WhatsApp or SMS? What is more suitable for marketing and customer communication in companies?

Where does the messenger trend in marketing and customer communication come from?

Unfortunately, we are all aware that Germany is often a bit behind in terms of innovation. In the USA and Asia, messengers are an integral part of customer communication and messengers are used as a marketing tool. On the one hand, numerous companies can be reached via messenger channels and use them to manage their own campaigns. Conversational commerce is a buzzword that comes up again and again. Communication with the end customer feels natural and runs throughout the entire customer journey.

WeChat from China is an extreme example of what conversational commerce can look like in its final form. WeChat allows users not only to write messages but also to place orders and pay via them.

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What do WhatsApp and SMS have in common?

Large user base

There are hardly any people in western countries who no longer use smartphones these days. According to a study by Statista, more than 3.5 billion people in the world own a smartphone. In Germany, there are more than 60 million people who use smartphones for daily communication. In concrete terms, this means that the majority of Germans can be reached via WhatsApp and SMS.

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GDPR-compliant use for commercial users

Both channels can be used commercially by companies. Customer inquiries can be answered or the status of the order can be shared. GDPR compliance also applies to both channels, i.e. companies must obtain consent from the recipient before proactive communication.

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High opening rates for WhatsApp and SMS

SMS and WhatsApp have a significantly better opening rate compared to email newsletters. The average for WhatsApp and SMS is over 90% and for email just 20%, depending on the industry.

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Benefits of SMS

Today, communication via SMS is one of the most popular communication channels in Germany. Since the introduction of WhatsApp, however, this channel has lost importance. In 2013, for the first time, more messages were sent via WhatsApp than via SMS. However, this does not mean that the SMS channel is no longer relevant. Older target groups in particular use this channel and see SMS as a trustworthy means of communication.

Benefits of SMS:

1. no dependence on an Internet connection

2. no extra app required

3. Older target groups could find SMS more trustworthy

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Benefits of WhatsApp Business API

More than 100 billion WhatsApp messages are sent worldwide every day, making it one of the most used messenger platforms worldwide. One advantage over SMS is the WhatsApp corporate account. Companies that use WhatsApp for commercial purposes are required to create and use a company profile. Consumers can thus immediately see which company they are having a conversation with and can therefore find all important information about the company in their profile.

Benefits of WhatsApp Business API:

• Create automated replies and message templates
• WhatsApp business profile with information
• Sending newsletters
• great adaption by end users

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Reading tip: In our article”Comparison: Customer communication with messenger or email marketing“Find more tips for choosing the best communication channel.

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The combination of the two channels WhatsApp Business API and SMS is an advantage

Ultimately, both channels benefit from the high adaptation rate and, accordingly, from high opening rates. However, WhatsApp has some exciting benefits that SMS can't offer.

As examples from other countries already show, messaging is also the future of customer communication in Germany. When it comes to messaging, WhatsApp is the most important channel and can be used by companies in compliance with the GDPR via the WhatsApp Business API. Overall, it can be said that WhatsApp is the most important channel but not the only one. The success lies in an omni channel strategy, i.e. the connection of all relevant channels (SMS, WhatsApp, Facebook Messenger, Instagram, Telegram & email)

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WhatsApp Business API and SMS for customer communication with hellomateo

With hellomateo, small and medium-sized companies have an ideal tool to bundle all channels into a central inbox. With smart collaboration functionalities, teams can effectively manage communication across many channels without missing out on issues. At the same time, companies can be reached by their customers on more channels and can thus generate new sales potential.

Feel free to arrange a non-binding and free Consultation and we'll show you how hellomateo covers your communication needs! To do this, simply book here Make an appointment or write to us via our web widget.

• ‍Central user interface: hellomateo combines WhatsApp Business Platform, email, Instagram, SMS and Facebook Messenger in one central inbox. The intuitive user interface includes various tools for efficient customer communication and saves you valuable working time.
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• integrations: With hellomateo, you can use WhatsApp in integrate over 6,000 software programs and fully automated Customer trips create with invitations, order confirmations, shipping information, invoices, and reminders.
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• Newsletter marketing: Send GDPR-compliant Newsletter via WhatsApp or SMS and benefit from opening rates of over 90%.‍
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• Assessment management: hellomateo can Automatically request online reviews from your customers, which boosts your Google ranking and trust in your company.
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• ‍Data protection: hellomateo meets all German and European Data protection requirements and offers end-to-end encryption for secure customer communication.
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• scalability: Our software is suitable for Businesses of all sizes and can be extended indefinitely depending on the package.‍
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• ‍Diverse AI features: Our AI agent can automatically answer customer inquiries in chat, answer calls, help with the formulation of messages and much more.

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