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Send Instant OTPs and Alerts by Transactional SMS

At Kapsystem, we understand the importance of seamless and secure communication in today’s fast-paced business environment. Our Transactional SMS Services are designed to meet your operational needs by providing instant and efficient message delivery to your audience.

By November 2020, India saw a 20% rise in the number of commercial SMS messages sent daily, with approximately 1.3 billion messages sent each day. About 70% of these were transactional or service-related messages. In late 2024, mobile users in India sent an average of 11 SMS messages per subscriber every month, highlighting the continued importance of SMS for everyday communication.

What are Transactional SMS?

Service-related SMS messages are non-promotional and used to provide updates, confirmations, or reminders about services that customers have subscribed to or interacted with.

Applications of Service-Related SMS

  • Booking Confirmations:
    • Travel: Ticket bookings for flights, trains, or buses.
    • Hospitality: Hotel and restaurant reservations.
  • Delivery Updates:
    • E-commerce: Real-time tracking of orders and delivery timelines.
    • Courier Services: Notifications on package pickup and delivery status.
  • Maintenance and Repairs:
    • Alerts about scheduled maintenance or repair work for utilities and electronics.
    • Updates about service requests or ticket closures.
  • Subscription Notifications:
    • Alerts for subscription renewals for services like OTT platforms, SaaS tools, or gym memberships.
    • Reminders for payment dues and subscription upgrades.
  • Account Activity Alerts:
    • Notifications for login activities, password changes, or unauthorized access attempts.
    • Usage updates for internet, mobile data, or utility consumption.

Benefits of Service-Related SMS

  • Real-Time Communication: Instant updates ensure customers are always informed.
  • Improved Customer Experience: Proactive communication builds trust and reduces customer inquiries.
  • High Engagement Rates: With open rates nearing 98%, SMS ensures the message is seen and acknowledged.
  • Compliance: Delivered under TRAI guidelines, service SMS ensures transparency.

One-Time Passwords (OTPs)

OTPs are secure, single-use codes sent via SMS or email for verifying user identities and transactions. OTPs are essential for maintaining security in digital and financial operations.

Applications of OTP SMS

  • User Authentication:
    • Logging into mobile apps, websites, or digital platforms.
    • Two-factor authentication (2FA) to enhance login security.
  • Payment Processing:
    • Validation of online transactions on e-commerce platforms or payment gateways.
    • Secure authorization of UPI payments and credit/debit card transactions.
  • Password Resets: Immediate and secure password recovery processes for user accounts.
  • KYC (Know Your Customer): Verification of user details during account creation or updates for banks, telecom providers, and financial institutions.
  • Government Services: Authentication for services like Aadhaar-linked activities, tax filings, and other digital government interactions.

Benefits of OTP SMS

  • Enhanced Security: Reduces risks of unauthorized access or fraud.
  • Instant Delivery: Typically delivered in under 10 seconds, ensuring seamless user experience.
  • Global Reach: Works across borders, providing authentication for international users.
  • User-Friendly: Simple process that doesn’t require technical expertise.

Key Features of Service and OTP SMS

  • Custom Sender IDs: Create a 6-digit recognizable brand identity.
  • API Integration: Automate SMS delivery through APIs integrated into your platform.
  • 24/7 Delivery: Uninterrupted communication regardless of the time zone.
  • Multi-Lingual Messaging: Deliver messages in the language preferred by your audience for better engagement.

Why Choose Our Transactional SMS Services?

  • Uninterrupted Connectivity: Deliver crucial information 24/7 to both DND and non-DND numbers.
  • Template-Based Messaging: Pre-approved message templates ensure compliance with regulations.
  • Instant Delivery: Messages are sent in real-time, ensuring your audience gets the information when they need it most.
  • Global Reach: Expand your communication boundaries with worldwide coverage.
  • Custom Sender IDs: Personalize your communication with branded sender IDs for higher trust and recognition.

Which Types of Companies Are Using Transactional SMS Services?

Types of Transactional SMS in India

Transactional SMS services are essential for organizations that need to deliver important and time-sensitive information to their customers. These messages are strictly informational and comply with the TRAI (Telecom Regulatory Authority of India) guidelines to ensure transparency and reliability. Below are the key types of transactional SMS used in India:

  • OTP (One-Time Password) SMS
    • Purpose: OTP SMS is primarily used for authentication purposes during transactions, logins, or secure access.
    • Applications:
      • Secure online banking and payment gateways.
      • Verification of user accounts on mobile apps and websites.
      • Password resets and identity confirmations.
    • Features:
      • Real-time delivery within seconds.
      • High security with automated API integrations.
  • Alert SMS
    • Purpose: To notify customers about account activities, payment reminders, or service updates.
    • Applications:
      • Bank transaction alerts for debits, credits, or low balance notifications.
      • Utility bill reminders for electricity, water, and internet services.
      • Shipment tracking updates for e-commerce deliveries.
    • Features:
      • Customizable sender IDs.
      • Ensured delivery even to DND (Do Not Disturb) numbers.
  • Reminder SMS
    • Purpose: To remind customers of important dates, appointments, or renewals.
    • Applications:
      • Appointment reminders for healthcare and service providers.
      • Subscription renewal notices for SaaS and OTT platforms.
      • Event reminders for webinars, workshops, or meetings.
    • Features:
      • Scheduled delivery for maximum convenience.
      • Time-sensitive and personalized templates.
  • Informational SMS
    • Purpose: To provide non-promotional updates about an organization's services or user accounts.
    • Applications:
      • Fee due notifications for educational institutions.
      • Policy updates or changes for insurance and financial services.
      • Weather or emergency alerts from government or civic organizations.
    • Features:
      • Bulk messaging capabilities for large audiences.
      • Easy integration with CRM systems.
  • Verification SMS
    • Purpose: To confirm user details or validate user actions.
    • Applications:
      • KYC (Know Your Customer) updates for banks and telecom companies.
      • Verification of email or phone number during registrations.
      • Approval notifications for service requests or applications.
    • Features:
      • Short yet impactful message templates.
      • Integration with verification workflows.
  • Service-Related SMS
    • Purpose: To update customers about ongoing services or issues.
    • Applications:
      • Service outage or maintenance notifications for telecom and utility providers.
      • Regular updates about repair or service requests.
      • Booking confirmations for hotels, travel agencies, or salons.
    • Features:
      • Multi-lingual support for better customer engagement.
      • Delivery assurance across all networks.

How Do Transactional SMS Differ from Promotional SMS?

  • Purpose: Purely informational, not promotional.
  • Reach: Delivered even to DND-registered numbers.
  • Template Approval: Pre-approved templates ensure compliance with TRAI guidelines.
  • Delivery Speed: Instant delivery with high priority.

Our Service Features

  • API Integration: Seamlessly integrate our APIs with your platform for automated messaging.
  • Detailed Analytics: Monitor and optimize your campaigns with delivery and engagement reports.
  • High Reliability: Our platform ensures 99.9% uptime and robust security for your data.
  • Cost-Effective Plans: Choose from flexible pricing tailored to your business needs.
  • Real-Time Support: Our dedicated support team is available 24/7 to assist you.

Get Started Today!

Transform your business communication with our industry-leading Transactional SMS Services. Contact us today for a Free Demo and experience unparalleled efficiency in message delivery.

Frequently Asked Questions
Transactional SMS

1. What are Transactional Bulk SMS?

Transactional Bulk SMS (Short Messaging Service) has additional features like a six-character SENDER ID, 24x7x365 Days of Delivery, and the ability to deliver to both DND and Non-DND numbers.

There may be delays or bans on Promotional Bulk SMS, but Transactional Bulk SMS rarely faces such issues because it plays a crucial role in the vast majority of Indian businesses.

Even for testing purposes, sending any promotional content on the Transactional Route can lead to legal complaints under Government (TRAI) rules.
2. What are the Advantages of Transactional SMS?

Transactional SMS has certain advantages and unique features not found in Promotional Bulk SMS:
  • Six-character Sender ID (e.g., LM-KAPSYS, MD-ICICIB, DD-HDFCBA, etc.).
  • Messages can be delivered to both DND and Non-DND numbers across India (including J&K).
  • Can be sent 24x7x365 days.
  • Usually delivered almost instantly, with minimal delay.
3. What are the procedures to have Transactional Bulk SMS?

  • The customer must sign an agreement stating that Transactional Bulk SMS will only be used to send communications to existing customers and not for any promotional activity. For more details, Click here to download the Agreement PDF
  • All messages must be authenticated (via template approvals) to ensure they are transactional in nature and do not contain any promotional content or keywords. For more information on template approvals, Click here to watch Transactional SMS Templates .
  • The customer must provide a sample registration form (or similar proof) that shows how end users subscribe to their service.
4. What is Spam Messages on Transactional Bulk SMS?

Without an approved template or sender ID, any message sent via the Transactional Route will have its credits deducted but remain stuck in the outbox. Even if it is genuinely transactional, it will still be treated as spam without proper approval.
5. What is the major difference between Promotional and Transactional Bulk SMS?

Promotional Bulk SMS
  • Can only be sent to Non-DND numbers.
  • DND numbers are filtered out, and credits are not charged for them.
  • Service is available from 9 AM to 9 PM.
  • Uses a 6-digit numeric Sender ID.
Transactional Bulk SMS
  • Messages can be delivered to both DND and Non-DND numbers.
  • Service is available 24x7x365 days.
  • Uses a six-character Sender ID.
  • Works on a template basis (roughly 70% static content and 30% variables).
  • Minimum 3 Sample SMS.( 70% fixed and 30% Variable)