Mobile phones are viewed as a technology which has empowered people around the globe. The ability to interact and communicate with others without physical constraints has changed society and business in every sphere of life.

In 2008 Nokia predicted that there would be 4 billion mobile phone subscriptions globally by 2010. They were wrong, however. According do Wikipedia, mobile phone subscriptions in 2010 rose to 5 billion in a world with a population of just under 7 billion people. This is a penetration of over 70%.

At the 2010 Mobile World Congress in Barcelona, ITU Secretary-General Dr. Hamadoun Toure noted that "Even during an economic crisis, we have seen no drop in the demand for communications services, and I am confident that we will continue to see a rapid uptake in mobile cellular services in particular in 2010, with many more people using their phones to access the Internet."

The ITU also noted that along with the surge in cell phones, demand for mobile access to the Internet has skyrocketed. It expected the number of mobile broadband subscriptions to surpass 1 billion around the world during 2010, a leap from 600 million at the end of the previous year. The organization also predicted that between 2010 and 2015, more people would connect onto the Web from mobile devices than from desktop computers and observed that people in developing countries were increasingly using their mobile phones for mobile banking, even those who had no bank accounts.

No longer is a subsistence / small scale farmer restricted to dealing face to face with middlemen wishing to buy his produce. It is now possible for him to negotiate buyers anywhere allowing him to negotiate better prices.

In much the same way, people no longer wish to visit a bank branch to transact his business. Technology allows him to bank via automated teller machines, via the internet and via his mobile phone. In countries where banking infrastructure is not well developed or where it is not practical to roll out infrastructure nationally, mobile phones are an ideal interface to the bank’s systems.

Why mobile banking?

• Minimal banking infrastructure required
• Most clients would have access to a mobile phone
• Ultimate client convenience
• People are comfortable with mobile phones
• Accessibility

South Atlantic Solutions (SATSO) has developed a cost effective mobile banking system which can integrate with any banking system allowing banks to rapidly deploy the solution, thereby obtaining a competitive edge or matching a competitor’s offering.

The development of this product is a continuing implementation of South Atlantic Solutions’ strategy to provide products which add value to existing banking installations and in niches where SATSO is able to demonstrate leadership.

mTransact is a cost effective, comprehensive and functional mobile banking system. Three levels of deployment have been developed to suit all bank clients, from those still utilizing first generation mobile phone technology to those using smartphones.

The following deployment options are available

• Optimised web browser for newer broadband connected phones
• Downloadable WAP system which will run on the handset
• Mobile text  based banking

Banks are able to utilise one or more of these solutions in the implementation of mobile banking. All three options interface directly with the SATSO iTransact internet banking system.

The diagram below illustrates the implementation configuration of the product…



The underlying iTransact system is able to run on the existing bank hardware in its entirety or can be run separately on a database and application server.

mTransact has been developed to interface directly with the iTransact system. This allows all of the features of iTransact to be exploited if there are specific bank requirements. iTransact has been designed to integrate with any core banking system.

Due to the variances in cellphone technology in use by the bank customers as well as the variances in cellphone technology available from country to country (or even regionally within a country), SATSO has implemented 3 separate mTransact implementations. These include

1. Mobile Text Banking – This implementation caters for basic transacting including
   Client verification
   Checking of account balances,
   Transfers between a client’s account
   Payment to predefined client beneficiaries.
   The interface is command line driven and will require 1 or more SMS transactions in order to execute a transaction. A User Guide is available to assist the bank’s client in the banking process. The bank is required to register with a Mobile Text service provider. Bank clients will pay for each mobile text sent.
   
2. Mobile Phone Application – Banks are provided with a downloadable WAP application that will run on the client’s mobile phone. This application provides a menu driven interface which can run on the majority of available mobile phones. Navigation through the application is facilitated by a character based menu of functions available. The bank is required to register with a WAP service provider. Bank clients will pay for network traffic utilized in the transmission of data between the system and the WAP service provider.
   
3. Browser Based Banking – iTransact (Satso’s premier internet banking product) includes a .Mobi interface for optimized browser based access by mobile phone users.  This component provides all of the banking functionality of the underlying iTransact internet banking system. Mobile phones need to be broadband enabled and browser capable in order to utilize this system. The bank clients will pay their service provider for bandwidth utilized.

The “Model – View – Controller architecture of the iTransact system, allows the mobile banking system to interface directly with the iTransact system, thereby ensuring that

• all bank controls are applied universally,
• all ITransact features are available to mTransact
• the system provides greater reliability, consistency and accuracy .

mTransact utilizes different technologies for the 3 different implementations of the system.

1. Mobile Text Banking – Uses a standard keyword based, mobile originated text message to interact with the iTransact system. iTransact decodes the message and executes the relevant instruction. Each transaction type supported will potentially require its own message format e.g.
   
   “keyword”, transfer account 1 account 2 amount
   “keyword” pay account 1 beneficiary1 amount
   
   mTransact will issue mobile text based confirmations or error messages. Mobile text notification messages will also be issued by iTransact as configured in the internet banking system. Only basic banking functionality is available on this platform. No maintenance (e.g. addition of beneficiaries) will be supported.



2. Mobile Phone Application – This Java based application has been developed to run on a number of mobile phone operating systems. The application generates standard messages to the underlying iTransact system which decodes the messages and executes the relevant instruction. The application is supported with a menu system for all available functionality which obviates the need for the bank client to understand the various message formats as in Mobile Text Banking. mTransact will issue mobile text based confirmations or error messages. Mobile text notification messages will also be issued by iTransact as configured in the internet banking system. Full banking and basic maintenance functionality is supported in this implementation


3. Browser Based Banking – Any of the standard mobile phone browsers may be utilized to interact directly with the iTransact system. The browser will link to a .Mobi site in order to utilize the mobile phone optimized interface of iTransact. All iTransact functionality is available on this platform.

Some of the benefits in selecting mTransact are

• Enhanced customer convenience.
• Ability to offer banking with minimal infrastructure expenditure
• Available to customers with no internet access
• Cost effective

Conclusion

mTransact can significantly improve the service provided by the bank to its customers. It is a well architected, functional and robust product which will provide the bank with an immediate return on investment.

To experience the benefits of our services or products, or for more information, please contact the SATSO offices.