Blue Label to roll out POS to rural regions

Money Transfer

South Africa-based Blue Label Telecom plans to distribute about 10,000 partly subsidised point-of-sale (POS) terminals across rural areas over the next year, following the successful launch of its Rechaja Mo promotion in February. The initiative would give merchants with monthly profits of less than ZAR 25,000 free or low-cost access to POS systems, EngineeringNews reported. The first month of the initiative saw 156 units distributed – significantly surpassing Blue Label's target of 20 – generating turnover of about ZAR 280,000 through prepaid airtime sales and ZAR 1.3 million in prepaid electricity sales. Blue Label started with areas in the Western Cape and Bloemfontein, before branching out to the rest of South Africa including Kwazulu-Natal, Gauteng and the Eastern Cape. Blue Label previously indicated that it expected to secure between 100,000 and 300,000 new merchants, with an addition to profit of 1.25 percent, which would start to emerge within the next seven to eight months.