Riding the Digital Wave: How Momo, Vietnam’s Alipay, is Capitalising on Expansion and the Growing Middle Class

Momo, often likened to China's Alipay, is optimistic about its future amidst the surge in digitalization and the growing middle class in Vietnam. The country's leading mobile payment platform is broadening its reach in the offline market, enhancing financial services and solutions for merchants.

Momo, the most substantial mobile-payment platform in Vietnam, intends to strengthen its top position in the market by leveraging the rapidly growing digital economy and the expanding middle class in the Southeast Asian nation.

The firm, often referred to as the Vietnamese equivalent of Alipay, is broadening its reach in physical retail and enhancing its financial offerings and trade solutions to cater to its expanding number of users, says Chief Financial Officer Manisha Shah.

"Shah acknowledged in a conversation last week in Ho Chi Minh City that there remains a significant demand that has yet to be fulfilled," he said. "Our aim is to expand, specifically in areas where we hold a competitive edge. Our desire is to accompany our users on their journey, guiding them every step of the way."

Established in 2007, Momo has successfully gathered over 31 million registered users, which is roughly one-third of the population. The company offers a range of services including bill payment, e-commerce, and insurance products. According to Crunchbase, the financial technology company has raised a total of US$430 million in five funding rounds from investors such as Warburg Pincus, Macquarie Capital, and Goldman Sachs.

In the last half-decade, the number of users actively using monthly has been expanding swiftly. The volume of transactions has inflated by approximately 50 times, and income has skyrocketed roughly 30 times, according to Shah, who did not provide specific figures.