What Does a Bulk SMS Reseller Business Do?
Updated October 6, 2023
To many businesses around the world, SMS is a strategy which they stopped using a long time ago, opting instead for new and fresh digital marketing strategies. This move now appears to be a little hasty and currently we are seeing more and more companies which are recognizing just how powerful a tool text messaging can be. Through the use of companies like Edgility, businesses are able to communicate directly with their customers through SMS, maximizing their marketing success potential and securing higher levels of customer retention.
In the case of most companies they will buy SMS credits for bulk sending, from an SMS reseller. This often causes some level of confusion around what exactly a reseller does, so let’s take a deeper into what exactly a bulk SMS reseller does, and what the advantages are of this business.
In reality this is a business which operates in the same way as any reseller business works. Those wishing to launch a bulk SMS reseller business will work on partnership programs from those who sell huge volume of SMS credits. Those original sellers will offer incentives to people who are looking to launch this business, such as support with marketing and with getting set up on their own. The benefit to the original seller is that they can shift large volumes of credits, without having to find a broad range of customers.
Passing The Credits On
Once the reseller business reaches a deal for the cost of the credits, let’s say 100,000 at a cost of 3.7 cents, they are then able to sell those credits on to businesses which wish to use SMS to capture their customers attention. When the reseller offers credits to its clients, they will offer them in smaller bulk amounts than what they bought from the original seller, and they will raise the price of the credits to somewhere around the 5 cent mark, or whatever extra they wish to put on the credit cost. This is where the reseller is able to make their money, earning 1.3 cents for each credit sold. This may not sound like much, but when you think that they are dealing with 100,000 credits at a time, it is easier to understand where that value comes from.
Benefits of Being an SMS Reseller
There are numerous benefits which this type of business can offer. Firstly there is the partnership with the original credit seller and the advantages which that brings with regards to helping the business get set up and market itself. Another key benefit of this business is that there is very little cost involved with regards to the buying of the credits or indeed the sale of the credits, this enables businesses to turn solid profits. On the theme of money, this is a business which can be started with minimal investment and that is why many look to set up an SMS bulk reseller business.
This is a solid business idea which has proven time and time again to be very successful.