even a bank account.


For example: In Brazil many people are used to pay with so called "Boletos" for e-commerce. https://en.wikipedia.org/wiki/Boleto
The e-commerce site generates a document with a bar code and the customer can then pay the boleto either in cash or via online banking.

The problem is that I can't generate Boletos as a foreign entity. I need a middleman like a payment processor like adyen for example. The issue there is (apart from the time consuming application process) that they most likely will reject my "high risk" business - as so many others did.

The only solution I can think of this moment is to have the customer register for transferwise (or a similar service) and have them fill out all out all the information manually to send the money (cause these services can be payed via Boleto). I think that would technically work but the disadvantages are 1) it's a long process to type in all the information 2) People might not trust those services 3) I can't redirect them to the upsell page once the money has been sent.

Does anybody have other ideas or can share some experience on how to overcome the payment problems in these markets?

Thanks
That's a fascinating question...

It would be great if there was a crypto app they could pay with, but I don't know if any are popular enough in those geo's to work...

I've heard some SE Asian countries now have crypto-apps almost fully integrated economically, but I don't believe I've heard of any in Brazil that have widespread use...

But yeah, I'm sure someone else with more ecommerce experience will chime in, but I imagine its just finding as many options as possible and then letting the customer choose...

It seems like with the big ecom affiliate networks its basically just credit cards/paypal... unless its an outfit specifically focusing on Cash-On-Deposit type offers...

Would love to hear if you do end up finding anything!



PS I just checked the 'Maiar' App from the crypto 'Elrond', and they are letting people buy their token (EGLD) directly through their app via the following means:

Angola: 'Moonpay'
Brazil: no options (no options in the US either though ironically lol)
Portugal: 'Moonpay', and 'Transak'

No idea if that's helpful but thought I'd toss it out there!

04-14-2021 10:02 AM #3 jeremie (Moderator)

I don't think we will see soon a crypto app massively adopted, unless some government backs a stable coin. Lots of people are still afraid of volatility which is inherent to cryptos. If your business is for tech-savvy, you may find overlap between your target clients and crypto app owners. Otherwise, I won't go that way

There is no reply to your question for emerging markets in general. It's a country by country analysis.

For Latin America, look at payment platforms supported by JumpSeller, one of the leaders in ecom. Equivalent of Shopify here.
https://jumpseller.com/payment-gateways/

In particular, the MercadoPago solution (from MercadoLibre, Latam's eBay) could be interesting as it is in several countries, and support local solutions for people without credit card.

If I had to quickly accept payments from a country, I would look at local ecom platforms which usually already have the integrations. Now, being able to open an account from the USA is another issue. If denied, ask if they would allow a company located outside USA (sometimes your great piece of bureaucracy FACTA is the problem).

For Asia, my first investigations show that they went more on all-integrated mobile banking apps, either connected to a bank account, or with a balance directly in the app, in case it is a financing/online bank app.

As for 1-click upsell, it is very unlikely that you find anything like that, at least in Latam, from a local provider. They are just now starting to allow recurring billing.

04-14-2021 11:11 AM #4 matuloo (Legendary Moderator)

I'm afraid that the only way to reach solid results in such countries is to work with local payment services/gates. Each country is different, several ones have their "own" popular system that people use on large scale so you basically have to go with what people are used to pay with already.

that they most likely will reject my "high risk" business - as so many others did.
Maybe they will, maybe they won't. You can at least try and maybe make tweaks to your setup, so it's compliant with the local laws.

What type of product are we talking about actually, is it something physical or a digital product?

04-14-2021 11:32 AM #5 revale (Member)

Quote Originally Posted by matuloo View Post
I'm afraid that the only way to reach solid results in such countries is to work with local payment services/gates. Each country is different, several ones have their "own" popular system that people use on large scale so you basically have to go with what people are used to pay with already.



Maybe they will, maybe they won't. You can at least try and maybe make tweaks to your setup, so it's compliant with the local laws.

What type of product are we talking about actually, is it something physical or a digital product?
Mostly digital information products with membership area.

04-14-2021 11:39 AM #6 jeremie (Moderator)

Quote Originally Posted by revale View Post
Mostly digital information products with membership area.
I don't know your price point, but for this type of products, a mobile pin submit / carrier billing might be an option too.

04-14-2021 11:50 AM #7 revale (Member)

Quote Originally Posted by jeremie View Post
I don't know your price point, but for this type of products, a mobile pin submit / carrier billing might be an option too.
The price point is between 50 and 500 USD/Euro. I've never though about mobile pin submit yet.

04-14-2021 12:08 PM #8 matuloo (Legendary Moderator)

Quote Originally Posted by jeremie View Post
I don't know your price point, but for this type of products, a mobile pin submit / carrier billing might be an option too.
That's why I actually asked what the product was as I wanted to suggest exactly the same thing Looks like we think alike

But I see that the price point of revale's products is too high for this.

04-14-2021 07:09 PM #9 leewyhertlein (Member)

In BR check out for MercadoPago and PagSeguro, both accept boleto. Maybe PayPal accept too, I'm not sure.

Transferwise is not know in BR and their register proccess is not an easy flow in the country. Unless you're offering a REALLY good and unique product I doubt a good % of clients would register there just for a one time purchase.

As you offer a digital product, check Monetizze (https://monetizze.com.br/) it is a type of ClickBank which sells physical products also. They accept a lot of "risky" nutra stuff, "how to gamble" digital products (and gambling is prohibited in BR) so maybe your digital product could be accepted there. Their payment flow is very easy and it accepts recurring also.

Home > General > Affiliate Marketing Forum