One of the things that really irritates me about the U.S. carriers is that they charge both for inbound and outbound SMS! I can understand on mobile phone calls, since we have these things called "free local calls" on our landlines, but on SMS!
For the longest time, the rate for an SMS message was $0.10 per message. Then one carrier decided to up the cost to $0.15, and they all followed suit. Now, it looks like we may be in for another price increase as both Sprint and Verizon have decided to increase their per message fee to $0.20.
These prices are for people who don't subscribe to a text messaging plan. These tactics are obviously to scare people into subscribing to one. Text messaging costs the carrier almost nothing to provide. They provide nothing but a "all or nothing" method of preventing incoming text messages from reaching you and thus costing you money. Personally, I think it's just disgusting.
If incoming text messages were free-as they should be-I'd be ok with a $0.20 per outgoing charge. However, just like when you use your ATM card at a different bank, they'll get you when you're coming and going in your pocketbook!
Via SMS Text News
January 10th, 2008 at 1:46 am
Its not fare to “charge both for inbound and outbound SMS!” Many communication service provider offers free inbound and outbound SMS for its customer.
January 10th, 2008 at 1:54 am
Only in America, I guess. T-Mobile is the only one that has an unlimited (domestic) SMS plan, even.
January 10th, 2008 at 7:51 am
Now wait a minute…you basically are saying that you would be willing to pay for the outbound at $0.20, but expect the inbound to be free! So you want the service for 50% of its current costs….who wouldn’t? The pricing increases are directly related to the casual users and the desire by the carriers to get someone on their text bundles. The selling of large bundles helps reduce the inhibitions that some have in sending messages and engaging in more text campaigns. Yes, it is a bit of being a drug dealer….entice them to get hooked on SMS and then start to extract monies, but the reality is that more and more people are moving to a bundled plan which actually creates an artifical limit as to the amount of revenue a carrier can make. If everyone signed up for the $10 unlimited plans, then the carriers could not increase the revenue from Text, and therefore the actual revenue per message decreases, not increases.
The inbound fees also reduce the SPAM opportunities. When an email marketer knows that the recipient is not paying for the message, the marketer is more inclined to SPAM the subscriber as they do so effectively in Europe and Asia. Splitting the pricing for inbound and outbound SMS ensures that all players in the value chain drive the associated revenues and applies an appropriate cost for a campaign or service, irrespective of it being a Push or Pull campaign…
January 10th, 2008 at 9:58 am
I don’t like that I have ZERO control over a service on which I am charged. At least with a phone call, I can choose not to answer it. I cannot choose NOT to receive a text message from a particular person, other than to choose NOT to receive ANY text messages AT ALL FROM ANYONE. That’s where my problem is.