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BUSINESS MODEL
AND STRATEGIC
OBJECTIVES
LEADERSHIP
GOVERNANCE
SHAREHOLDERS’
INFORMATION AND
ADMINISTRATION
OPERATING
PERFORMANCE
FINANCIAL
PERFORMANCE
BLUE LABEL INTEGRATED ANNUAL REPORT 2014
1
NATURE
OF BUSINESS
Blue Label’s core business is the virtual distribution
of secure electronic tokens of value,
predominantly prepaid airtime, starter packs and electricity
at present, and transactional services across its global
footprint of touch points.
See business illustrated on pages 6 and 7
.
The prepaid model empowers new groups
of consumers and our distribution to
them is the cornerstone of our business.
Within emerging and developing
economies, the supply of products and
services via prepaid channels is
becoming an increasingly significant
distribution model. This is because the
distribution of physical product is often
logistically difficult, a significant portion
of consumers in these markets are
unbanked or badly banked and
therefore transact in cash, and many do
not qualify for credit. Given these
limitations, these cash consumers are
now able to demand equal access to
first-world products and services.
The Group’s stated strategy is to extend
its global footprint of touch points,
both organically and acquisitively, to fulfil the significant demand
for the delivery of multiple prepaid products and services
through a single distributor, across various delivery mechanisms and
via numerous merchants or vendors.