This is why you should use WhatsApp OTPs instead of SMS 

With cybercrime rising, companies are looking to reduce the risk of fraud without hindering users in their account creation and management processes. There are several solutions, and WhatsApp OTPs is one of them… but how do you adopt the most effective and safe one while minimizing costs?

WhatsApp is one of the most used instant messaging applications in the world. We use this platform on a daily basis to stay in touch with friends and family, but how many of us have bothered to have secure conversations on a secure platform?

In this post, we’re explaining the importance of WhatsApp privacy options.

What is the  reason for using OTPs?

Headlines about massive leaks of usernames, passwords, and even bank details surface everyday, but whether it’s ticketing websites, social media, or cloud storage services, no platform is exempt from risks as far as personal information is concerned.

Precisely to avoid these risks, authentication services emerged. Now logins depend not only on the combination of email and password but also on a randomized password.

These services generate temporary passwords for other applications, and one of the most common is OTP authentication (one-time passwords).

Recently, several e-commerce companies and banks have started to divert the sending of OTP codes from SMS to the WhatsApp API. Keep reading to find out why this is considered more efficient and how it makes it easier for recipients to protect the account from hacking and abuse.

So, what is a one-time password and why are businesses using it? 

An OTP is an additional level of security when working with business accounts. Each time the user logs in, they have to enter a unique one-time password, which is an ideal way to add security to traditional passwords or give secure access if they forget the password.

For years, the financial sector has used OTPs to add security to online transactions.And, one-time passwords were originally provided using electronic devices called “tokens.”

Currently, mobile devices replace the use of tokens, and companies can send an otp via a text message (which is cheaper).

Moreover, customers find it more practical, since they use their phones all the time, and it is easy to block it in case of theft or loss. In the case of token, companies couldn’t block it, which made it more difficult to use.

Sending OTPs now is easier than ever with WhatsApp, that delivers the message in less than 30 seconds to speed up the verification process.

These are the reasons behind the spread of sending WhatsApp OTPs beyond the financial sector. It is a secure practice from which most sectors can benefit.

Get to know the OTPs features

Let’s get into some of the peculiarities of OTPs, and what makes them so reliable:

    • They are composed of alphanumeric codes (with numbers and letters) that make passwords hard to crack

    • They are automatically created passwords: Neither the user or external agents will be able to modify them at any time

Now, how do WhatsApp OTPs work? 

As we mentioned, the OTP system starts with a company sending a text to the user. In the case of WhatsApp, they will send the password to the number associated to the WhatsApp account.

The text is a 6-digit code, which works as a temporary password to validate the operation. If the user needs a new password because they have lost it or have not received it, the system will randomize a new one to ensure the security of the operation.

Benefits of WhatsApp OTPs 

So, why should you use WhatsApp to send OTPs instead of SMS? Let’s see:

      • It is an effective method, instantaneous and compatible with 100% of mobile phones, allowing companies to deliver their code to the user in an agile and comfortable way

      • Sends fully encrypted notifications from verified senders: This ensures customer account protection and authenticates users through built-in verification tools and end-to-end encryption

      • Less money spent per message: Messages can be sent over mobile data or Wifi networks to avoid the costs associated with using SMS notifications to customers.

      • There is omni-channel fault tolerance: messages can be sent through other channels -SMS, Voice, Messenger, and more- if the password is not delivered or read

      • Increases user confidence: since the user is the only one who has access to the OTP, he will be comforted by being the only one who can access a dynamic key whenever they want

But first, let’s stay safe

Although it may seem tedious to require a new password every time a user wants to authenticate, it is a handy and popular security method.

WhatsApp API provides a type of authentication that generates a password with validity subject to the restriction of one use within a short period. Therefore, users are protected from keyloggers, as well as other types of spyware.

Securing through OTP provides significant a significant security boost in these cases.

Is it safer to divert sending OTP codes from SMS to platforms like WhatsApp? 

The reality is that the WhatsApp Business Platform, as an instant messaging service, is equipped with end-to-end encryption features. This makes it that no one can read the message except the sender and receiver.

The service does not involve any operator intervention, and the OTP code goes directly to the user.  

Want to know more? Let´s talk via WhatsApp!

How to use WhatsApp OTP’s successfully 

According to an analysis made by Meta, when Tokopedia, the largest online marketplace in Indonesia, started using WhatsApp Business to send OTPs, their results stood out significantly:

        • 10% increase in the success rate of one-time passwords

        • 26 % in one-time password validations via WhatsApp

        • 58% higher delivery rates compared to SMS

    Users have a strong preference for using WhatsApp, and this makes it easier for companies to attract them and at the same time, sending secure OTPs.

    Not only that, but businesses that use this verification process, also use it for different purposes:

    • To create entry points, improve user experiences, establish the brand presence, and manage quality in all the purchase stages. They do it by using organic and paid options that highlight the importance of using WhatsApp. The mentioned can be buttons, links, posts, webpage headers, etc.
    • To validate user’s phones: it is used to verify a contact channel with the user.

    • To identify a user with a mobile number with which it can be associated with a natural person.

    • To associate a user to a single account. This can happen during the installation of an application or the account creation, thus avoiding the existence of users with multiple accounts, or false or fraudulent accounts.

    • To authenticate actions and start of sessions: the identification of the person carrying out digital access or action can be ensured.

      Take it from us

      As you can see, authentication through WhatsApp OTPs is a fully applicable and appropriate option for today’s needs. Thanks to this system, we can take advantage of the versatility of mobile devices to provide extra security in the communication between companies and customers.

      If you are interested in adding this type of security to your services and you still haven’t activated it, we can help you set it up.

      Our professional team can accelerate the integration of WhatsApp into your company’s mobile strategy, as well as offer multiple features and API capabilities so you can quickly adapt.

      Get your free WhatsApp Business API number to take your conversations to the next level.