Tuesday, June 14, 2005

June 14, 2005

An Introduction to SMS Billing (A-Z)

International Billing Alternatives - SMS Billing
As the international marketplace grows more and more the technological advances move with them in respect of billing for our websites content area. One such advance from a billing standpoint is that of SMS Billing (Text Messages To Mobile Phones) In this article we will look at the SMS Billing method in a little more detail.

SMS Billing - What Is It?
It is a method of making money from your surfers by using a text messaging service whereby you make a percentage of the cost (to the surfer) of their text message receipt.

To sign up using SMS Billing the surfer needs to enter a code (found on your site) to a short digit code (much like an ICQ number except specific to a mobile phone operator) where the surfer is then sent a message daily until such a time where they send a further message to the SMS Provider informing them they no longer wish to receive access to your site.

SMS Billing - Price Comparisons
Lets say access to your site per month is charged at $30 flat now, compared to receiving your monthly fee minus processing rates by using SMS Billing you will make the equivalent of $0.75 a day for as long as it takes the surfer to cancel their membership (they may cancel the first day, they may cancel on the 30th day!)

So simple mathematics tells us that:

Credit Card Sale : $27 (aprox after processor fees)
SMS Billing Sale : $22.50

Basically, on these rough figures you lose $5 however, this isn't necessarily a bad thing as, SMS Billing gives you a much easier way to bill your customers and, if their cell phone is turned off for long periods of time, you still accumulate income.

SMS Billing - Overview
SMS Billing does offer a superb alternative for your international surfers to access your content area.

I hope this article has given you a little more insight into SMS Billing for your content and, i feel certain this will be a topic that gets re-visited shortly in another article. Until that time, have fun, make money and be well.