WhatsApp API: Everything You Need To Know

Did you know that WhatsApp is used by over 2.78 billion people worldwide? As businesses grow, WhatsApp has expanded its offerings to include WhatsApp Business and WhatsApp API, enabling companies to leverage this platform for customer communication. But what exactly is WhatsApp API, and how can it benefit your business?

Difference between WhatsApp messenger, WhatsApp business and WhatsApp API

WhatsApp Messenger, WhatsApp Business, and WhatsApp API serve different purposes. Here’s a comparison table to understand the differences better:

FeaturesWhatsApp MessengerWhatsApp BusinessWhatsApp API
Target UsersIndividualsSmall businessesMedium to large businesses
AvailabilityFreeFreePaid (via service providers)
Automated MessagingNoLimitedYes (Highly customizable)
Integration CapabilitiesNoNoYes (CRM, ERP, etc.)
Broadcasting LimitYes (256 people)Yes (256 people)Unlimited
Multi-Agent SupportNoNoYes

What’s WhatsApp API?

WhatsApp API is designed specifically for medium to large businesses to scale their customer communications. Unlike WhatsApp Messenger and WhatsApp Business, the API is not a standalone app. It integrates with customer relationship management (CRM) tools and business software, enabling automated messaging and large-scale interactions.

With WhatsApp API, businesses can send notifications, resolve customer queries, and run customer support services more effectively. It offers rich features like chatbot integration, customer tracking, and multi-agent access, making it a powerful tool for large-scale customer engagement.

What are the benefits of using WhatsApp API for businesses?

πŸ“ž Automated messaging – Respond to customer queries 24/7 using chatbots.
πŸ“± Personalized communication – Send tailored messages based on customer behavior.
πŸ“ˆ Scalability – Ideal for businesses with high-volume messaging needs.
πŸ”„ CRM Integration – Sync with your existing customer management tools.
πŸ›  Multi-agent support – Multiple agents can respond to inquiries using one number.
πŸ“Š Analytics – Track conversation metrics and optimize customer support.
🌍 Global reach – Communicate with customers anywhere in the world, easily.

How Does WhatsApp API Work?

WhatsApp API functions by integrating with external software systems such as CRMs or ERP solutions. Unlike WhatsApp Messenger or Business, you need a third-party service provider to access the API, as it doesn’t come with a front-end interface. Once integrated, businesses can use the API to automate messages, trigger notifications based on customer actions, or manage large-scale customer support operations.

Messages are typically sent through secured endpoints provided by WhatsApp-approved providers. These providers charge fees based on the number of messages sent or received, ensuring the service can be scaled up to match business needs.

What’s the cost of using WhatsApp API?

Platform Cost

When using WhatsApp API for business, the platform cost varies based on whether you’re using the WhatsApp Business API or the WhatsApp Cloud API:

WhatsApp Business API:

Businesses using the WhatsApp Business API must host the service on either their own servers or those of a WhatsApp Business Solution Provider (BSP). This hosting entails costs that BSPs pass on to businesses. These fees include setup costs, API usage charges, and additional fees for integrating the API with a customer relationship management (CRM) system or message inbox. Furthermore, BSPs may use various pricing models such as per-message, per-message bundle, or per-monthly active users.

WhatsApp Cloud API:

Unlike the Business API, the WhatsApp Cloud API is hosted on Meta’s servers and does not have hosting costs. However, businesses are charged for conversations based on usage, as described below. The Cloud API is more cost-efficient for businesses looking to scale without dealing with the infrastructure of the Business API.

Conversation Cost

Conversation costs on WhatsApp API are based on two main factors: whether the conversation was initiated by the user or by the business. Since June 1, 2023, WhatsApp has implemented four categories of conversations:

User-Initiated Conversations:

These conversations start when a user sends a message to a business. The first 1,000 user-initiated conversations each month are free, but subsequent conversations are charged. Businesses only pay if they reply within 24 hours of receiving the message.

Business-Initiated Conversations:

These conversations are started by businesses after the 24-hour service window has passed. Each business-initiated conversation incurs a cost. These conversations must use message templates and are further categorized as:

Utility Conversations: For updates on ongoing transactions (e.g., post-purchase notifications).
Authentication Conversations: Used for verifying user identity via one-time passcodes.

Marketing Conversations: For promotional content, offers, or notifications unrelated to transactions.

Service Conversations: Any conversation started by the user and responded to within the 24-hour window is considered a service conversation. These conversations are free unless templates from another conversation category are used.

Entry-Point Conversations: Conversations initiated through ads with call-to-action buttons (leading to WhatsApp or Facebook pages) are free for 72 hours. If a template message is sent within this window, no extra cost is incurred.

What are the disadvantages of WhatsApp API?

❌ No front-end interface – Requires integration with third-party systems.
πŸ’΅ Costly for small businesses – Pricing may be prohibitive for startups or small companies.
βš™οΈ Complex setup – Requires technical expertise and service provider assistance.
πŸ“œ Strict messaging policies – WhatsApp enforces strict guidelines on message content and format.
❗ No end-to-end encryption for API – Messages may not have the same level of encryption as personal WhatsApp chats.
🌍 Limited countries – WhatsApp API might not be available or supported in all regions.
πŸ”„ Dependence on third-party vendors – You need to rely on approved providers for the service.

FAQ

Can I send bulk messages to unknown people with WhatsApp API?

No, WhatsApp has strict policies regarding messaging content and user permissions. For example, users must opt-in to receive messages, and businesses cannot send unsolicited promotional messages. Violating these policies could result in penalties or loss of API access.

What is the difference between WhatsApp Business and WhatsApp API?

WhatsApp Business is a free app designed for small businesses to manage customer communication. In contrast, WhatsApp API is for medium to large businesses, offering scalable solutions, automation, and integration with CRMs, but it requires third-party service providers.

Do I need coding skills to use WhatsApp API?

Yes, using WhatsApp API requires technical integration, usually done by developers or through third-party service providers. The API does not have a user interface like WhatsApp Business, so coding or technical setup is necessary.

Is WhatsApp API secure?

Yes, WhatsApp API uses end-to-end encryption for messages in transit. However, there may be differences in encryption based on how the messages are stored or handled by third-party providers.

Can small businesses use WhatsApp API?

While possible, WhatsApp API is generally more suited for medium to large businesses due to its complexity and cost. Small businesses may find WhatsApp Business more appropriate unless they have high messaging volumes or specific automation needs.

How much does WhatsApp API cost?

The cost of WhatsApp API varies based on the provider and the number of messages sent. There may be setup fees, monthly subscription costs, and per-message charges, depending on the volume and type of message (e.g., transactional or promotional).

Can I integrate WhatsApp API with my CRM?

Yes, WhatsApp API is designed for integration with various CRM systems. This enables businesses to automate messaging, manage customer data, and provide personalized customer experiences.