Latin American SMS Banking Rises 250%

During 2010, SMS banking traffic transacted by software infrastructure vendor clients grew 60% in Spain and around 250% in Latin America, bringing the number of messages with a financial profile to 200 million.

The figures, extracted from the annual comparison that Latinia performs among its main clients, reveals the swift increase of use of SMS between financial entities and their customers.

The company values the growth in the Spanish market as an evidence of the interest in and convenience of the service provided by the financial institutions, although it is a mature business practice for a majority of Spanish banking consumers, where the first initiatives appeared almost a decade ago.

The increase of use in Spain is mainly based on SMS services that confirm operations on the client side toward their bank as a result of their subscription to an alert subscription service. The bank proposes the operation and the customer validates it by returning a confirmation to the message remitted by the financial institution.

“The whole LatAm region is growing in all the basic or universal banking services, with a special mention of services that substitute the firmly established token by acting as a security communication solution for operations with the bank,” said Frances Pérez, business manager at Latinia.


Related reading

New consumer banking head for Citi Asia Pacific