RCS CEO Regan Adams.
Founded in 1999, RCS is the consumer finance arm of global bank BNP Paribas, specializing in offering financial services and products to customers in association with leading local retailers.
According to a statement, the acquisition aims to foster financial inclusion by providing young South Africans with access to credit solutions such as buy it now and pay later (BNPL) options.
Young people are the fastest growing category of online shoppers in the country and providing this group of digital natives with access to credit is imperative for the fintech business, he says.
Mobicred allows customers to buy online and pay for items later through a BNPL business model. Its business partners include Takealot, iStore, Incredible Connection and Game.
RCS CEO Regan Adams notes that there has never been a better opportunity to tap into the accessibility and convenience that the South African e-commerce environment has to offer.
“Our acquisition of Mobicred enables us to better meet the needs of South African consumers who require a more diverse suite of credit solutions to help them access and manage their purchases.
“The acquisition of Mobicred was the natural next step in RCS’s digital transformation strategy and perfectly complements our existing offering, as we enable our customers to switch to shopping on the channels of their choice – be it in-store or online,” Adams notes.
Founded in 2013, Mobicred offers a single credit account for all of a customer’s online shopping needs. Its platform is integrated with over 4,000 online stores across South Africa, providing a real-time secure payment option.
With the acquisition of Mobicred, RCS says it will accelerate its growth in the e-commerce ecosystem by adding new bespoke brands to the already established retail network of over 28,000 stores.
“As part of the global BNP Paribas group, we are constantly on the lookout for innovative technologies to improve the customer experience and strengthen our commitments. It’s important to keep abreast of new fintech developments and embed innovation into every touchpoint of our business,” says Adams.