Zendit described both advantages and operational drawbacks of a fragmented prepaid market in commentary published on May 16, 2023. The discussion covered mobile top-ups, data bundles, digital gift cards and prepaid utilities.

The company argued that multiple specialist providers can offer businesses more options for different customer groups. It also linked competition with new features, partnerships and ways for suppliers to distinguish their services.

On the operational side, Zendit highlighted the work involved in maintaining several vendor relationships and integrations. It said differences in product features, fees and terms can make comparison more difficult.

The article also considered brand recognition. Zendit argued that smaller suppliers may need to invest in building awareness and trust alongside developing their product offering.

The commentary recommended evaluating the fit between a provider’s services and the buyer’s requirements. It offered a market perspective rather than a new study, acquisition announcement or quantified estimate of industry fragmentation.