Interbank messaging network Swift says it will slash the cost of high volume reporting message types from the start of 2001.
The price cuts - ratified at the December board meeting - have been made in response to growing demand from banks and their clients for more intra-day transaction and status reporting.
"We've seen rapid growth in reporting messages over the past 12 months, which accounts for a third of all FIN traffic growth," says André Boico, director of product marketing at Swift. "The new pricing structure more accurately reflects the relative value of the various message types we offer. It's a value-based pricing model that responds to our customer's business needs."
He says Swift users will benefit from the new price plan in proportion to the reporting activity that they undertake, with an average reduction of 22.5 percent for reporting messages.
"It is no longer a case of 'one size fits all' pricing, but of finding a pricing formula that meets Swift's customers' desire for cost savings," says Martin Read, assistant general manager, Bank of Nova Scotia, and Swift board member and pricing task force chairman. "The lower prices for these messages will be very easy for Swift customers to understand. It's a straightforward price reduction and the end result is quite simply that bills will be smaller."