Clickatell, a vendor of messaging, is providing in-country SMS alert services to Satelite Microfinance Bank. This means Satelite's customers "now receive real-time, priority alert messaging via Clickatell's Secure Enterprise Mobile Messaging Gateway, notifying them when transactions are taking place on their credit and debit accounts," according to Clickatell officials.

"Microfinance has fast become an important part of financial services as institutions serve previously under or un-served," said Pieter de Villiers, Clickatell CEO, in a release. "Providing reach, connectivity and ubiquity, mobility is standing at the center of this high growth sector as the next billion consumers begin to receive a whole new breed of financial services."

Experts estimate that 20-30 billion dollars are currently on loan to more than 50 million microfinance borrowers around the globe. Moreover, approximately 70 percent of the Nigerian population is un- or under-banked, which de Villiers called "an exploding demographic to take advantage of microfinance services."

Last August TMC reported that Clickatell announced its work with First National Bank and Santam Insurance has "raised customer satisfaction and reduced costs" through SMS within their respective call centers.

According to a 2008 Aberdeen study surveying 4,500 respondents, concerns over a potential recession is a top-three business challenge for companies this year. Another Aberdeen study found that 88 percent of best-in-class companies considered corporate profitability to be "a key metric driving the need to manage telecom costs," including in the call center.

Microfinance refers to financial services provided to low-income people, usually to help support self-employment. Examples of microfinance products include small loans, savings plans, insurance, payment transfer, SMS alerts and other services that are provided in small increments that low-income individuals can afford.

These services help families start and build "micro" enterprises, the small businesses that are important sources of employment, income, and economic vitality in developing countries worldwide since salaried or wage-paying jobs are scarce in many developing countries.

"We've been able to create a cost effective and reliable direct line of communication between us and our customers ensuring far more personalized and cost effective banking service," said Nnamdi Chizea, Divisional Head, Operations & Treasury Management for Satelite MFB.

Satelite MFB currently has operations in eight locations across Nigeria, an expansive ATM infrastructure, and inter-connected branches offering on-line real time transaction processing.

About the Author

David Sims is a contributing editor for TMCnet.