Business Anywhere Blog

Mobilizing the Business and Business of Mobile

Verizon increases SMS costs for mobile marketers

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Verizon Wireless announced that starting November 1st, it will begin charging bulk message senders 3 cents per transaction for messages sent to its subscribers, according to Mickey Alam Khan at Mobile Marketing Daily. This increases the cost from typical 2.5 cents transaction cost to 5.5 cents. Now, if you are a consumer or not involved in this directly, you might think that is pittance. However, when you consider that mobile marketers send several thousands of message and the whole business model is based on the message costing next to nothing like the email messages, suddenly the numbers no longer add up. Given the current economic situation, Verizon’s move, which has yet to be matched by other carriers, certainly sounds heavy-handed and could put a damper on the mobile marketing industry when you take into consideration that with 67 million subscribers, it is the second largest carrier in US.

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Written by dvdand

October 9, 2008 at 1:28 pm

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