Digitalization of merchant’s transactions

digital transactions

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Digitalization of merchant’s transactions
Digital transactions platforms for online purchasing and credit ledgers for merchants digitalization
SectorMost major industry classification systems use sources of revenue as their basis for classifying companies into specific sectors, subsectors and industries. In order to group like companies based on their sustainability-related risks and opportunities, SASB created the Sustainable Industry Classification System® (SICS®) and the classification of sectors, subsectors and industries in the SDG Investor Platform is based on SICS.
Technology and Communications
Business Model Description

Develop applications that use point-of-sale (POS) terminal, not only allowing customers to pay electronically, but also enabling them to buy pre-paid airtime and pay their utility bills at the store, as well as use food vouchers. Furthermore, the same platform can allow merchants to consolidate the purchases of their inventory and create a digital log of transactions.

Expected Impact

This initiative intends to formalize micromerchants and provide digitalization to the largest mass consumption channel in the country.

Indicative ReturnDescribes the rate of growth an investment is expected to generate within the IOA. The indicative return is identified for the IOA by establishing its Internal Rate of Return (IRR), Return of Investment (ROI) or Gross Profit Margin (GPM).
> 25% (in IRR)
Investment TimeframeDescribes the time period in which the IOA will pay-back the invested resources. The estimate is based on asset expected lifetime as the IOA will start generating accumulated positive cash-flows.
Long Term (10+ years)
Market SizeDescribes the value of potential addressable market of the IOA. The market size is identified for the IOA by establishing the value in USD, identifying the Compound Annual Growth Rate (CAGR) or providing a numeric unit critical to the IOA.
< USD 50 million
Average Ticket Size (USD)Describes the USD amount for a typical investment required in the IOA.
USD 1 million - USD 10 million
Direct ImpactDescribes the primary SDG(s) the IOA addresses.
Decent Work and Economic Growth (SDG 8)
Indirect ImpactDescribes the secondary SDG(s) the IOA addresses.
Industry, Innovation and Infrastructure (SDG 9) Reduced Inequalities (SDG 10)
Sector Sources
  • 1) MINTIC (2020) Indicadores básicos de TIC en los hogares. Accessed february 8th 2021 2) MINTIC (2019) ¿Qué es el Proyecto de Ley de Modernización del Sector TIC? Accessed february 8th 2021 3) Oxford Business Group (2020) - New ICT laws and attention to innovation increase Colombia's internet coverage. Accessed January 26 2021 4) International Trade Administration (2020) – Information and Communication Technology. Accessed January 26 2021 5) EMIS Insights (2020), Colombia ICT Sector Report 2021-2022 23) Semana (2018) Analítica de datos, una de las tecnologías con más futuro en el 2018. Accessed February 8th 2021 24) MINTIC (2018) Así usan la tecnología las mujeres en Colombia - Accessed February 8th 2021 -
IOA Sources
  • 6) Bernal et. Al (2018). La calidad de vida laboral de los tenderos. Revista Ploutos, 8(2), 48 -59. 7) Asobancaria (2017) – Proyecto F, Diagnóstico del uso de efectivo en Colombia. Accessed February 8th 2021 8) DNP (2018) Objetivos de desarrollo sostenible. Accessed February 8th 2021 9) Serviinformación (2016) – V! Censo Comercial InfoComercio; Tiendas de Barrio. Accessed February 8th 2021 10) DANE (2018) – Estratificación socioeconómica. Accessed June 3rd 2020 11) La República (2019) - Tiendas de barrio, el canal tradicional que se sigue reinventando. Accessed February 8th 2021 12) Cámara de Comercio Santa Rosa de Cabal (2018). Caracterización del sector tendero en Colombia.. Accessed February 8th 2021 13) Bancolombia – Así evoluciona la producción en las industrias 4.0. Accessed May 23rd 2020 . Accessed February 8th 2021 14) Crunchbase – Flutterwave Investment Rounds. Accessed May 24th 2020 15) La República (2021) – Fintech son el tercer destino de inversión. Accessed February 8th 2021 16)Finextra (2020) – Fintech to drive biggest VC exits over next five years. Accessed February 8 2021 17) Prosperidad social (2020) -Avanza el proyecto piloto Tiendas para la Gente en el marco de la reactivación económica del país. Accessed February 8th 2021 18) MINTIC (2020) MinTIC lanza campaña para que los tenderos se transformen digitalmente -Accessed February 8th 2021 19) UNDP (2020) -Modelo de tiendas comunitarias de PNUD Colombia reactiva la economía en zonas rurales - Accessed February 8th 2021 21) Alcaldía de Bogota (2020) - Beneficios para el micro empresario. Accessed February 8th 2021 25)La Nota Económica (2018) - Microcomercio, el segmento que más crece en pagos electrónicos en Colombia. Accessed May 28th 2020 26) Portafolio (2019) – Alkosto aporta a Tpaga para llegar a las tiendas. Accessed June 2nd 2020