Bus ticketing process in Africa is one of the slowest and time wasting yet it is the mains means of travel between the capital cities to major towns. Currently use of mobile telephone is widespread and considerable penetration has been achieved. In Uganda the application of SMS-based bus ticketing system is yet to be explored. This comes in the light that Uganda’s bus travel business has grown steadily over time without matching improvement in ticketing or booking services. For long there has complaints and dissatisfaction among the public because travelers move long distances to book tickets and suffer congestion at bus terminals, unnecessary time wasting as a result of misplaced tickets and unauthorized agents who can cause financial loses. Ticket booking at bus companies is inherently time consuming, inconvenient and sometimes frustrating for time conscious passengers and therefore there is need to develop efficient mechanism that operates through an increasingly available technology like the mobile phone and specifically through a widely used application like SMS. The study examined SMS bus booking reduced terminal congestion, minimize time wastage and eliminate unnecessary expenditure. Mobile ticketing is the process whereby customers can order, pay for, obtain and validate tickets from any location and at any time using mobile phones. The passenger downloads the essential program onto his /her mobile phone. This program allows the passenger to press a button to send an SMS to server indicating their travel details (Departure Date, Departure time, Destination Town, Departure Town). An SMS is sent back to acknowledge receipt, confirmed reservation, or to inform the passenger that no seat or vehicle is available for that travel time. Payment (fare) may also be implemented by MOBILE MONEY, Credit cards or Cash. The ‘reply’ SMS contain the bus booking number for the customer to call. SMS booking has been steadily employed in different parts of the world to improve the service industry. Considering the fact that the cost a Mobile Phone is lowering in Uganda thereby increasing its availability among the population, we can take the advantage of its SMS application to solve a business requirement so as be able to help the stakeholders offer quality service in the market place.