Nowadays, almost every digital service relies on SMS. Sometimes for mobile number verification, sometimes for sending offers or information. But often individuals confuse two terms: OTP SMS and Bulk SMS. Both are SMS messages, but their purpose, strategy and utilization are totally different.
If you run a business, work a site or app, or are involved in digital marketing, understanding this distinction is significant. Utilizing the wrong type of SMS in the wrong place can not only demolish the client involvement but moreover lead to violations of DLT and TRAI regulations.
In this blog, we will get the contrast between OTP SMS and Bulk SMS in simple language, with examples.
What is OTP SMS?
OTP stands for One Time Password. It is a brief and one of a kind code sent to verify a user's identity.
OTP SMS is typically used for:
- Mobile number verification.
- Login or sign-up confirmation.
- Banking or payment transactions.
- Password reset.
- Account security.
Characteristics of OTP SMS
- New code every time.
- Valid for a limited time.
- For one user only.
- Security-focused.
Usually does not contain promotional content
For example:
Your OTP is 482931. It is valid for 5 minutes. Do not share it with anyone.
What is Bulk SMS?
Bulk SMS implies sending the same message to a colossal number of people at the same time. Its primary reason is to provide data, promote or share updates.
Bulk SMS is fundamentally utilized in these situations:
- Offers and rebates.
- New service or product launches.
- Event or webinar invitations.
- Payment reminders.
- Order updates or delivery notifications.
Types of Bulk SMS
Promotional Bulk SMS
For marketing and advertising
Transactional Bulk SMS
For essential information such as order confirmation, account updates
Example:
20% off on all courses this week. Register today! Key Differences Between OTP SMS and Bulk SMS.
1. Difference in Purpose
The purpose of OTP SMS is security and identity verification.
The purpose of Bulk SMS is information or promotion.
2. Method of Sending
OTP SMS is always sent via a real-time API.
Bulk SMS can be sent via both a panel or an API.
3. Nature of Content
OTP SMS is short, precise, and code-based.
Bulk SMS can have longer text and be message-based.
4. Number of Receivers
OTP SMS is sent to one person at a time.
Bulk SMS can be sent to thousands of people simultaneously.
5. DLT and Template Rules
A Service Explicit Template is mandatory for OTP SMS.
Bulk SMS uses both promotional and transactional templates.
6. Time Sensitivity
OTP is time-limited.
Bulk SMS may or may not be time-sensitive.
When to Use OTP SMS?
- When a user is logging in.
- When a financial transaction is taking place.
- When account security is required.
- When identity needs to be verified.
- OTP should never be used as a promotional message.
When to Use Bulk SMS?
- When you need to inform many people simultaneously.
- When announcing sales or offers.
- When sending order or service updates.
- When increasing brand awareness.
The correct use of Bulk SMS increases both the reach and response of your business.
Why the Right Choice is Important for Businesses?
Using the wrong SMS type can lead to:
- Messages being blocked.
- Numbers being marked as spam.
- DLT approval being rejected.
- Loss of user trust.
FAQs
No. OTP SMS is always sent through a separate channel and template.
Transactional Bulk SMS is secure, but not as sensitive as OTP.
Usually 2 to 10 minutes depending on the system.
Yes, links can be sent in Bulk SMS, provided the DLT template is approved.
