Windhoek-Pioneering Namibian-based payment startup PayToday recently introduced business payments, including fuel stations, to its peer-to-peer payment app.
PayToday had a soft launch in March, but the initial version of the app only facilitated informal person-to-person payments. At the beginning of September, PayToday launched its business section and the response from the public has been overwhelming.
“We are very excited about this new phase that PayToday has entered. New businesses are signing up for PayToday every day and we are particularly excited about expanding our list of fuel stations” said Chris Botha, co-founder of PayToday.
The solution was made possible through a partnership with Nedbank Namibia. Most Namibian debit or credit cards from any Namibian bank can be used to pay for fuel on PayToday. The solution has been welcomed by fuel stations and consumers alike.
“We realised that paying for fuel is a large pain point for both the fuel stations and consumers. Card-based solutions are convenient for consumers, but the transactions fees levied on the fuel stations are too large considering the small profit margins made on fuel sales. We knew that our partner PayToday had the perfect solution,” said Gernot de Klerk of Nedbank Namibia.
For consumers, PayToday is a mobile, card-based, bank agnostic payment solution that can be used by anyone at any bank. Gone is the need to carry around cash or look for a fuel station that accepts cards. All you need is your phone.
“Paying fuel stations has never been easier. No need for cash or complicated USSD structures. Simply select the station, enter the amount and you’re done. We are excited to see this solution rolled-out to other businesses in the near future,” said Derrick Langford, one of the early adopters of the PayToday application.
More importantly, PayToday comes with a fee structure that makes business sense to the fuel stations.
“The cost of the transaction charges burdened on fuel stations if clients pay with debit or credit cards has never made business sense for fuel stations. The discussions with key stakeholders regarding this payment issue for fuel purchases has been going on for years, but unfortunately little progress has been made. Finally, we now have a solution,” said Rupert Harmse, the previous chairperson of the Association of Service Station owners and owner of two Engen franchises in Namibia.
“The initial response from consumers has exceeded my wildest expectations. We have seen mobile payment solutions come and go and I finally believe we have a winner,” said Paul Oosthuizen, owner of the Oasis Service Station in Usakos.
Seven fuel stations, mostly in Windhoek, are currently listed on the PayToday business directory, but the application is expected to be rolled out rapidly to fuel stations across Namibia.