This article provides a comprehensive overview of WhatsApp’s pricing, billing, and process for your account and locations within the software. It covers essential topics such as conversation-based pricing, subscription charges, conversation categories, free entry point conversations, and workflows.
TABLE OF CONTENTS
Overview of WhatsApp Billing
Key Benefits of WhatsApp's Pricing Structure
WhatsApp Messaging Rates
WhatsApp Conversation-Based Pricing
Free Entry Point Conversations
WhatsApp Messaging Rates by Market/Country
Your Client's WhatsApp Subscription
Frequently Asked Questions
Related Articles
Video Tutorials from the Community
Next Steps
Overview of WhatsApp Billing
WhatsApp in the software uses a conversation-based pricing model, charging businesses per 24-hour conversation session rather than per individual message. Conversations are categorized into Marketing, Utility, Authentication, and Service types, each with specific use cases and pricing structures. Understanding these categories and how conversations are initiated is crucial for effective cost management.
Key Benefits of WhatsApp's Pricing Structure
Understanding the key advantages of WhatsApp's pricing structure empowers businesses to optimize costs and enhance communication strategies. Here are the primary benefits:
Cost Predictability: By charging per 24-hour conversation session instead of per individual message, businesses can better plan and manage budgets.
Clear Categorization: Conversations are divided into Marketing, Utility, Authentication, and Service types, enabling businesses to tailor communication strategies to specific needs.
Efficient Cost Management: The system includes features like free entry point conversations and customer service windows to minimize costs while maintaining quality communication.
IMPORTANT: The software charges per conversation, not per individual message.
What is Considered a Conversation?
Conversations are 24-hour message threads between you and your customers. They are opened and charged when messages you send to customers are delivered. The criteria that determine when a conversation is opened and how it is categorized are explained below.
WhatsApp Messaging Rates
Understanding WhatsApp's conversation rates is critical for managing costs effectively. Rates vary based on the conversation category (Marketing, Utility, Service) and the country/region where the message is sent.
Free Service Conversations: Many regions offer free service conversations, reducing costs for customer support interactions.
Payment Processing Fees: A 5% Stripe fee is added to these rates, which should be considered when setting up.
Regional Variations: Rates differ significantly by region, so plan campaigns with regional costs in mind.
Rate Application Example
Assume a Marketing message is sent to the U.S.
Base rate: $0.0263
Multiplier: 1.5X
Final cost to the client: $0.0263 × 1.5 = $0.0395
WhatsApp Conversation-Based Pricing
WhatsApp uses a conversation-based pricing model, where each conversation is categorized based on its purpose and how it is initiated. Understanding these categories helps businesses strategize their communication effectively and manage costs. Below are the four WhatsApp conversation categories.
IMPORTANT: Each category has specific initiation methods.
Marketing, utility, and authentication conversations can ONLY be opened with template messages.
Service conversations can ONLY be opened with free-form messages.
To learn how to choose an appropriate category when creating your WhatsApp templates, see Template Categorization Guidelines.
Marketing, Utility, and Authentication Conversations
These conversations remain open for 24 hours from the time the first template message is delivered unless closed by a newly opened free-entry point conversation.
Marketing Conversations: Used for promotional messages, product or service announcements, retargeting campaigns, and cart abandonment reminders.
Utility Conversations: Used to provide information requested by users, such as order updates, delivery notifications, and payment reminders.
Authentication Conversations: Used to authenticate users via one-time passcodes for processes like account verification and recovery.
Service Conversations
This 24-hour timer begins when a customer messages you. During this window, free-form messages can be sent without opening additional conversations.
Used to resolve customer inquiries and issues.
Service conversations are initiated when a free-form message is delivered to a customer, provided no other conversation of any type is open.
These conversations rely on an active customer service window between you and the customer.
| Example 1: Two templates of the same category result in only one conversation charge A utility conversation is opened at 9:00 when a utility template message is delivered. Later, with the utility conversation still open, another utility template message is delivered at 11:00. There is no new conversation charge because the template category used within the open conversation window did not change. The result is one utility conversation charge. |  |
| Example 2: Opening a utility conversation inside a marketing conversation A marketing conversation is opened at 3:40 when a marketing template message is delivered. Later, with the marketing conversation still open, a utility template is delivered at 6:00. This opens a separate utility conversation. The result is one charge for a marketing conversation and one charge for a utility conversation. |  |
Free Entry Point Conversations
Free entry point conversations provide cost-saving opportunities for businesses by allowing free communication for a limited duration.
How It’s Triggered: A customer messages you via a Click to WhatsApp Ad or Facebook Page Call-to-Action button, and you respond to the message within 24 hours.
Duration: These conversations last 72 hours and automatically close all other open conversations.
Cost Efficiency: Once initiated, no additional charges are incurred for any type of message sent within the 72-hour window.
Example of Free Entry Point Conversation
If a customer messages you via a Click to WhatsApp Ad at 10 am and you respond at 10 pm the same day:
The free entry point conversation starts at 10 pm and lasts for 72 hours.
Free-form messages can be sent within a 24-hour customer service window.
WhatsApp Messaging Rates by Market/Country
Understanding conversation rates by market or country helps businesses plan their communication costs effectively. Rates vary depending on the type of conversation (Marketing, Utility, or Service) and the region where the message is sent. This information allows for precise budgeting and optimized communication strategies tailored to specific geographic locations.
These rates apply for any conversation opened on or after June 1, 2023 at 12:00 AM, based on the WhatsApp Business Account time zone.
Frequently Asked Questions
Q: What is the free tier for conversations?
Each WhatsApp Business Account receives 1,000 free service conversations per month across all phone numbers. Marketing, Utility, and Authentication conversations are not included in this free tier.
Q: What is conversation-based pricing?
Conversation-based pricing charges businesses per 24-hour conversation session rather than per individual message sent or received.
Q: What are the different conversation categories?
Marketing: For promotional messages and retargeting campaigns.
Utility: For user-requested updates such as delivery or payment notifications.
Authentication: For verifying users with one-time passcodes.
Service: For resolving customer inquiries or issues.
Q: How are conversations opened?
Marketing, Utility, and Authentication Conversations: Opened when a template message is sent and delivered to the customer, provided no open conversation of that category exists.
Service Conversations: Opened when a free-form message is sent and delivered, provided no other conversation is open.
Q: Can multiple conversations be open with the same customer?
Yes, multiple conversations can be open if:
A new template message of a different category is sent within 24 hours.
A service conversation exists, and a template message is sent within 24 hours.
Q: What is a customer service window?
A customer service window is a 24-hour timer that starts when a customer messages you. It allows businesses to send free-form messages within that period.
Q: What is a free entry point conversation?
Free entry point conversations are initiated when a customer contacts you via a Click to WhatsApp Ad or Facebook Page Call-to-Action button, and you respond within 24 hours. It lasts for 72 hours and allows sending all types of messages without additional charges.
Q: What happens if I send templates of different categories in the same 24-hour conversation window?
Sending a template of a new category will open a separate conversation and result in an additional charge, unless it is sent during an open conversation of the same category.
Next Steps
To maximize the benefits of WhatsApp’s pricing and billing features, consider the following next steps:
Explore Template Best Practices: Learn how to categorize and optimize your template messages to reduce costs and improve message delivery.
Monitor Usage and Adjust Settings: Regularly review conversation usage and billing data to make adjustments that optimize costs for your account and clients.
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