What is WhatsApp Business API: A complete guide

As per a 2024 Research and Markets report, the world’s digital marketing spending is projected to reach a whopping $1.5 trillion by 2030. If predictions are to be relied upon, businesses, whether big or small, would, per usual, be seen spending stacks of cash (and more) on tools and services designed to promote stuff and enhance customer engagement. One such service, commonly referred to as WhatsApp Business API, is going to be amongst those at the forefront then (as it still is) and why not!

As the most popular mobile messaging app world over, WhatsApp has a user base like no other, making it the most effective medium to reach out to scores of people at once and create a marketplace for your products. Intrigued to know how WhatsApp marketing software can benefit your business? Read on to get a detailed explainer on the same, one quality feature at a time!

What is WhatsApp Business API?

WhatsApp Business API is a programming interface designed to scale and streamline business communication and marketing on WhatsApp. It works by empowering integration with CRM systems, e-commerce platforms, chatbots, and other essential business tools. With features like real-time messaging, message templates, CTA buttons etc., to boast at that, it fully automates customer support and as its direct consequence, helps generate sales leads.  

“But WhatsApp already had a business variant, so why exactly did the need for an API arise?” You ask. Keep reading, we say, as we delve into the intricacies to quench your queries.

How is WhatsApp Business API Different from WhatsApp Business App?

Though both WhatsApp Business API and WhatsApp Business App are tools programmed to enhance customer support, the differences between the two are too many to not make a note of. For starters, WhatsApp Business API is a paid service meant to aid medium to large enterprises that deal with a great deal of customer inquiries. WhatsApp Business App, on the other hand, is equipped to help small businesses and solopreneurs and comes at no cost.  

Other significant distinctions between the two are listed in the table given below for your convenience.

Features	WhatsApp Business API	WhatsApp Business APP
Verified Green Checkmark	Yes	No
Business Profile Customization	Advanced	Basic (Business name, description, address etc.)
Muti-User Access	Yes	Single-user account
Broadcasting Limit	Unlimited	256 contacts only
AI-driven Chatbots	Yes	No
Automated Messaging	Advanced, with chatbots, workflows, and automated replies	Basic, with quick replies, away messages, and greeting messages
Broadcast Reach	All users	Only to those who have your number saved in their contacts
Coding Requirements	Yes, but it isn’t required if you make use of a business solution provider	No
API Access	Yes	No
Product Catalogs	Customizable cataloging through third-party integration	Built-in feature; allows up to 500 products
Third-Party Integration	Yes	No
Marketing Messages	Highly customizable templates available; need approval from WhatsApp before sending through	Templates cannot be customized
Installation	API setup needed through an approved business solution provider	Free app available on iOS and Android
User Interface	No direct UI experience	Mobile app-based, providing direct interaction with customers
Price	Paid, based on number of messages sent	Free

Which One is Better for Your Business, WhatsApp Business API or WhatsApp Business App?

Having explored the two business communication facilitators simultaneously, the ultimate question those meaning to avail the benefits of either are faced with is – which one to finally opt for? Though seemingly complex, the decision can easily be made keeping the following factors in mind:

• Size of Your Business: Small to medium businesses that have limited customer interactions to take care of can make use of the WhatsApp Business App, while those medium to large can go for the API variant to effectively engage their huge customer bases.
• Messaging Frequency: WhatsApp Business API can be a tool of great significance for businesses looking to converse more frequently and in emphatically large volumes. With its unlimited broadcasting ability and chatbots, consider the job done and how!
• Analytical Insights Required: If basic analytical insights such as response time, message metrics, etc., are all you need to ascertain and improve your customer engagement, WhatsApp Business App is the one for you. If it’s the other way around, that is to say, if you require advanced analytics such as engagement tracking, agent performance, etc., for your business, go for WhatsApp API.
• Integrations Sought: WhatsApp Business API is programmed to integrate with business tools such as CRMs, chatbots, or e-commerce platforms. WhatsApp Business App, conversely, has no such services to offer, making the former an ideal choice for those in need of integration tools.

What are the Key Features of WhatsApp Business API?

WhatsApp API is endowed with an array of noteworthy features, so businesses get to act on their automation and scalability needs, all using a single tool. Some of them are listed below for your reference:

• Message Templates: With predefined, yet highly customizable message templates, including those meant to confirm orders, provide delivery updates, set reminders, promote stuff, etc., to offer, WhatsApp API completely automates customer interactions.
• Chatbots: With chatbots to automate responses to everyday inquiries and aid users navigate the sales process, it provides 24/7 customer support.
• Multimedia Support: WhatsApp API lets businesses send media files, including images, videos, documents, etc., to their customers in a bid to make the whole communication more interactive. It is also fitted with quick reply options and call-to-action buttons to enrich the user experience.
• Broadcasting Facility: It allows businesses to send bulk notifications to multiple customers at once, provided the recipients all opt-in.
• Multi-User Access: Multiple admins get to indulge in customer interactions at the same time, making the process as fast and user-friendly as possible.
• Analytics & Reporting: Businesses can leverage WhatsApp API’s analytical insights into customer interactions to evaluate their own performance and make changes therein if necessary.
• Secure Messaging: With a verified green checkmark put on display and end-to-end encryption in place, it makes certain all the conversations taking place between a business and its customers remain private and safe.
• Compliance with Policies: WhatsApp API ensures that businesses while communicating with their customers, conform to its policies and guidelines as strictly as possible.
• Integration Capabilities: It allows CRM integration, along with third-party integrations with tools like analytics, chatbots, etc., to act as an out-and-out business communication and marketing solution.

What are the Benefits of WhatsApp API for Business?

WhatsApp Business API can benefit a business in more ways than one can keep count of. For those genuinely looking to scale their customer interactions thus, it acts as the be-all and end-all. Here’s how:

• Global Reach: With over 2 billion active users to boast, it provides businesses with access to a massive audience. Reaching customers in other parts of the world becomes easy too, as one no longer has to worry about paying international messaging fees.
• Scalability: Using WhatsApp Business API, businesses get to scale their customer support, so hundreds and thousands of messages can be dealt with at once.
• Customer Engagement: With both real-time support using chatbots and one-on-one conversations that are sure to make customers feel heard, it sets the bar for customer engagement a little too high.
• Automated Notifications: It automates order confirmation alerts, transaction alerts, and other necessary notifications to ensure your customers remain informed at all times. This also gives a much-needed push to customer loyalty and retention.
• Broadcasting: Customers can be given regular updates on promotional deals and offers to drive engagement and generate sales leads without putting in much effort.
• Security: WhatsApp offers end-to-end encryption, making certain your messages remain safe and private.
• Cost Efficiency: When automated responses take the front seat, costs incurred in deploying large customer service teams become negligible.

What are the Limitations of WhatsApp Business API?

Just like there are two sides to every coin, WhatsApp Business API, a tool with innumerable upsides to boast, has its own set of limitations. Keep reading as we shed light on a few of them:

• Not Easy to Setup: Businesses require dedicated tech teams to set up WhatsApp Business API. Those planning to get it done via approved API providers also have to bear the brunt of additional fees that comes with it.
• Messaging Limitations: It gives businesses 24 hours to reply post a customer initiation; upon failing to do so, they are required to respond using pre-approved templates, keeping communication under control.
• Template Restrictions: Since the message templates it offers are made keeping the platform’s strict guidelines in mind, businesses do not get to add their personal touch to them. They also need approval to send them. These limitations not only hamper marketing efforts but, if not complied with, also make businesses liable to penalties or account suspension.
• No Direct Multi-Account Support: WhatsApp API operates using a single phone number. This is a huge setback for businesses managing multiple brands or departments.

How Much Does WhatsApp API for Business Cost?

There are several factors that one needs to investigate in order to determine the exact cost of WhatsApp API for their business:

• Per-Message Fee: WhatsApp charges on a per-message basis and the rates vary depending on the region and type of message. In India, it charges ₹0.35 for user-initiated conversations and ₹0.55 for business-initiated conversations.
• Cost of Setup: If businesses rely on third-party API providers, they may have to bear additional setup or subscription fees for integration, support, and software features.
• Business Service Provider (BSP) Costs: Along with WhatsApp, BSPs too charge monthly or usage-based fees.

How to Apply for a WhatsApp Business API Account?

WhatsApp API service can be availed in two ways. First, by using Meta Cloud API directly and second, by using an official third-party provider. Here’s a step-by-step guide to get it done using the said mediums… 

When applying through an API provider, 

Step 1: In order to access WhatsApp API, you first need to have a verified Meta Business Manager account. So, create one. 

Step 2: You would also need an active phone number that isn’t previously registered with WhatsApp or WhatsApp Business App. So, get one.  

Step 3: Select an approved WhatsApp API provider or BSP like WATI, AiSensy, Twilio, etc., for your business and give them your business details and phone number.  

Step 4: Get your Meta Business Manager account and phone number verified via the BSP. 

Step 5: Once approved, you’ll gain access to the API. Your BSP will help you integrate the API with your systems and tools.  

When applying via Meta Cloud API, 

Step 1: Create a Meta Business Manager account and verify your business. 

Step 2: Go to the Meta for Developers website and create an app. 

Step 3: Add WhatsApp to the app section and verify your phone number. 

Step 4: Configure the Cloud API and integrate it into your systems.

Top WhatsApp Business API Providers

Here’s a list of all the leading WhatsApp API providers you can reach out to, if WhatsApp marketing is what you are looking for to maximize your business growth:

Disclaimer: The WhatsApp API providers listed below aren’t sorted in order of importance, value, or worth. Any implication of that sort, if drawn, is purely coincidental and erroneous.

S.No.	API Provider	Best For
1	Twilio	Integration across multiple communication channels
2	Karix	Cost effective WhatsApp API access
3	360dialog	Easy global communication
4	MessageBird	Reliable and secure messaging
5	Vonage	AI-powered chatbots and messaging automation
6	Gupshup	Simple WhatsApp support and automation
7	WATI	Customer support automation
8	AiSensy	Messaging with rich media support
9	Infobip	Multichannel support
10	Interakt	Personalized customer service and automated workflows

Conclusion

All in all, WhatsApp Business API is a great programming interface for businesses to take their operations up a notch. And it will continue to remain so till we find a better alternative for customers in a business setup and that for WhatsApp in a world that lives and breathes communication. Does that mean never? Well, we’ll let time decide that