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WhatsApp Pricing, Billing, and Rebilling Guide

Explore the essentials of WhatsApp's pricing, billing, and rebilling process within Stack. This guide covers conversation-based pricing, subscription charges, conversation categories, free entry point conversations, and more.

Table of Contents​

Overview of WhatsApp Billing​

WhatsApp in Stack uses a conversation-based pricing model. Businesses are charged 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 WhatsApp's pricing structure can help businesses 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: Features like free entry point conversations and customer service windows help minimize costs while maintaining quality communication.

IMPORTANT: Stack charges per conversation, not per individual message.

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 rebilling.
  • 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.

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. These are used to resolve customer inquiries and issues.

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 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.

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.

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.

Video Tutorials from the Community​

Next Steps​

To maximize the benefits of WhatsApp’s pricing and billing features, consider the following next steps:

  • Customize Your Rebilling Strategy: Set a pricing multiplier that aligns with your revenue goals while covering costs effectively.
  • 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 business and clients.