WhatsApp is the leading engagement channel, with roughly 1 billion messages being sent every week between customers and businesses. Its vast reach and interactive features have made it the primary channel of customer communication for businesses. WhatsApp Business API and WhatsApp for Business (the standard business account) are the two primary business solutions. The latter is designed for SMBs with features like quick replies and automated messages, while the former is aimed at businesses wanting to scale operations and offers more advanced features to engage with customers.
Main Features of WhatsApp for Business
The standard WhatsApp Business account or WhatsApp for Businesses offers a robust set of tools allowing small and medium businesses to personalize engagement and deliver efficient support for higher customer satisfaction and loyalty.
1. WhatsApp business profile: Businesses can create their profile with information like website, description, and operating hours, making it easier for customers to identify a business and contact them.
2. Quick replies: Businesses can save time by creating preset responses to FAQs, ensuring those queries are addressed quickly and without having to repeat those answers.
3. Labels: Key customer conversations can be organized and filtered, so they are easy to find and can be responded to quickly.
4. Away messages: Messages landing in your inbox outside business hours can be responded to automatically, letting customers know when you’ll be back or when they can expect a response.
In addition, SMBs can distinguish themselves with a Meta verified badge, impersonation protection, and linking up to 10 devices and agents for handling a higher number of orders and customers, among other features.
Comparative Analysis: API vs. Standard Business Accounts
Let’s discuss the capabilities of the two WhatsApp business messaging solutions across parameters.
1. Scalability and Automation
While the WhatsApp Business App can manage one-to-one conversations, it has limited scalability – with support for up to four additional devices linked to a single mobile number, but only one device can be active at a time. The API, on the other hand, offers high scalability, supporting unlimited users and devices, which allows teams to collaborate seamlessly on customer support.
While the app provides basic automation features like quick replies and automated greeting/away messages, it is most suitable for manual query resolution. The API’s automation features include the integration of chatbots and predefined messaging workflows. It integrates with CRM systems and other business tools, thus reducing manual effort and improving the efficiency of customer service.
2. Integration Capabilities
The WhatsApp Business app does not support direct integration with CRM systems, eCommerce platforms, or other business tools. Additionally, while it allows businesses to manage customer communications effectively on a small scale, it lacks the ability to streamline processes across multiple systems.
The WhatsApp Business API easily integrates with a variety of business systems, including CRM systems, eCommerce platforms, and other tools, allowing businesses to automate customer interactions using chatbots, send personalized notifications, and effectively manage complex customer journeys. Integration also provides businesses with comprehensive analytics to refine their communication strategies based on customer behavior and engagement metrics.
3. What are the Cost Implications?
The WhatsApp Business app is free to download, making it an accessible and cost-effective option for small businesses. There are no additional costs associated with sending messages or using its features. However, its limited scalability and automation might lead to inefficiencies in customer service, potentially impacting revenue through lost opportunities or customer dissatisfaction.
The WhatsApp Business API provides a conversation-based pricing model, with businesses charged per conversation rather than per message. A conversation is defined as a 24-hour interaction between a business and a customer. The cost varies based on the type of conversation (Marketing, Utility, Authentication, and Service).
4. Technical Requirements
The WhatsApp Business app is straightforward to set up and use. It is designed for small businesses and can be managed by non-technical staff. Features like quick replies and automated messages are easy to configure. Moreover, no additional server infrastructure is required, as the app operates directly on mobile devices or linked devices.
On the flip side, implementing the WhatsApp Business API requires significant technical expertise. The API needs to be integrated with existing systems, which involves setting up a server or cloud hosting to manage the API, handling HTTPS endpoints, and ensuring compliance with WhatsApp’s technical guidelines. Chatbots and other automation features require integration with CRM systems and business tools, making technical knowledge paramount to configure and maintain effectively. Businesses must also undergo a verification process through Facebook Business Manager, which involves uploading official documentation to confirm business identity.
Case Studies: Successful Implementations
Using the WhatsApp Business API
The Souled Store is a popular Indian casual wear brand specializing in official merchandise. It sought an engaging, two-way communication channel to streamline customer communication, enhance engagement and maximize campaign ROI. By collaborating with Interakt, The Souled Store transformed interactions with simple workflows, chat assignments, and custom auto-replies, powered by Interakt, to achieve a 42% engagement rate on WhatsApp.
KCPC Bandhani, a specialist in traditional Indian women’s wear, faced challenges with managing scattered customer queries across email, WhatsApp, and Instagram. By adopting Interakt’s WhatsApp Business API offering, the business unified its communication and reduced costs by 65%, while achieving significant outcomes in engagement and sales. The integration provided the foundation necessary to streamline customer interactions and scale the business while preserving the brand’s cultural roots.
Making the Decision: Factors to Consider
When deciding between the WhatsApp Business API and the standard WhatsApp Business account, businesses should consider the following factors to choose the solution that best aligns with their needs.
Business size and growth: Small businesses with a low volume of customer interactions might find the standard WhatsApp Business app sufficient. However, larger businesses should opt for the WhatsApp Business API due to its scalability.
Automation and integration: For businesses that require advanced automation, integration with CRM systems, or other business tools, the WhatsApp Business API is the way to go as it supports complex workflows and seamless integration with third-party systems.
Budget and costs: The standard WhatsApp Business app is free, while the WhatsApp Business API involves conversation-based pricing. You have to decide whether the benefits of advanced features justify the expenses.
Technical expertise: Implementing the WhatsApp Business API requires technical expertise for setup and integration. Ensure you have the necessary resources or consider partnering with a business solution provider (BSP) like Interakt to get started.
Customer engagement strategy: The WhatsApp Business API is preferable if you want to engage customers through personalized, automated interactions and bulk messaging.
Conclusion
Both the WhatsApp Business app and the WhatsApp Business API offer unique benefits. The standard WhatsApp Business app is ideal for small businesses seeking a simple, cost-effective way to manage customer interactions, while the WhatsApp Business API is designed for medium to large enterprises requiring advanced automation, scalability, and integration capabilities.
When choosing between these solutions, businesses should assess their specific needs, including growth expectations, automation requirements, budget constraints, and technical capabilities.
Ultimately, whether you opt for the WhatsApp Business app or the more advanced WhatsApp Business API, it’s important to consider your business’s unique requirements and leveraging WhatsApp’s powerful messaging capabilities to drive growth and customer satisfaction.