BOSS Money Customers Sent Cash Home to Mom at a Record Rate

Rhea-AI Summary

BOSS Money, the international remittance service of IDT , reported a record number of money transfers during the week leading up to Mother’s Day, May 12, 2024.

Transactions increased by 46% year-over-year, with a 41% rise in revenue. The surge was particularly notable in the 22 destination countries celebrating Mother’s Day that week, where transactions grew by 56%.

BOSS Money services 48 countries across Latin America, the Caribbean, Africa, and South Asia, with 244,000 cash pick-up locations and additional mobile and bank deposit options. The service is accessible via the BOSS Money and BOSS Calling apps, or through licensed retailers. New users enjoy fee-free initial transfers up to $2,999.

Positive

• 46% year-over-year transaction growth during the week leading up to Mother’s Day.
• 41% increase in revenue for the same period.
• 56% transaction increase in countries celebrating Mother’s Day.
• Service available in 48 countries with 244,000 cash pick-up locations.
• New users can send up to $2,999 without fees.

Negative

• The PR does not discuss long-term sustainability of the growth.
• No information on customer acquisition costs or long-term retention.
• Potential for high operational costs due to extensive network of pick-up locations.
• Competitive pressure in the remittance market is not addressed.

Insights

Financial Analyst

The reported 46% year-over-year transaction growth and 41% revenue increase during the week leading up to Mother's Day signify a substantial performance boost for BOSS Money. Such figures are noteworthy, especially in the competitive remittance market. The surge in remittances indicates not only strong customer demand but also effective marketing strategies. From a financial standpoint, these growth metrics suggest potential for increased profitability and market share. The 56% increase in transactions to destination countries celebrating Mother's Day underlines the company's successful penetration in key markets. However, investors should consider whether this growth is sustainable or largely tied to the seasonal peak. Future quarterly and annual performance data will provide more insight into long-term trends.

Market Research Analyst

The strong performance around Mother's Day indicates effective targeting of emotional and culturally significant occasions to drive customer engagement. The 56% increase in transactions to specific destination countries highlights how cultural events can significantly influence consumer behavior. This data suggests that BOSS Money is adept at leveraging such events to enhance customer loyalty and transaction volumes. However, it’s important to see if this approach can be replicated during other cultural events and holidays. The consistent growth of both digital and retail channels also signifies a balanced operational strategy, which can mitigate risks associated with over-reliance on one channel.

Remittances Around Mother’s Day Increased by 46%* Over Last Year

Newark, NJ, May 15, 2024 (GLOBE NEWSWIRE) -- BOSS Money, the international money remittance service of IDT Corporation (NYSE: IDT), today announced that its customers sent a record number of transfers during the week leading up to Mother’s Day, on May 12, 2024.

“Mother’s Day is always an exciting time for BOSS Money, as we help our customers celebrate their mom and show their love by sending a gift she will appreciate,” said Michelle Rendo, Boss Money’s VP of Marketing.

“BOSS Money generated 46% year-over-year transaction growth and a 41% revenue increase for the week that ended on Mother’s Day,” Rendo added. “Looking only at destination countries that celebrated Mother’s Day this past week, transactions surged 56% compared to last year with strong contributions from both our digital and retail channels.”

BOSS Money’s international remittance service provides affordable, reliable money transfers for residents of the U.S. and Canada to 48 popular destination countries in Latin America, the Caribbean, Africa, and South Asia. The disbursement network in these markets includes an aggregate of 244,000 cash pick-up locations in addition to mobile money, in-country bank account, and debit card direct deposit services.

BOSS Money customers can remit funds through the highly rated BOSS Money and BOSS Calling apps, which are free in the App Store and on Google Play. New users pay no fees on their initial money transfer of up to $2,999. Customers can also remit funds through licensed Boss Money retailers across the United States.

“Whether using either of our BOSS apps or walking into a BOSS Money retailer, our customers know they will get great rates and a service that’s reliable and secure, and when it’s for mom, they want a service they can count on,” Rendo concluded. “If you haven’t tried BOSS Money, walk into your local BOSS Money retailer or use the convenient, easy-to-use BOSS apps, where your first transfer is on us.”

*The rates of increase in transactions and revenue for Mother’s Day 2024 compare the seven days leading up to and including Mother’s Day 2024 (May 5^th to 12^th) to the comparable week in 2023 (May 7^th to 14^th). For ‘destination countries that celebrated Mother’s Day,’ the rate of increase in transactions reflects transfers originated in the U.S. and Canada to the 22 destination countries served by BOSS Money that celebrated Mother’s Day during the week ended Sunday, May 12, 2024 and Sunday, May 14, 2023.

ABOUT IDT CORPORATION

IDT Corporation (NYSE: IDT) is a global provider of fintech and communications services through a portfolio of synergistic businesses: National Retail Solutions (NRS), through its point-of-sale (POS) platform, enables independent retailers to operate more effectively while providing advertisers and marketers with unprecedented reach into underserved consumer markets; net2phone provides enterprises and organizations with intelligently integrated cloud communications and contact center services across channels and devices; IDT’s fintech and neo-banking services include BOSS Money, a popular international remittance business, as well as other services that make saving, spending, and sharing money easy and secure; IDT Digital Payments and BOSS Revolution Calling make sharing prepaid products and services and speaking with friends and family around the world convenient and reliable; and, IDT Global and IDT Express enable communications services to provision and manage international voice and SMS messaging.

All statements above that are not purely about historical facts, including, but not limited to, those in which we use the words “believe,” “anticipate,” “expect,” “plan,” “intend,” “estimate,” “target” and similar expressions, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. While these forward-looking statements represent our current judgment of what may happen in the future, actual results may differ materially from the results expressed or implied by these statements due to numerous important factors. Our filings with the SEC provide detailed information on such statements and risks and should be consulted along with this release. To the extent permitted under applicable law, IDT assumes no obligation to update any forward-looking statements.

Contact:
Bill Ulrey
IDT Investor Relations
Phone: (973) 438-3838
E-mail: invest@idt.net

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FAQ

How much did BOSS Money's transactions increase during Mother’s Day 2024?

BOSS Money's transactions increased by 46% year-over-year during the week leading up to Mother’s Day 2024.

What was the revenue increase for BOSS Money during Mother’s Day 2024?

The revenue for BOSS Money increased by 41% during the week leading up to Mother’s Day 2024.

How many countries does BOSS Money service for international remittances?

BOSS Money services 48 countries in Latin America, the Caribbean, Africa, and South Asia.

Are there any fees for new users of BOSS Money?

New users of BOSS Money can send their first transfer of up to $2,999 without paying fees.

What was the transaction growth in countries celebrating Mother’s Day?

Transactions in countries celebrating Mother’s Day grew by 56% compared to the previous year.