One Time Passwords (OTPs) are a form of security authentication that is used in various platforms. WhatsApp, as one of the renowned messaging applications in the world and Indonesia, can also be used as a medium for sending OTPs through WhatsApp Business API. Check out the various advantages offered by the WhatsApp Business API and why your business should use it as an OTP delivery tool in this article.
Previously, we talked about various forms of implementing the Template Messages that businesses can use through the WhatsApp Business API. One of the best forms of using Template Messages that we often encounter is Account Updates. Account Updates can be used for various cases and one of the current application trends is sending OTP (One Time Password) via WhatsApp.
One Time Passwords
OTPs are a form of security authentication that is very common use by many people who use the Internet. OTPs are time-synchronized so they have a fairly short usage deadline, for example, 5 minutes.
As compared to Static Passwords, OTPs tend to have a better level of security. This is because OTP cannot be used in multiple sessions due to its temporary nature. So, using OTP is an option that many businesses choose and are preferred by users.
The use of OTPs themselves have been applied by various industries, especially in finance, such as by credit cards and e-wallet companies. This fact is supported by data from the Mobile Ecosystem Forum which states that 33% of people worldwide have received at least 1 short message containing OTP from a banking company.
The Use of OTPs
Not limited to the financial industry, OTPs are also often used in various use cases. For example, login confirmation and changes of confidential information on e-commerce sites, password changes and other account information updates on social media, as well as other web-based services that require multi-factor authorizations from the user when accessing them.
Sending OTPs Using SMS
Generally, the OTP will be sent to the user’s mobile phone via Short Messaging System (SMS). OTPs are a part of Application-to-Person (A2P) Messaging) which is a message sent by an application. In order to receive it, the user must have a registered personal mobile number.
Previously, SMS was often used as a medium for sending OTPs but this method often contained obstacles.
Weaknesses of Using SMS
1. Delay in Acceptance
SMS delivery often experiences delays considering that the SMS route mechanism is quite complex. SMS traffic also has the potential to overload. In addition, SMS coverage is limited nationally. This certainly makes it difficult for travelers who move between countries who needs to access an OTP as the fees can become expensive with data. The difference between the network and the provider as the sending party determines the speed of receiving the OTP via SMS.
2. Locally Conditional Success Rate
The success of sending SMS is very much influenced by the condition of the user’s mobile phone. For example, if the mobile phone is turned off or runs out of battery, it will affect the success of receiving OTPs. Not only that, the location of the recipient will determine how fast an individual receives the OTP SMS. This is because geographical conditions and buildings have greatly affected telephone and SMS networks.
3. Number Characters Limitation
SMS also works on a limited number of 160 characters. Therefore, the message must be clear and concise. Otherwise, the message containing the OTP cannot be relayed.
What’s the Solution?
To solve this problem, businesses can take advantage of the WhatsApp Business API, particularly using the Messages Template. Here’s why:
1. Increase in Delivery Rate
WhatsApp can provide real-time notifications to its users without being hindered by other external factors or device constraints such as those faced by SMS. WhatsApp’s global coverage also makes it easier for consumers to receive OTPs without delay and additional costs, such as roaming fees. As a result, sending OTPs from businesses to consumers via the WhatsApp Business API will provide a higher delivery rate.
2. Increased OTP Success Rate
The delay rate that can be reduced using the WhatsApp Business API makes OTP s more quickly accepted by users. As a result, users do not need to make OTP sending requests repeatedly like in SMS. This is because the use of WhatsApp does not only depend on cellular networks such as SMS, but also on Internet connection so that companies no longer need to have difficulties involving various carriers just to send OTPs. WhatsApp Business API is proven to have recorded an increased OTP Success Rate.
3. Better Credibility
When registering a WhatsApp Business API account, businesses will receive a green tick indication and a Masking Account from WhatsApp. The business profile on this account is deemed as verified and official profile, thereby increasing the credibility of the business. As a result, consumers will feel more secure when receiving OTPs rather than regular SMS.
WhatsApp also comes with end-to-end encryption. This means that only the business (as the sending party) and the recipient can read the message. Even WhatsApp itself cannot access it.
Businesses can find out the status of the OTP delivery to recipients and whether it has been read or not. In addition, if there is a problem on the consumer’s side, they can follow up quickly by replying to the OTP text message in the WhatsApp chatroom for free and only need to wait for the agent to respond.
5. Flexible Content
WhatsApp Business API allows businesses to be able to customize their Messages Template, including Account Updates, with a larger number of characters, which is up to 1024 characters in each message as opposed to the very limited number in SMS.
Use WhatsApp Business API for Sending OTP Now!
The description above is an illustration of why the WhatsApp Business API is more practical for sending out OTPs. We can also see how the WhatsApp Business API can overcome various challenges that are often faced by SMS when delivering OTPs. If your business wants to try sending out OTPs using WhatsApp Business API, or has other use cases that can be applied using the Messages Template, Qiscus will be ready to assist your business in finding the right solution. To contact us, click here.