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Conversation Based Pricing For WhatsApp Business API

Jitesh Dugar Updated by Jitesh Dugar

Refer to this Glossary about the pricing update here - WATI Conversation Based Pricing.pdf

Days are gone when WhatsApp used to charge based on the message templates. From February 2022, WhatsApp will be switching to a conversation-based pricing model globally.

Let’s check out what’s new in this conversation-based pricing model and how you maximize your returns on your WhatsApp Business API number.

What Is Conversation-based Pricing?

For WhatsApp API, Facebook will implement a new conversation-based pricing model for all businesses globally sending WhatsApp messages.

This new pricing model will go into effect on February 1, 2022, and move from a per template/session charge to a complete conversation-based model.

These charges will be applicable based on the initiator of the conversation (either business or end-user).

Note: WATI will comply with the changes in the pricing model and check out WATI’s WhatsApp API Pricing.

How Does The New Pricing Model Work?

The new WhatsApp Business API conversations will fall into two categories that will be priced differently:

  1. User-initiated Conversation-  Where users reach out to the business regarding support and general queries.
  2. Business-initiated Conversation-  Where business will deliver Notifications or messages.

Note: These conversations are measured in 24-hour increments, or "sessions", that start whenever the first message from a business is delivered.The first message can be initiated by the business (business-initiated) or a business reply within 24 hours of a user message (user-initiated).

Important points to remember -

1. WhatsApp will charge only once per 24-hour session of messaging between a business and a customer(There will be no extra charges for sending any template messages once a new session starts)

2. The charges will be different, depending on who initiated the conversation. (the business or the end-user).

Free Tier Conversations

The first 1,000 conversations each month will be free, so your business can start to build experiences your customers will love before having to pay. Each WABA gets 1,000 free tier conversations. Free tier conversations can be business-initiated or user-initiated.

How Will This Impact Your Business?

  1. Businesses Sending Frequent Notifications: If you are sending multiple messages or Broadcasting messages on WhatsApp within a 24-hour period, you will now pay for a single conversation per user for starting the conversation. 
  2. Businesses Sending Infrequent Notifications: If you are sending messages over multiple 24-hour periods, you will now pay for each conversation based on business-initiated conversation pricing.
  3. Customer Support On WhatsApp: If you are responding to incoming user-initiated messages, then you will be charged for user-initiated conversation-based charges.

Should we welcome WhatsApp’s new Conversation-based Pricing model?

It is very clear that Facebook now wants businesses to establish good & fast communication on WhatsApp so that users don’t get unexpected notifications & promotional messages on WhatsApp.With this move, every new conversation will be charged by WhatsApp hence it’ll reduce the number of less relevant conversations. That’ll surely maintain the trust of people on WhatsApp.

What should the businesses do to get the most out of the new pricing model?

Well, it depends upon a business’s use case for WhatsApp Business.

1.  If you are into customer support, try to resolve queries as soon as possible. You can use WATI’s Multi-Agent Dashboard For WhatsApp to manage your customer support efficiently. If your support team has limited work hours, consider building a WhatsApp Chatbot that’ll help in solving basic support queries on WhatsApp.

2. If you are putting your marketing Efforts via WhatsApp Business, now it’s time to revamp your notification strategy. You need to focus on how you can provide more value to the users in the least number of notifications possible. Also, you need to avoid Daily notifications as it may very well result in a permanent ban for misusing WhatsApp Business Account.

In the end, it all comes to the end user’s experience with your WhatsApp Business account. If that’s your priority, you’ll not be much bothered with the new pricing model.

If you want to learn how you can leverage WhatsApp Business API for your business, Join A Demo with our team.

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