Wavecell shares its top SMS tips ahead of its customer workshop in Indonesia.

On the face of it, Indonesia looks like the perfect place to be in, especially for the finance sector. Recently, it has just been identified as one of the three fastest-growing insurance markets in the world. Bankers in Indonesia are also enjoying better profit margins than the others in Southeast Asia. Herein lies a huge, ambitious yet unbanked population clamouring for access to finance.

However, now the secret is out, and everyone is fighting for a slice of this pie. It’s a market that remains stubbornly hard to gain traction for new entrants. In a landscape dominated by large state banks, how then can dynamic finance players persuade customers to choose them?

One of the key answers lies in technology. But this does not mean that you have to re-invent finance. The key is to align your banking offer with the current state of consumer preferences. Right now, this may mean engaging them via SMS.

SMS –  a proven winner for financial transactions

Take a walk down any street in Indonesia, and it’s not hard to see just how much Indonesians love their phones. But there is further evidence that smartphones – and SMS in particular – is the key to their finances. In a country of over 250 million, only 65 million are bank account holders. However, many of that unbanked majority do not only rely on cash. They also pay with their phones.

Mobile payment systems such as Doku and PonselPay have proved to be very popular in Indonesia. These simple, non-bank payment systems have picked up millions of users while banks fight to get a foothold in this untapped market.

In 2014, it was estimated that around 87% of households in Indonesia had a mobile phone.

Ultimately, Indonesians will want full-service banking. In the meantime, these simple mobile, and SMS based-systems, show the key to their hearts.

Indonesian banks and insurance companies are already investing heavily in technology. According to PwC’s Indonesia Banking Survey, seven out of 10 Indonesian bankers see technology as their main driving force.

In order to out beat the competition, finance firms need to work smart. One way to do this is by coupling technology with great service to stand out from the crowd. Already, leading financial companies are using texts in a way that appeals to new generations of customers.

Man using phone Chat Apps API and SMS mobile

Stand out with Wavecell’s top SMS tips

At Wavecell, they are all experts in helping you reach your customers effectively through the use of SMS. Customers do not want their phones cluttered. What they do want is meaningful and useful communication.

Some of these useful SMS – among companies and customers, include:

  • SMS one-time passwords (OTPs). Sending your customer a second password for key transactions can vastly increase security. It is a simple way to achieve a two-factor authentication and is a great selling point for security-conscious customers.
  • Payment reminder SMS. This is very useful for insurers and banks, reports consistently revealed that Millennial customers appreciate a gentle reminder prior to the due dates of their payment.
  • Monthly statement SMS. This is a simple way to connect with customers. They find it practical and useful, and it is a great opportunity to mention new services.
  • Payment confirmation SMS. This reassures customers that their transactions have gone through. This builds trust and brand loyalty with simple good service, where people want it.

PwC 2017 Survey highlighted that “23% of banking business could be at risk due to further development of FinTech.” But FinTech companies “anticipate they may be able to acquire 33% of incumbent business.”

With one group threatened by technology and another expecting to use it to gain market share, it seems clear which camp it is better to be in.

With Wavecell, you can get into the tech-savvy camp easily. All Wavecell’s services are easy to integrate using API. Find out more at their exclusive event for banks, insurers, financial companies and call-centre service providers only.

Visit bit.ly/dcx18 for more information on the exclusive event.

Posted by Wavecell

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