When it comes to being a reseller, there are always pros and cons. There will be some challenges you will have to overcome as a reseller of any service. The same applies to SMS reselling; there are some pros and cons you need to think about before starting this enterprise. SMS Reselling is not easy if you want to operate in a niche and at the same time sell a product that is not expensive or has low entry barriers, like SMS services. On one hand, you enjoy the benefits of being an intermediary between wholesale suppliers and end users; on the other hand, your business may face risks of operating with other people’s money — their commissions — and extended credit terms from your customers without having much control over their cash flow.
There are many benefits to being an SMS reseller. But there are also some downsides. If you’re thinking about starting up your own SMS reselling business, the latter might give you pause for thought. But with due consideration, the upside will outweigh the downside, and it can be worth your while. Keep reading to know more about the pros and cons of being a reseller of short message services (SMS).
Reselling is when you buy products or services from one company to sell them to others as your own product. There are many things that need to be taken into account before you begin operating as a reseller so that you can make an informed decision about whether this is something that interests you or not.
Securing Client’s Data
Before you enter into a deal with a client, you need to make sure that they are fully compliant with data protection laws. You need to make sure they have appropriate data protection policies, procedures, and security measures in place to protect their customer’s data. You will be liable if they do not have any of the above in place. You may even get a fine. If you resell Voice or SMS services, then you will be dealing with customer’s data. So you need to make sure that you have a compliance program in place.
Super Admin Abilities
If you operate in a niche that does not have high demand, you may have to encourage customers to buy from you. In this case, you may offer special rates just for your clients. You may also want to change the destination of your customers’ messages so that you can send them to your clients for free. Being a reseller, you have the same abilities as a service provider does. So you can change the destination of your customers’ messages in SMS gateways, and you can offer special rates for your clients as well. But you also have super admin abilities. You can view the details of all your customers’ accounts, change their passwords, accept or reject their messages, and change their rate plans.
Restriction with being Preferred Operators
As a SMS reseller, you may have to depend on other operators for sending messages. This might cause some restriction in the customer experience. For example, you may choose to send messages with a preferred operator. But if the preferred operator is not available due to network limitations, you may have to send the messages with another operator. Such restrictions are common in every business; they will not be just in reselling. The same happens in reselling too.
Conclusion
SMS reselling might be a lucrative business, but it has its share of challenges as well. As a reseller, you have to be responsible for your customer’s data and the experience they have when using your service. You will have to make sure that you have compliance procedures in place to protect your customers’ data, and you have super admin abilities to run your business efficiently. Despite these challenges, reselling SMS services is a great business to get into. And when choosing the right service to resell, make sure it is scalable.
So if you feel these advantages are stopping of being an SMS Provider then you can buy or rent our SMPP SMS application and start being an SMS Aggregator on your own.
