Sustainability of BC Network Managers (BCNMs) in India – How are BCNMs Paid?

• by Ghiyazuddin Mohammad, Chris Linder and Shivshankar V
• Jul 12, 2011
• 1 min
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This Note examines the different product revenue drivers based on how banks remunerate BCNMs, provides an overview on different commission calculation methods adopted by banks, and analyses different scenarios.

“There have been various studies carried out on international branchless banking commission structures highlighting the benefits and drawbacks of different pricing methods for the end user/customer, and the importance of these for adoption.

However in the case of bank-led branchless banking operations, the agent network managers (Business Correspondent Network Managers – BCNMs in India) doing the heavy operational lifting in the field, are often forgotten when it comes to commissions and sustainability. This Note examines the different product revenue drivers based on how banks remunerate BCNMs, provides an overview on different commission calculation methods adopted by banks, and analyses different scenarios related to revenue maximisation.”