Grameen Foundation : What we do : Technology Programs : Village Phone Direct
Village Phone Direct: A Microfranchise Opportunity
The Village Phone Direct Assistance Center has launched!
See www.villagephonedirect.org to download the Village Phone Direct manual and get more information.
Village Phone Direct (VPD) is a microfranchise approach to Village Phone that allows virtually any microfinance institution (MFI) to directly and independently develop a Village Phone product for their clients. Village Phone Direct brings the benefits of telecommunications to local communities and microentrepreneurs without the need for an institutional infrastructure to coordinate the operations. MFIs can initiate the development and implementation of Village Phone Direct with or without extensive partnering with external organizations or companies.
Similar to Village Phone, Village Phone Direct offers microfinance clients a unique chance to earn new sources of income, provides much needed and affordable telecommunications options to community members, and complements existing business opportunities. In addition, since many Village Phone Operators are female, the program helps to increase the status of women in the community.
Besides the benefits to the Village Phone Operator and their community, the MFI also sees substantial gains: increased revenue (from loan interest and commission from airtime sales), reduced operating costs (as it now has the option of calling clients) and an avenue for attracting new loan customers as well as providing a competitive product to retain existing patrons.
Village Phone Direct effectively allows MFIs to take the Village Phone program into their own hands, enabling them to provide a valuable service to unconnected communities. With VPD, MFIs can provide a much needed and profitable telecommunications business to their clients, with full control over its methodology, outreach and direction.
Village Phone Direct projects are currently underway in:
MFIs assemble the ‘Village Phone Business Kit’, which includes a mobile phone, booster antenna, recharging solution (automobile battery, solar-power, AA battery, or crank power), and specially designed cables to connect all the components. They also select the telecommunications provider, product branding, marketing strategy, and pricing that suits their particular needs. Microfinance clients can purchase this kit through their local MFI, which will then provide the training, monitoring and support to ensure that the new enterprise is a success. Due to the strength of the business model, the loan is repaid with revenues generated by the business.
To learn more about Village Phone Direct, view frequently asked questions, download the manual and other hands on documents or join the discussion forum, please visit the Village Phone Direct Assistance Center at www.villagephonedirect.org.
Grameen Foundation : What we do : Technology Programs : Village Phone Direct
Grameen Foundation uses microfinance and innovative technology to fight global poverty and bring opportunities to the world's poorest people. With tiny loans and financial services, we help the poor, mostly women, start businesses and escape poverty. Our global network of 55 microfinance institution (MFI) partners including our Growth Guarantee partners has touched more than 34 million people in 24 countries. In addition, we introduced and now sustain technology initiatives (Mifos and Village Phone) in Cameroon, Kenya, Rwanda, and Uganda, bringing our total country outreach to 28.
+1-202-628-3560 www.grameenfoundation.org
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