As businesses shift from traditional SMS, they seek alternatives with better features and functionality. While SMS offers near-universal reach and high open rates, its lack of interactivity and security leads companies to explore richer messaging platforms like WhatsApp Business and Rich Communication Services (RCS) Messaging (RBM).
According to Mobilesquared, from 2024 to 2027, brands will send 3.57 trillion messages over WhatsApp Business API, averaging 1.96 billion daily. Conversational traffic will make up over 66.9% of total traffic. WhatsApp, with over 2 billion users globally, is known for its encryption, scalability, and widespread use.
RBM, developed by GSMA, is emerging as a serious telecom contender, offering richer content and deeper customer interaction. However, this article focuses on how WhatsApp Business compares to platforms like SMS, Facebook Messenger, and Apple Business Chat, leaving a full comparison with RBM for another discussion.
The high cost of scaling SMS for international communication, along with its lack of features like encryption or rich media, drives businesses to WhatsApp Business. Its scalable API and rich media capabilities come at a lower cost, particularly for international markets, and it benefits from increased mobile usage, with people checking their phones up to 344 times a day. Let’s dive a little deeper into the comparison, with the aid of the WhatsApp Business Messaging Traffic report by Mobilesquared.
User Base and Reach
With messaging platforms becoming essential tools for businesses, understanding their user base and reach is crucial. Each platform offers varying levels of access to consumers, with WhatsApp Business standing out for its global presence. Here’s a comparison of key platforms:
WhatsApp Business Reach
With over 2.7 billion users globally, WhatsApp is the largest messaging platform. It’s particularly dominant in regions like India, Brazil, and Southeast Asia, where it serves as a primary communication tool for both personal and business interactions.
SMS Reach
Universal, available on nearly every mobile phone globally. Despite its broad reach, its lack of interactivity and rising costs are driving businesses toward richer messaging solutions that offer more customer engagement and functionality.
Facebook Messenger Reach
Facebook Messenger hosts around 1.036 billion users worldwide. It’s primarily concentrated in the US and Europe, where it’s widely used for both personal communication and business purposes, including customer service and marketing.
Apple Business Chat Reach
The Apple chat platform is limited to iPhone users, making it highly niche, with potential reach confined to iOS users. This exclusivity allows businesses to target a specific, affluent demographic that uses Apple devices for their daily communication needs.
Comparing Costs
Suffice it to say, costs are a critical factor for companies involved in the messaging business, as they directly impact scalability and profitability. Whether it’s small businesses seeking affordable communication channels or large enterprises handling high message volumes, cost efficiency is key. High costs, especially for international messaging or paid features, can limit adoption and hinder growth. Platforms that offer flexible, scalable pricing models allow businesses to optimize their communication strategies without overspending, making cost considerations central to platform selection.
WhatsApp Business Costs
The WhatsApp Business app is free for small businesses, but larger companies that use the API pay scalable fees based on message volume. As of 2024, brands are expected to spend billions using WhatsApp Business API, particularly as the platform shifts towards more conversational commerce (read more here). Pricing is tied to the type of conversation, with Meta charging per 24-hour session rather than per message.
SMS Costs
SMS messaging comes with per-message costs that can quickly add up, especially for international communications. With rising termination rates, SMS is becoming increasingly expensive for businesses. Read more in the free A2P SMS Pricing Impact Report by Mobilesquared.
Facebook Messenger Costs
This platform is free for users and businesses alike. However, Facebook Messenger’s business model is driven by ads, meaning businesses often invest in paid ads to enhance visibility.
Apple Business Chat Costs
Like Messenger, Apple Business Chat is free to use but remains exclusive to Apple’s ecosystem, limiting its accessibility to businesses targeting non-iOS users.
Key WhatsApp Business Pricing Updates for 2024 and 2025
Starting November 1, 2024, the WhatsApp Business Platform is implementing cost-saving changes to support businesses with more efficient customer engagement. Service conversations within the 24-hour response window will now be free, and businesses operating in parts of Africa will benefit from reduced utility conversation rates. These changes are designed to help companies maintain high service standards while keeping expenses down.
In 2025, more adjustments will be introduced to enhance pricing flexibility. On February 1, international authentication rates will expand to additional countries, including Nigeria, Malaysia, and the UAE. Then, from April 1, free utility templates will be available within the 24-hour service window, and Meta will start a gradual transition to a per-message pricing model for template messages, set to be completed by July 1. Altogether, these updates align WhatsApp’s pricing with businesses’ messaging needs, making customer engagement more cost-effective.
Security and Privacy
Whether you’re a service provider, enterprise, or even a small business, maintaining the confidentiality and integrity of communications is critical. For enterprises handling sensitive customer data or confidential transactions, platforms offering robust encryption are essential to building customer trust.
On the other hand, service providers need secure systems to safeguard business-to-business and customer interactions from data breaches or regulatory violations. Failure to comply with these standards can result in reputational damage, fines, or security vulnerabilities.
WhatsApp Security
WhatsApp provides end-to-end encryption on all communications, making it one of the most secure messaging platforms available. This encryption covers both person-to-person and business-to-customer interactions, safeguarding messages from interception.
SMS Security
SMS is not encrypted, which makes it vulnerable to interception and security breaches. This lack of encryption has led many businesses to seek more secure alternatives for sensitive communications.
Facebook Messenger Security
By default, Facebook Messenger does not offer end-to-end encryption. While it does provide “Secret Conversations,” which offer encryption, this feature is optional and must be enabled manually, limiting its usage.
Apple Business Chat Security
Apple Business Chat benefits from Apple’s ecosystem-wide encryption, securing messages. However, as the data is tied to Apple’s infrastructure, it may not provide the same cross-platform security as some other solutions.
Platform Adaptation by Business
When selecting a messaging platform, businesses need to consider not only security and cost but also how easily the platform can be integrated into their operations. From automation to customer service, the adaptability of a platform is key to maximizing its potential. While some platforms offer wide adoption and advanced integration capabilities, others remain niche or face declining popularity due to limited features.
WhatsApp Adaptation
WhatsApp is widely adopted by businesses around the world, particularly due to its API, which allows for seamless automation, customer service, and interaction at scale. Its API integration supports automated responses and chatbots, making it a highly flexible tool for customer engagement.
SMS Adaptation
SMS remains universally used but is declining in popularity due to its lack of rich media and interactive features. While its simplicity and universal reach keep it relevant, businesses are increasingly looking for more dynamic alternatives.
Facebook Messenger Adaptation
Popular in regions like the US and Europe, Facebook Messenger offers good business integration, especially with its chatbots and automation features. However, its reliance on Facebook’s ad-driven model can limit direct customer engagement without paid promotions.
Apple Business Chat Adaptation
Apple Business Chat has a more niche adoption due to its exclusivity to iOS users. While it allows for seamless integration within the Apple ecosystem, its limited user base confines its usage to a smaller, more affluent demographic.
Regulatory and Compliance
Different platforms are subject to various legal frameworks depending on their geographic reach and the types of data they handle. Businesses must consider these regulations to ensure they are using secure, compliant channels, especially when handling sensitive customer data.
WhatsApp Compliance
WhatsApp is fully compliant with global privacy laws, including GDPR, making it a secure choice for businesses operating in regions with strict data protection regulations. Its opt-in policies further ensure that communications are aligned with privacy standards.
SMS Compliance
SMS must be carefully managed to comply with regional regulations, especially around customer consent. Businesses need to implement clear opt-in and opt-out mechanisms to avoid violating laws like GDPR and TCPA.
Facebook Messenger Compliance
Facebook Messenger is subject to Meta’s broader data privacy challenges, which have raised concerns in various regions. Although it can be compliant, businesses must be mindful of potential data issues tied to the platform’s handling of personal information.
Apple Business Chat Compliance
Apple Business Chat adheres to Apple’s stringent privacy standards and is fully GDPR-compliant. However, its usage is limited to Apple devices, which can restrict a business’s ability to engage with users across multiple platforms.
Conclusions
In this article, we’ve compared WhatsApp Business to other messaging platforms like SMS, Facebook Messenger, and Apple Business Chat across key areas such as user base, cost, security, and platform adaptability. WhatsApp Business stands out with its extensive reach, cost-efficient API, and strong security through end-to-end encryption, while SMS remains universally accessible but lacks interactivity. Facebook Messenger and Apple Business Chat offer niche advantages but are more limited in scope.
For businesses, these comparisons are crucial when selecting a messaging platform. WhatsApp Business offers the most comprehensive solution for businesses looking to engage with a large, global audience. Its scalability and integration capabilities make it particularly appealing for larger companies, while SMS remains relevant for those seeking universal reach. Businesses should weigh their needs for interactivity, cost efficiency, and security when deciding which platform best suits their goals.
Looking ahead, we can expect messaging platforms to continue evolving, with WhatsApp Business leading the shift towards more conversational commerce. Rich media features are becoming more important. Platforms like WhatsApp, RCS, and RBM will offer richer engagement while ensuring security and compliance. The landscape of business messaging will continue to change as user expectations evolve and new technologies emerge.
Messaging Pulse: Redefine Your Messaging Strategies
Crafted by the experts at Mobilesquared and GTC, it blends top-notch consultancy with sharp, data-driven insights to help you stay ahead. With personalized solutions tailored for diverse needs, Messaging Pulse ensures your organization communicates smarter and more effectively. Key beneficiaries include:
MNOs
Platform Providers
Enterprises
VCs & Major Consultancies