Price commitment met SWIFT-ly 30 September 2014Boston Reporter: Mark Dugdale
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SWIFT has delivered early on its commitment to reduce its messaging prices by 30 to 50 percent between 2010 and 2015, a goal it set as part of its SWIFT2015 strategy in 2010.
“By now SWIFT has achieved the high-end of its commitment, delivering a 50 percent reduction in messaging prices to the community,” said SWIFT chairman Yawar Shah.
“SWIFT2015 was a bold plan that challenged SWIFT to continue investing in the security, reliability and growth of its core messaging platform, while delivering new and innovative solutions. As a part of that strategy, SWIFT pledged to reduce its messaging prices between 30 to 50 percent over a five-year period. I am pleased to announce that SWIFT has overachieved at the high-end of that target one year ahead of schedule.”
SWIFT began its price reduction efforts in 1996 with a 30 percent decrease in messaging prices.
Since 2001, these efforts have been greatly enhanced through formal price reduction commitments and tighter cost controls.
The 2010 price commitment is the third strategic cycle of substantial price reductions that SWIFT has implemented, resulting in an 88 percent decrease in messaging prices during that time.
The two previous strategic pricing plans committed SWIFT to a 50 percent decrease in messaging prices over the five-year life of each plan. These commitments were both met on time.
“Strong traffic growth and rigorous cost controls have allowed us to deliver early on the pricing pledge we set back in 2010,” added Gottfried Leibbrandt, CEO at SWIFT. “Not only have we delivered at the high-end of our commitment early, but through this initiative we have been able to pass on savings to our customers in the form of this long-term, structural price reduction.”
A new pricing strategy will be established as part of SWIFT’s next strategic five-year plan, SWIFT2020.
Vanbever added: “We anticipate that SWIFT will continue on its price reduction path, but the new pricing strategy will depend on investment plans and priorities. In the meantime, targeted pricing actions to meet specific competitive situations will be considered as opportunities arise.”
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