If the headline of this article grabbed your attention then it’s likely that you have attempted, or are attempting, to understand whether an SMS long code or short code is the better choice for your mobile marketing campaign. The truth is, while each has its advantages and disadvantages, you should choose the one that best protects consumers. And the answer to that requires an understanding of certain rules and capabilities that are determined by both the country you are in and the carrier you are working with.
Gaining a complete picture of the capabilities, limitations and rules around short codes and long codes is a challenge because carriers often change their rules and capabilities and few companies have the resources to track and test each update. As this is a conversation that we have with our clients on a daily basis we have put together a simple guide to understanding short code vs long code in the US.
Short Codes
As a rule, consumer protection regulations put in place by organizations such as the Mobile Marketing Association (MMA) and the CTIA (The Wireless Association), require companies using short codes to ask permission before contacting an individual and to provide a certain level of value in exchange. Not only does this protect the consumer but it also allows you to run a more successful campaign as it helps you to build a greater rapport with your target consumers on their mobile device.
Pros
Carrier approved
Each short code is submitted and approved by carriers before running on their network
Short codes are allowed to send thousands of messages a second
Aggregators and messaging providers have deals or ‘binds’ with the carriers that allow them to send a large number of messages to each carrier at a time
The amount that can be sent to a carrier depends both on the deal and technical limitations of the messaging providers platform
Can be used for billing
Can do free-to-end-user
Short codes are more memorable
While this varies by person, most would agree it is true
Will get shut down quickly for spam violations
Carriers either have an internal audit team or hire an external audit firm to monitor messaging campaigns live in market
Each carrier has different penalties and violations but most are universal
Short codes can innovate
This is an important factor that developers and enterprises need to consider when comparing long codes to short codes in the U.S.
Carriers can change, allow, or add new features to short codes for enterprises, especially since they are a source of revenue for the carriers
Since long codes are not maintained or regulated their capabilities have limited potential
Cons
Short codes have a set cost to purchase
This is arguably the short codes’ greatest disadvantage
Short codes have a set cost usually about $500-$600 per month that must be paid quarterly or yearly
This is thousands of dollars up front that deters many small businesses and merchants from purchasing their own short code
Short codes are limited to national boarders, short codes must be activated for each country/carrier
While we are only talking about the U.S. this is an important differentiator to note. Again this depends on the country and carrier but usually not only does a short code have to be activated for each new country, it has to be approved by each carrier as well
There are a few exceptions and reports of short codes that can be used in multiple countries but still have to be approved by each individual carrier
Cannot call short code numbers
Check your phone, try to dial one now
Vetting process can take several weeks
Long Codes
Long codes are generally less regulated than short codes and can be lower cost depending on message volume, but the absence of regulation can make them open to bad marketing practices such as unsolicited ‘spam’ messages.
Pros
Lower cost for long codes
Prices depend on how you acquire your long code, but usually you will pay either a set-up cost or incur an ongoing cost
Typically this set-up or monthly cost will be lower than that of a short code, however the per message fee is usually higher with long codes
International reach
It’s important to note that U.S. short codes are limited to national borders. Depending on who your long code provider is you will either use a local (“dedicated”) long code or a long code from a single country that you can use to send messages across multiple countries. For example most providers will use a U.K. long code to message across Europe and other countries
Does not need customers to opt-in
This is a pro from a capabilities stand point only
Sending consumers unsolicited messages will be far less effective and be viewed as spam
Can send messages and make calls from the same number
Easy setup, possible to launch same day
This is arguably the greatest advantage of long codes since they can have can be used to launch campaigns quickly
Short codes require a vetting process that takes times before they can launch, we will explain further below
Cons
Does not support picture or video messaging (MMS)
Not carrier approved, will get shut down by carrier if caught
This is the greatest disadvantage for long codes in the U.S.
Carriers are beginning to shut down long codes being run on their network
Since long codes don’t follow MMA, CTIA, or carrier guidelines both carriers and consumers can sue the party for sending unsolicited messages
Technically using a long code over a U.S. carrier network is viewed as stealing since people pay the carriers for the right to send messages over their network
If you don’t want your campaign shut down or your brand to be associated with a law suit then this is something to greatly consider
Long codes are limited to the number of messages per second (aka throughput)
Cannot be used for carrier billing (DCB or PSMS)
No free- to-end-user
This is where ‘Msg & data rates may apply” comes in
Like short codes, each long codes message costs the consumer whatever their current plan is for receiving text messages
However carriers offer short code providers the option to pay for this cost up front and not charge the consumer anything
Since long codes are not officially run on the carriers network they are not provided this option
Long codes are difficult to remember
This varies by person, but most would agree a 4-6 digit number is easier to remember than 10 digits
Can easily be used for spam
This is where the carrier vetting process comes in. Each campaign and company is reviewed by the carrier to ensure they are a legitimate business before being allowed to send messages over their network
By default most new spammers and those kicked out of the carrier network will move to long codes
Conclusion
If your goal is to protect consumers then short codes are the clear choice in the US. The current system isn’t fool-proof but to put into perspective how much better the messaging system is, compare the level of spam in your text inbox to your email inbox and imagine how differently you would feel about text messages, and how you would treat your inbox, if it was subject to the level of spam messages your email account is. If long codes were the main choice of marketers this could become reality.