Launching a USSD code is excellent, but like everything else, it has its drawbacks and limitations. In weighing the decision, there are some other options to consider, and we have set out these alternatives and reasons to choose them or not.

1.   Mobile Applications

These are applications from the app store that provide the opportunity to make transactions, pay bills and even request services from the app. Examples include OPay, Jumia Pay, Barter by Flutterwave, Carbon, and Kuda.

Pros:

• Attractive User Interface: USSDs though ubiquitous and accessible, are severely limited in this regard. Mobile apps, however, provide these same services in a visually appealing manner and also in a way compatible with screen readers making it more accessible for the visually impaired.
• There is no session timeout, as on conventional USSD. This means the customer has enough time to go through the options and choose; this feature is beneficial to the visually impaired, who may rely on screen readers.
• A SIM card is not required to perform transactions, so losing it doesn’t leave users stranded.
• They are highly secure as they have security measures such as passwords, patterns and fingerprint recognition. So users don’t have to worry about losing all their money if their phones fall into the hands of unscrupulous characters.

Cons:

• It requires an internet connection: USSDs are popular because they travel over GSM signalling channels and, as a result, do not require the internet to function. This also makes them low-cost and easily accessible. Mobile apps, however, cannot work without an internet connection.

1. Web Applications

Very similar to Mobile apps, only they’re based on the web. They offer all the features of a mobile application but with the increased accessibility of a web application. Examples include myMTN, Momo, Glo HSI Portal, Paga, BillsnPay (a mobile app) and PayMyBills Web.

Pros:

• It has all the benefits of a mobile app but with the increased accessibility of a web application. i.e. you can use this on any device with an internet connection.
• It does not need to be installed on the device or updated.

Cons:

•  It also requires an internet connection.

1.   Sim Toolkits (STK)

Sim Toolkit or STK is a set of commands usually provided by your service provider. They often come in small applications pre-installed on the SIM to give access to SIM, network control and various value-added services.

Think of it like a USSD menu, but with more functionality, security and admin access to the SIM card.

These commands enable the SIM card to initiate actions and allow users direct access to services provided by mobile network operators (MNOs) and other service providers. Moreover, they can work on any compatible mobile device, regardless of the model.

Pros:

• Easily accessible to users with low-end phones.
• Secure, as it implements identity verification and encryption.
• Network control; can be used to send short messages and even make calls.

Cons:

• Services are pre-loaded by the carrier.
• It does not have multimedia capabilities.

1.   Two Way SMS

This is one way to automate personalised and direct messages to and from your customers. 

Two way SMS has a wide range of use cases and can easily be used instead of USSD. Additionally, it utilises SMS and allows you to automate SMS interaction, e.g. to inform customers about confirming appointments, payment reminders, expiring deals, account status etc.

This conversational SMS method also allows the business to handle inquiries efficiently, freeing up resources to interact with as many customers as possible.

Pros:

• Highly personalised, secure and direct messages to the customer
• Automated replies are a faster and more efficient use of resources for customer service.
• Can handle large volumes of customer interactions automatically.
• It does not require internet and can be accessed on most phones.

Cons:

• Text only interface with limited capacity.
• Requires a two-way messaging API that is connected to an SMS gateway (HollaTags provides the easiest API to communicate with your customers via two-way SMS anywhere in the world)

When to use which?

Many successful businesses adopt an omnichannel approach when interacting with their customers to ensure they cater to all customer segments and meet users exactly where they are. Therefore, it’s not a question of which platform to use but how you combine multiple platforms to achieve your business goals.

HollaTags provides easy-to-integrate APIs and platforms for SMS, USSD and Voice messaging. Connect with your customers on mobile using HollaTags.