MINISTRY OF EDUCATION AND TRAINING

HO CHI MINH UNIVERSITY OF ECONOMICS AND FINANCE

MIDTERM REPORT
The Course: Mobile Commerce

Topic: Analysis of Momo e-wallet application

Lecturer: Ms. Dang Thi Thu Hang

Student’s Group member: 03

Student’s Code Student’s Full name

215046093 Nguyễn Thị Huyền Trang
215120955 Phạm Thị Thúy Duyên
215122365 Trần ánh Huyền
215120205 Nguyễn Thanh Như
225121552 Lê Huỳnh Kim Oanh

Ho Chi Minh City, October 2, 2024

 TABLE OF CONTENTS
TABLE OF CONTENTS ............................................................................................. 1
LIST OF FIGURES AND TABLES ............................................................................ 2
I. INTRODUCTION .................................................................................................. 3
1.1. Company Introduction ...................................................................................... 3
1.2. Authorized Capital ............................................................................................ 3
1.4. Development history ......................................................................................... 5
1.5. Vision, mission and core values ........................................................................ 6
II. ANALYZE............................................................................................................. 7
2.1. Swot analysis ..................................................................................................... 7
2.2. Market Analysis .............................................................................................. 14
2.3. Competitors ..................................................................................................... 16
2.4. Value Chain Analysis of MoMo ..................................................................... 17
2.5 MoMo's revenue model .................................................................................... 27
2.6. Customer experience ....................................................................................... 28
2.7. Issues for improvement ................................................................................... 36
III. PROPOSED SOLUTION................................................................................. 37
Solutions to improve the current situation ............................................................. 37
IV. CONCLUSION .................................................................................................. 38
V. REFERENCE ...................................................................................................... 40

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 LIST OF FIGURES AND TABLES
Figure 1. Momo's logo .................................................................................................................................... 3
Figure 2. Momo Interface ............................................................................................................................... 5
Figure 3. MoMo is the only Fintech that has grown in market share ........................................................... 14
Figure 4. MoMo is the Fintech that is loved and used the most by all three generations X, Y and Z ........... 14
Figure 5. MoMo's level of popularity also leads absolutely in all three generations (Gen) X, Y and Z. ...... 15
Figure 6. Deposit and withdraw money in Momo ......................................................................................... 18
Figure 7.Momo transaction statistics by country ......................................................................................... 18
Figure 8. Electricity payment services on momo. ......................................................................................... 19
Figure 9. Telecommunications utilities on momo. ........................................................................................ 20
Figure 10. Insurance finance on momo. ....................................................................................................... 21
Figure 11.Affiliate payments on momo. ........................................................................................................ 22
Figure 12. Travel utilities on momo.............................................................................................................. 23
Figure 13. Entertainment utilities on momo. ................................................................................................ 23
Figure 14. Momo's partners (1) .................................................................................................................... 24
Figure 15. Momo's partnerships (2) ............................................................................................................. 25
Figure 16. Marketing and advertising .......................................................................................................... 26
Figure 17. Customer support service ............................................................................................................ 26
Figure 18. Age group of survey participants ................................................................................................ 29
Figure 19. Occupation of survey participants .............................................................................................. 29
Figure 20. Income of survey participants ..................................................................................................... 30
Figure 21. Evaluate MoMo user experience in terms of simplicity/ease of use ............................................ 31
Figure 22. . Evaluate MoMo user experience in terms of usefulness............................................................ 31
Figure 23. Evaluate the overall MoMo user experience .............................................................................. 32
Figure 24. User experience of momo features and performance .................................................................. 32
Figure 25. User experience on security ........................................................................................................ 33
Figure 26. User experience of customer service and support ....................................................................... 33
Figure 27. Survey of user desires for additional functionality ..................................................................... 34
Figure 28. . User survey on technical errors/unsatisfactory experiences ..................................................... 35
Figure 29. Suggestions to improve user experience ..................................................................................... 36

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I. INTRODUCTION

1.1. Company Introduction

MoMo, officially known as M_Service, is a leading FinTech startup in Vietnam that

offers a mobile electronic wallet and payment application for iOS and Android devices.
Founded in 2007 and headquartered in Ho Chi Minh City, MoMo has grown to become
the largest mobile wallet company in Vietnam, serving millions of users nationwide.

Figure 1. Momo's logo

1.2. Authorized Capital

As of the end of September 2023, CVS had a charter capital of 157.5 billion VND. Of
this, M_Service, the parent company of MoMo e-wallet, held 7.7 million shares,
representing a 49% stake.
1.3. Products / Services
MoMo's services are designed to cater to a wide range of financial needs, making it a
versatile and comprehensive mobile wallet solution. Here are some of the key services
offered by MoMo:
- Nationwide Cash Transfers: Users can transfer money quickly and securely to any
bank account or MoMo wallet across Vietnam. This service is particularly useful for
sending money to family and friends, paying for goods and services, or handling
emergency financial needs.

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- Bill Payments: MoMo allows users to pay various types of bills, including electricity,
water, internet, and cable TV, directly from their mobile phones. This feature simplifies
the bill payment process, saving users time and effort.
- Mobile Phone Recharges: Users can easily recharge their mobile phones with just a
few taps. MoMo supports recharges for all major mobile carriers in Vietnam, ensuring
that users stay connected at all times.
- Personal Loan Settlements: MoMo provides a convenient platform for users to settle
their personal loans. This service helps users manage their finances more effectively by
offering a straightforward way to make loan payments.
- Purchase of Various Services: MoMo offers a wide range of services that users can
purchase directly through the app. These include:
- Software Licenses: Users can buy licenses for various software products, ensuring
they have access to the tools they need for work or personal use.
- Online Game Cards: Gamers can purchase game cards for popular online games,
making it easy to top up their accounts and continue playing.
- Airline Tickets: MoMo partners with major airlines to offer users the ability to book
and pay for flights directly through the app.
- Movie Tickets: Users can buy movie tickets for their favorite cinemas, allowing them
to enjoy the latest films without the hassle of standing in line.

MoMo's extensive network of partnerships with 24 domestic banks and international

payment networks, including JCB, MasterCard, and Visa, ensures that users have access
to a comprehensive and secure payment solution. This network allows for seamless
integration with various financial institutions, providing users with a reliable and
efficient way to manage their finances.
By offering a diverse range of services and maintaining strong partnerships, MoMo
continues to enhance its position as a leading mobile wallet in Vietnam, providing users
with a convenient and secure platform for all their financial needs.

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 Figure 2. Momo Interface

1.4. Development history

MoMo's journey to becoming Vietnam's leading super app, with over 30 million users,
50,000 business partners, and 140,000 acceptance points, has been marked by several
milestones.
● In 2009 - 2010:
MoMo was officially launched with a license from the State Bank of Vietnam.
● In 2014 - 2015:
Momo became the first Vietnamese e-wallet to launch a mobile app and reached
500,000 users
● In 2016 - 2017:
MoMo achieved the highest level of PCI DSS security certification and was
recognized as the "Best Mobile Product in Vietnam" by Asia Banker.
● In 2018 - 2019:
MoMo was ranked among the top 50 fintech companies globally by KPMG and
was listed among the top 100 fintech companies promoting financial inclusion in
the digital age by IFC.

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● In 2020 - 2021:
MoMo has expanded its services to meet all daily needs of Vietnamese
consumers, transitioning from Vietnam's number one e-wallet to its leading super
app.
1.5. Vision, mission and core values
- Vision: MoMo aims to become the leading super app in Vietnam, providing
comprehensive financial solutions and daily services to enhance the quality of
life for Vietnamese people. The company envisions a future where financial
services are accessible, efficient, and affordable for everyone, contributing to a
cashless society and promoting financial inclusion.
- Mission: MoMo’s mission is to improve the lives of Vietnamese people and
merchants by leveraging technology to offer superior, simpler, and affordable
financial solutions and daily services. The company strives to empower its users
with easy access to financial services, thereby fostering economic growth and
development.
- Core Values:
● Customer-Centric: MoMo places the needs and experiences of its customers at
the forefront of its operations, continuously innovating to provide the best
possible service.
● Innovation: The company is committed to driving innovation in financial
technology, constantly seeking new ways to enhance its services and stay ahead
of market trends.
● Integrity: MoMo operates with the highest standards of integrity, ensuring
transparency and trust in all its dealings.
● Collaboration: The company values teamwork and collaboration, both
internally among its employees and externally with partners and stakeholders.
● Social Responsibility: MoMo is dedicated to making a positive impact on
society, contributing to community development and supporting charitable
causes through initiatives like the MoMo Charity Wallet

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II. ANALYZE

2.1. Swot analysis

S - STRENGTHS W - WEAKNESSES

● Diverse Services
● Widely Accepted by Users
● Limited coverage
● Community Activities
● High Service Fees
● High Brand Recognition
● Effective Customer Retention
Strategy

O - OPPORTUNITIES T - THREATS

● The demand for e-wallets is ● Fierce Competition

increasing ● Legal Corridor
● Huge Market Potential ● Cash Usage Habits
● Vietnam's E-Wallet Community Is
Not Collaborative
● The security of e-wallets is still not
high

2.1.1. Strengths

- Diverse services:

● MoMo allows users to pay for more than 500 different services including
electricity, water, internet bills, apartment fees, phone top-ups, booking airline
tickets, train tickets, bus tickets, hotel reservations, buying food, drinks, paying
for coffee, filling up gas, shopping and financial services such as banking and
insurance.

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 ● Besides, the application also integrates the function of accumulating reward
points, exchanging reward points for shopping vouchers, raising piggy banks for
refunds or donating to charity activities. At the end of 2020, MoMo launched the
"travel, travel" feature.
● In addition, MoMo is the first mobile payment application in Vietnam to
integrate "One Touch Payment" technology, allowing customers to make
transactions with one touch of the screen.

- Widely received by users:

● In the first month of its launch, this application had hundreds of thousands of
downloads, becoming one of the five financial applications with the highest
number of downloads on Google Play. In September 2015, MoMo was listed in
the top ten free apps on the Apple Store Vietnam and was also the first mobile e-
wallet application to reach one million users. On September 22 of the same
month, the application entered the top 2 free applications on the App Store
Vietnam.
● In a survey published by Nhip Cau Dau Tu magazine in April 2018, MoMo was
the "number one e-wallet in Vietnam". In October of the same year, MoMo
became the first representative of Vietnam to be included in the Fintech100 and
was listed in the Top 50 "Rising Stars". A year later, MoMo jumped from 84th
to 36th, entering the list of 50 leading companies in Fintech100.
● As of October 30, 2018, MoMo was listed in the top 20 free applications on the
Google Play app store and led the list of free financial applications.
● In addition, this application is also the most used financial application in 2020
nominated by App Annie, and is also one of the ten brands with "excellent
customer experience" announced by KPMG. This is also the first e-wallet brand
in Vietnam to be on this list.

- Community activities:

● MoMo Wallet and its partners have implemented many community support
programs such as mobilizing donations to support congenital malformation

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 surgery for children, online walking activities to support the "support to school"
scholarship fund, and supporting children with cancer.
● In addition, during the COVID-19 pandemic in Vietnam, this e-wallet launched
the music video "Great little things" to encourage people to fight the epidemic,
and donated 1 billion VND to the Central Committee of the Vietnam Fatherland
Front.
● In 2020, MoMo Wallet launched the "MoMo Academy" contest, creating an
academic playground, with knowledge from many fields in the form of questions
and answers, attracting 6 million participants after 2 weeks. On October 4, the
contest ended with a prize of 1 billion VND awarded to the champion of the
contest.

- High brand recognition:

● It can be said that MoMo is one of the first developers of Fintech (financial
technology) services in general and e-wallets in particular in Vietnam.
● With the leading advantage, it is not difficult to understand why MoMo is always
the brand that occupies the "top of mind" position in the hearts of users.

- Effective customer retention strategy:

● With the launch of the "trust score" feature, Momo encourages customers to
increase their scores to receive exclusive benefits.
● To increase trust scores, users can perform tasks such as verifying personal
information, increasing the frequency of payments with Momo wallet, and
paying loans on time. Thereby, AI will calculate and give results, based on these
parameters, users will receive the following benefits: Discount when buying
insurance; Increase savings limit with lucky bag; Increase limit of postpaid wallet
and loans.

2.1.2. Weaknesses

- Limited Coverage:

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 ● Although cooperating with many large partners, Momo's destinations are mostly
in large provinces and cities. This makes it difficult for many people in rural areas
to access the direct deposit/withdrawal method.
● At the same time, in rural areas, there are not many stores that accept payment
via Momo, thereby this brand has not effectively covered its services.

- High service fees:

● Although in Momo's marketing campaigns, this business always emphasizes the

free money transfer feature. However, this only really applies to internal money
transfers within the application.
● For money transfers or withdrawals to the bank, Momo sets a free transfer limit;
when used up, users will have to pay a fee of up to 0.6% of the transaction value.

2.1.3. Opportunities

- The demand for e-wallets is increasing:

● The increasing demand for online payments is largely driven by the shift in
consumer demographics. As Gen Z, a generation known for its adaptability to
technology, becomes the dominant consumer force, their preference for digital
solutions is driving the growth of e-wallets.
● A study by Nielsen revealed that over 70% of Gen Z respondents have a
significant influence on family purchasing decisions. Their familiarity with
technology and the convenience offered by e-wallets have led to a rapid adoption
of digital payments.
● In Vietnam, MoMo, Moca, and ZaloPay emerged as the top three e-wallets,
accounting for over 90% of mobile payments in Ho Chi Minh City and Hanoi.
Cimigo's survey found that Vietnamese e-wallet users make an average of 1.6-2
transactions daily, spending approximately VND230,000-274,000 per
transaction.

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 ● The COVID-19 pandemic accelerated the adoption of e-wallets and contactless
payments. A Visa survey indicated that 57% of Vietnamese consumers have
multiple e-wallet apps and prefer all-in-one solutions.

- Huge Market Potential:

● With an increasingly connected young population and a rapidly growing

economy, Vietnam has become a promising market for Fintech in general and e-
wallets in particular. Having only started in 2015, after 7 years of development,
consumers now have many choices with more than 30 e-wallet service providers.
● This demonstrates the huge potential for the development of the e-wallet market
in Vietnam. In 2020, it is estimated that there are about 19.2 million e-wallet
users nationwide and the number of users is forecast to nearly triple in the next 5
years.

2.1.4. Threats

- Fierce competition:

● The Vietnamese e-wallet market has witnessed a surge in recent years, with
numerous players vying for market share. Popular e-wallets like MoMo, Moca,
ZaloPay, ViettelPay, Payoo, and ShopeePay (formerly Airpay) have been leading
the charge. However, new entrants like MobiFonePay have also emerged, adding
to the competition.
● According to data from the State Bank of Vietnam (SBV), as of June 30, 2021,
in Vietnam, there were 43 non-bank organizations that had been granted a license
by the SBV to provide intermediary payment services; of which 37 organizations
had provided e-wallet services to the market, with a total number of active e-
wallets of about 16.39 million (an increase of about 2.75 million compared to the
end of 2020).
● In 2022, the fierce competition in the e-wallet market may push e-wallet
providers to merge into a few leading regional and local super apps to dominate
the market. Not only that, many super apps and service providers in other

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 economic sectors (such as e-commerce, retail and financial services) will also
join hands to cooperate.
● Typically, MoMo e-wallet, to consolidate its position as the leading super app in
the market by increasing the provision of financial services to 31 million existing
customers, expanding the market by providing digital transformation solutions
for millions of small and medium enterprises (SMEs) in Vietnam and continuing
to promote investment in Vietnamese companies to expand the ecosystem,
MoMo has repeatedly called for investment capital.
● Not only MoMo, many other e-wallets are also promoting the expansion of their
ecosystems. Specifically, in addition to providing full basic utilities such as
paying for phone, electricity, water, Internet, paying loans, insurance fees,
apartment service fees, public services, tuition fees, buying tickets (trains,
planes) ... e-wallets are building their own games, incentive programs or linking
with e-commerce platforms such as Lazada, Tiki, Shopee, Sendo, Zalora ... to
increase the experience and utilities for customers. E-wallets with many utilities,
suitable for their customers will have an advantage in the race to attract
customers.
● In particular, ShopeePay is exploiting its competitive advantage (USPs) as an
integrated payment platform in the market-leading e-commerce platform Shopee;
MoMo has shown its strength in diversifying services, payment utilities and
affiliate partners. In addition, VNPAY, with the strength of an e-payment
gateway platform, owns an "impressive" network of payment affiliate partners.
● ZaloPay has the advantage of converting users directly in the Zalo Chat
application. ViettelPay with a telecommunications ecosystem allows money
transfer via phone number. Moca (GrabPay) with an ecosystem belonging to the
Grab super application. SmartPay with a specific customer group of small traders
and SMEs...
● Amidst the fierce competition trend of the whole industry, e-wallet brands with
good ecosystems will dominate the market share, while the remaining wallets
without ecosystems will have to compete in all aspects.

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- Legal corridor:

● The legal corridor on the application has not been fully and officially approved,
there is no competent authority to ensure the safety of users' assets in case of
disputes.
● In particular, there are no sanctions or laws regulating the legality of e-wallets
and the risks.

- Cash usage habits:

● Cash usage habits of people, especially the elderly or in rural and mountainous
areas with difficult access to technology.
● It can be said that cash is a competitor that greatly hinders the development of e-
wallets.

- Vietnam's E-Wallet Community Is Not Collaborative:

● Although many e-wallets have been born and are popular such as Samsung Pay
or Apple Pay... However, there is no connection between units, leading to chaos
in e-wallet accounts.
● When a user can create accounts on many e-wallets at the same time, the
customer's account will be managed by many different sources, so when there is
an incident, it is very difficult to assign responsibility to one party. In addition,
e-wallet applications still lack symbiosis with banks, leading to limited speed in
cash flow.

- The security of e-wallets is still not high:

● Currently, application providers have set up the most optimal protection layers
for customers.
● However, incidents such as losing phones or having information stolen are still
difficult to avoid.

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2.2. Market Analysis

Figure 3. MoMo is the only Fintech that has grown in market share

MoMo holds 68% of the e-wallet market share (penetration rates), while the market
shares of other brands all decreased compared to the fourth quarter of 2022.

Figure 4. MoMo is the Fintech that is loved and used the most by all three generations X, Y and Z

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The report also shows that MoMo is the most favorite Fintech with a preference level
of 48%, an increase of 2% compared to the fourth quarter of 2022.

Figure 5. MoMo's level of popularity also leads absolutely in all three generations (Gen) X, Y and Z.

Summary: MoMo is currently one of the leading e-wallets in Vietnam, occupying a

significant market share. This application has become an indispensable part of many
people's daily lives.
Momo's customer target segment

Market segment: Momo chooses a market segment consisting of people with low
income or working remotely who need to transfer money without fees and do not require
a large limit.

Target customers:

Age: Mainly focusing on young people aged 18-45. This is a group with high access to
technology, often using smartphones and having a large need for electronic payments.

Income: MoMo initially targeted people with low and middle incomes, with the need
to transfer money quickly, free of charge and without linking a bank account. However,
with the development of the application, MoMo has expanded its service range to
customers with higher incomes.

Behavior: MoMo's customers tend to use smartphones, prefer fast and convenient
online transactions.

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2.3. Competitors

The e-wallet market in Vietnam is growing strongly with the participation of many
major competitors. Among them, MoMo is currently leading with about 79% market
share. MoMo's main competitors include ZaloPay, ShopeePay, ViettelPay, VNPay and
GrabPay by Moca.

The reason for choosing the competitors

ZaloPay: ZaloPay takes advantage of the popular messaging platform Zalo, providing a
large potential user base. With direct integration into the Zalo application, ZaloPay
brings convenience to users in making transactions. In particular, ZaloPay focuses on
young customers who tend to use e-wallets more. Currently, ZaloPay accounts for about
59% of the market share.

ShopeePay: ShopeePay is deeply integrated into the Shopee e-commerce platform,

making online payments easier. ShopeePay regularly launches attractive promotions to
attract users. In addition, ShopeePay is constantly expanding its services, from online
payments to other financial services. ShopeePay currently accounts for about 44% of
the market share.

ViettelPay: With a wide telecommunications network, ViettelPay has an advantage in

reaching customers in rural areas and places with limited internet connection. ViettelPay
provides a diverse service ecosystem, from bill payment to money transfer, creating a
complete service ecosystem. Viettel's customers are often highly loyal, creating
favorable conditions for ViettelPay to expand its market share. ViettelPay currently
accounts for about 32% of the market share.

VNPay: VNPay has a widespread payment acceptance network, present at most points
of sale, from small retail stores to large supermarkets. VNPay cooperates with many
banks, creating favorable conditions for users to link their bank accounts. VNPay is
considered one of the most reputable and stable e-wallets on the market, accounting for
about 20% of the market share.

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GrabPay by Moca: GrabPay, developed by Moca, integrates with the Grab application,
one of the most popular super apps in Vietnam. Grab users often use GrabPay to pay for
transportation, food delivery and shopping services, creating convenience and
encouraging the use of this e-wallet. With Grab's strong growth in the delivery and
transportation sector, GrabPay can compete strongly with MoMo. GrabPay currently
accounts for about 11% of the market share.

2.4. Value Chain Analysis of MoMo

MoMo's value chain encompasses all activities related to creating and delivering
products and services to customers in an efficient manner. This chain is divided into two
main parts: primary activities and support activities.

2.4.1 Primary Activities

2.4.1.1 Deposits and Withdrawals

MoMo is partnered with over 40 banks in Vietnam, offering users the ability to deposit
money into their wallets from bank accounts and withdraw money from their wallets to
banks or through transaction points. According to statistics from the State Bank of
Vietnam in 2022, more than 60% of e-wallet transactions in Vietnam are related to
deposits and withdrawals, with a total transaction value exceeding VND 300 billion per
day.

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This service enables MoMo to reach a wide range of users in areas with underdeveloped
banking systems, thereby enhancing access to digital financial services.

Figure 6. Deposit and withdraw money in Momo

2.4.1.2 MoneyTransfers
MoMo allows users to transfer money between MoMo wallets and from MoMo wallets
to bank accounts. The convenience and security of this service have earned MoMo the
trust of its users. According to a 2023 report from MoMo, more than 2 million money
transfer transactions are made daily on this platform.

Figure 7.Momo transaction statistics by country

2.4.1.3 Bill Payment

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MoMo provides payment services for electricity, water, Internet, and other services.

Figure 8. Electricity payment services on momo.

This convenience makes MoMo a popular payment method for many households in
Vietnam. According to MoMo's 2023 survey, up to 70% of users use MoMo wallet to
pay bills at least 3 times per month.

2.4.1.4 Telecommunication utilities

MoMo allows users to top up their mobile accounts and pay for telecommunication
services, meeting the need for convenient access to prepaid and postpaid
telecommunication services.

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 Figure 9. Telecommunications utilities on momo.

With Vietnam’s mobile-centric population, this service is a natural fit for an e-wallet
provider like MoMo. By integrating with telecommunications providers, MoMo creates
value by making it easier for customers to manage their telecommunications costs.

2.4.1.4 Financial and insurance services

Another important aspect of the MoMo value chain is its partnerships with financial
institutions and insurance companies.

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 Figure 10. Insurance finance on momo.

MoMo allows users to purchase insurance policies and manage financial products such
as savings and investment accounts. This diversification not only extends MoMo’s
functionality beyond payments but also transforms it into a broader financial services
platform. By providing tailored financial solutions, MoMo increases customer retention
and drives cross-selling opportunities.

2.4.1.5 Affiliated Payments

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Integrating affiliate payments with other online platforms and retailers is a key part of
MoMo’s strategy to dominate the cashless payments space in Vietnam. By connecting
directly with multiple e-commerce sites and retail chains, MoMo allows users to make
payments without switching between apps. This promotes both user convenience and
retailer partnerships, thus creating a network effect where more users attract more
retailers and vice versa.

Figure 11.Affiliate payments on momo.

2.4.1.6 Travel

MoMo’s entry into the travel industry allows users to book flights, hotels and tours
directly through the app. With the growing trend of domestic and international travel,
this feature expands MoMo’s customer base, ensuring higher engagement from a new
segment of users who value convenience

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 Figure 12. Travel utilities on momo.

2.4.1.7 Entertainment Services

In addition to useful financial and payment services, MoMo also provides a series of
outstanding entertainment services, including booking movie tickets, viewing lottery
results, and Vietlott SMS services, expanding its own application scope. For booking
movie tickets, MoMo provides seamless connectivity with many cinema systems,
allowing users to easily book tickets and choose seats online.

Figure 13. Entertainment utilities on momo.

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2.4.2 Support activities
2.4.2.1 Technology and technical infrastructure

MoMo has invested heavily in information technology systems, including security

technology and transaction processing systems. With an average of more than 10 million
transactions per day, building a strong security and transaction processing system is
essential. MoMo is currently using advanced technologies such as AI and blockchain to
protect data and optimize processing speed.
2.4.2.2 Partners and partnerships

Figure 14. Momo's partners (1)

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MoMo has built a cooperative ecosystem with thousands of partners in many different
industries. They link with financial institutions, banks, and e-commerce platforms to
expand the user network and create mutual value.

Figure 15. Momo's partnerships (2)

In 2023, MoMo announced that it has partnered with more than 40 banks and 10
insurance companies.

2.4.2.3 Marketing and advertising

MoMo uses a strong advertising strategy through promotions, discounts and social
media advertising to attract new users and retain existing users.

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 Figure 16. Marketing and advertising

2.4.2.4 Customer Service

MoMo invests heavily in its customer support system, including 24/7 online support.

Figure 17. Customer support service

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2.4.2.5 Corporate Governance

Building a management team and long-term development strategy helps MoMo not only
maintain its position in the market but also expand its operations into new areas.
MoMo's leadership aims to reach 50 million users by 2025.

2.5 MoMo's revenue model

MoMo's revenue model is built on optimizing revenue sources from both individual
users and businesses. MoMo's main revenue channels include:

2.5.1 Transaction fees

MoMo makes a profit from transaction fees applied to both individual users and
business partners.

Withdrawal fees: MoMo users are exempt from small transactions, but when
withdrawing money from the wallet to a bank account exceeding the free limit, MoMo
applies a fee of about 0.5% - 1%. Every day, MoMo processes millions of transactions,
and withdrawal fees account for a large part of revenue. According to the report,
MoMo's revenue from withdrawal fees reached VND 200 billion in 2022.

Business partner payment fees: MoMo collects commission fees from service providers
when users make payment transactions. This fee ranges from 1% to 3% depending on
the type of service. Corporate partners such as Tiki, Shopee, and large retail chains
contribute significantly to MoMo's revenue, with a total transaction value of up to VND
30 trillion in 2023.

2.5.2 Interest from idle cash flow

MoMo takes advantage of users' unused money to deposit in banks and earn interest.
With millions of users, the unused balance can amount to thousands of billions of VND
per day. It is estimated that the interest that MoMo receives from this can account for
10% - 15% of total annual revenue.

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2.5.3 Revenue from financial services

MoMo partners with financial institutions to provide services such as insurance,

consumer loans, and investments. MoMo receives commissions from partners when
their users use these services. For example, revenue from insurance services via MoMo
grew by 30% in 2023, contributing about VND 100 billion to the company's total
revenue.

2.5.4 Advertising and partner marketing

MoMo allows partners to market and advertise products through the application. With
more than 31 million users, this is an effective advertising channel that many businesses
are willing to pay to access. In 2023, MoMo signed advertising contracts worth more
than VND 150 billion with major brands.

2.6. Customer experience

To gain a comprehensive view of the user experience when using MoMo e-wallet, we
will conduct a detailed analysis of the survey data. By exploring user reviews, feedback
and suggestions, we will evaluate factors such as user interface, features, performance
and customer service. The goal of this process is to identify strengths, weaknesses and
opportunities for improvement, thereby providing specific suggestions to enhance the
user experience and increase customer satisfaction.

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2.6.1 User information

Figure 18. Age group of survey participants

The majority of surveyed users are in the 18-30 age group: This is a young group, often
using mobile devices and tending to quickly access new technology. This shows that
MoMo has been successful in attracting and serving this group. The percentage of users
in other age groups is quite low: The group of users over 30 years old accounts for a
small percentage. This may show that MoMo needs to have marketing strategies and
product improvements to attract more users in older age groups.

Figure 19. Occupation of survey participants

Students account for the highest proportion: This shows that MoMo has attracted a large
number of student users, a group with a fairly large demand for e-wallets.

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Freelancers and those who work while studying also account for a significant
proportion: This shows that MoMo not only attracts students but also young people who
have income and want to manage their personal finances effectively.

Full-time employees account for a relatively low proportion: This may be because full-
time employees often have more e-wallet options and may be familiar with another e-
wallet.

Figure 20. Income of survey participants

Most users have an income of less than 10 million VND: This shows that MoMo is
being widely used among people with middle and low incomes.

There is a small proportion of high-income users: Attracting high-income users shows

that MoMo is gradually becoming a popular application for many different customer
groups.

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2.6.2. Evaluate the customer experience

Figure 21. Evaluate MoMo user experience in terms of simplicity/ease of use

Overall, users appreciate the simplicity and ease of use of the MoMo application. The
intuitive interface, clear instructions and simple transaction process are factors that help
MoMo create a good impression on users. However, some users still feel that the
interactions to use MoMo e-wallet are time-consuming and laborious: This shows that
there are some aspects of the application that need to be improved to optimize the user
experience.

Figure 22. Evaluate MoMo user experience in terms of usefulness

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Based on the chart, it can be seen that Momo e-wallet has met users' needs for a fast,
convenient and safe payment method. Momo's outstanding features such as fast
payment, friendly interface and timely transaction notifications have contributed to user
satisfaction.

Figure 23. Evaluate the overall MoMo user experience

Momo e-wallet has created a good impression for users. The ability to meet daily
payment needs and good user experience are the main factors that help Momo receive
high appreciation.

Figure 24. User experience of momo features and performance

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Meeting payment needs: Momo's most outstanding strength is meeting users' daily
payment needs well. This shows that Momo has become an indispensable part of many
people's daily lives.

Figure 25. User experience on security

It can be seen that users highly appreciate the security level of Momo e-wallet. This
shows that Momo has implemented good security measures to protect user information.

Figure 26. User experience of customer service and support

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MoMo's customer service and support receive positive reviews from users. Customers
are satisfied with the enthusiastic and professional support of the MoMo team. MoMo
has built an effective customer support team, helping to resolve customer problems
quickly and professionally.

Figure 27. Survey of user desires for additional functionality

MoMo users desire a more comprehensive platform. Beyond basic functions, they seek
an "all-in-one" app for tasks like buying train tickets, gold, and making international
payments. Integration with e-commerce platforms like Shopee and personalized
services are also highly valued. Financial services like savings and investment are
additional features users demand, indicating a potential expansion for MoMo into this
sector.

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 Figure 28. . User survey on technical errors/unsatisfactory experiences

Transactions: Users encounter many difficulties during transactions, from connecting

to banks, making payments to receiving change. This shows that MoMo's transaction
system is still unstable and needs to be improved.

Application stability: The application often has errors, lags, and interruptions during
use, causing discomfort to users. This directly affects the user experience and reduces
the reliability of the application.

Information and transparency: Users feel a lack of clear information about MoMo's
services and products, especially about packages and promotions. This leads to
confusion and causes negative experiences for users

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 Figure 29. Suggestions to improve user experience

Users want Momo to improve the User experience in many aspects, from improving
customer service quality to improving the application. Issues with transactions, speed
and stability of the application are the points that Momo needs to focus on to retain
customers and attract new users.

2.7. Issues for improvement

2.7.1. Conclusion

Based on data from a survey on user experience on the Momo e-wallet, we found that
the Momo application has the following advantages and disadvantages:
Advantages Disadvantages

● Simple, easy-to-use interface ● Some technical errors

● Meets basic daily payment needs ● Processing speed
● Quite diverse features ● Not personalized
● Good security

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 2.7.2. Identifying issues from the survey

Based on the survey, we have compiled some of the main problems that users often
encounter that affect the user experience of MoMo:
● Processing speed: Some users have reported that the processing speed when
logging in, browsing the home screen, and paying by scanning QR codes is slow.
● Technical errors: During use, users may encounter technical errors such as not
being able to link a bank or having difficulty depositing money into their wallet.
● User interface: Some users feel that the application's interface is not really
friendly and easy to use because there are too many new features being updated,
especially for new users.
● Customer service: Some feedback suggests that MoMo's customer support
service is not responsive and effective when users encounter problems

III. PROPOSED SOLUTION

To address these issues and enhance the overall user experience, MoMo can implement
the following strategies

Solutions to improve the current situation

- Improving Processing Speed:

● Optimize Application Code: Regularly review and optimize the app's code to
identify and eliminate performance bottlenecks.
● Enhance Server Infrastructure: Invest in powerful servers to handle increased
traffic and ensure smooth performance.
● Implement Caching Mechanisms: Store frequently accessed data locally to
reduce server load and improve response times.
● Test on Various Devices: Regularly test the app on a wide range of devices and
network conditions to identify and address performance issues.
- Resolving Technical Errors:
● Robust Error Handling: Implement robust error handling mechanisms to provide
informative messages and guide users through troubleshooting steps.
● Regular Updates and Patches: Release frequent updates with bug fixes and
improvements to address technical issues promptly.

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 ● Collaborate with Banks: Strengthen partnerships with banks to ensure seamless
integration and minimize technical errors during linking and transactions.
- Enhancing User Interface:
● Simplify Design: Streamline the UI, removing unnecessary elements and clutter
to improve clarity and navigation.
● Prioritize Key Features: Ensure that the most frequently used features are easily
accessible and prominent on the home screen.
● Provide Clear Instructions: Offer step-by-step guides or tooltips to help users
understand and navigate the app effectively.
● Conduct User Testing: Regularly test the app with real users to identify usability
issues and gather feedback for improvements.
- Improving Customer Service:
● Increase Staffing: Ensure adequate staffing levels to handle customer inquiries
promptly.
● Provide Multiple Channels: Offer various channels for support, such as live chat,
email, and phone.
● AI chatbot integration: Use AI chatbots to support customers 24/7, answer
frequently asked questions and handle simple problems.
● Train Staff Thoroughly: Equip customer support representatives with the
knowledge and skills to effectively address user concerns.
By focusing on these areas, MoMo can significantly improve the user experience,
increase customer satisfaction, and maintain its competitive edge in the e-wallet market.

IV. CONCLUSION

Through extensive analysis, our research has shown a comprehensive picture of the
position of MoMo e-wallet in the Vietnamese market. First, MoMo possesses significant
competitive advantages such as a diverse service ecosystem, modern technology
infrastructure and a large user community. This has helped MoMo affirm its position
and become one of the leading e-wallets in Vietnam. Second, besides the successes
achieved, MoMo also faces a number of significant challenges. Overall, the user
experience is not really stable with issues such as slow transaction processing speed,

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certain technical errors that significantly affect customer satisfaction and MoMo's
competitiveness.
The main cause of the above problems may be due to the pressure of rapid growth,
leading to the system not being optimized and the ability to meet user needs in a timely
manner. In addition, updating new features too quickly also causes some instability
during operation.
To improve the overall performance and user experience of the application, it is
important to: optimize the application code, improve the server infrastructure,
implement a caching mechanism, test on various devices, implement robust error
handling, regularly update and patch the application, cooperate with banks, simplify the
design, prioritize key features, provide clear instructions, conduct user testing, provide
multiple customer service channels, integrate AI chatbots and thoroughly train
employees
With continuous efforts, MoMo can completely become one of the leading e-wallets in
Vietnam, increasingly meeting the needs of users and contributing to promoting the
development of the digital economy.
In the future, further research on user behavior, new technology trends and market
competition will help MoMo develop appropriate and sustainable development
strategies. At the same time, cooperation with strategic partners is also a direction worth
considering expanding scale and diversifying services.
Through this research, we have seen the great development potential of MoMo.
However, to be successful, MoMo needs to focus on improving user experience,
enhancing system performance and expanding services. With the proposed solutions,
we believe that MoMo will continue to affirm its position in the Vietnamese e-wallet
market and contribute positively to the development of society.

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V. REFERENCE

[1] MoMo Careers. "About us." https://momo.careers/about/ (Accessed on 26/09/2024).

[2] Crunchbase. "MoMo VN." https://www.crunchbase.com/organization/momo-vn

(Accessed on 26/09/2024).

[3] AsiaTech Daily. "MoMo." https://asiatechdaily.com/momo/ (Accessed on

26/09/2024).

[4] Nguyễn Lương Đạt. "Thị trường ví điện tử Việt Nam đang nằm trong tay ai?"
NLD.com.vn. https://nld.com.vn/kinh-te/thi-truong-vi-dien-tu-viet-nam-dang-nam-
trong-tay-ai-20230522132639831.htm (Accessed on 26/09/2024).

[5] Brade Mar. (2024, August 29). Phân tích mô hình SWOT của Momo. Retrieved
from https://brademar.com/phan-tich-mo-hinh-swot-cua-momo-2/

[6] MoMo. (2023). MoMo nắm giữ 68% thị phần và là Fintech được yêu thích nhất của
cả 3 thế hệ X, Y, Z. MoMo. https://www.momo.vn/tin-tuc/thong-cao-bao-chi/momo-
nam-giu-68-thi-phan-va-la-fintech-duoc-yeu-4355 (Accessed on 26/09/2024).

[7] Group survey on e-wallet user experience

https://docs.google.com/forms/d/e/1FAIpQLSdwLM7oMN1yJJxqVIGTeFh9vlQ0Afy
PAesTMn9p5tQ_aWljaw/viewform?usp=sf_linK

[8] MoMo. (n.d.). Trang chủ MoMo. https://www.momo.vn/ (Accessed on 26/09/2024).

[9] Energiaa. (n.d.). Unveiling the Determinants of E-Wallet Adoption in Vietnam: A

Case Study on MoMo. https://energiaa.vamk.fi/en/articles/impact/unveiling-the-
determinants-of-e-wallet-adoption-in-vietnam-a-case-study-on-momo/ (Accessed on
26/09/2024).

[10] Tiếp thị Gia Đình. (2022, 25 tháng 11). Doanh thu của startup kỳ lân MoMo chạm
mốc 355 triệu USD trong năm 2022. https://tiepthigiadinh.vn/doanh-thu-cua-startup-ky-
lan-momo-cham-moc-355-trieu-usd-trong-nam-2022-d8308.html(Accessed on
26/09/2024)
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