Strategies to Manage Your SMS Marketing Amidst Recent 10DLC Fees

Aug 4, 2023

SMS marketing has always been a reliable channel of growth, achieving unmatched returns and driving better business outcomes for all kinds of brands. Recently, there have been some major changes surrounding SMS marketing regulation, particularly brought on by The Campaign Registry (TCR) and their new 10DLC regulations.

Let’s explore these changes and how they might impact your SMS marketing.

Why You Should Care About TCR

Before we dive into the actual changes to TCR regulations, why should you even care?

Well, registering with TCR can bring a ton of benefits to your SMS marketing efforts. First, signing up with TCR generates major trust, security, and goodwill in the eyes of your consumers. More people will do business with a brand that’s regulated.

Furthermore, TCR-approved messages are far less likely to be flagged or blocked by carriers; this streamlines your messaging efforts and improves deliverability and throughput rates. Finally, registering with TCR can also help your business avoid penalties for various compliance issues, such as fines or bans levied against you.

High-Level Changes

Let’s cover the new A2P TCR regulations at a high level. Now, businesses must have registered their long codes with TCR by May 31, 2023; failure to do so could result in various challenges, so make sure you take action now. They also introduce a new fee structure composed of three types of fees:

  • One-time registration fees
  • Ongoing campaign fees
  • Optional vetting charges

One-Time Registration Fees

There is a standard, one-time fee brought on by these A2P 10DLC regulations, and it enables brands to do business in the SMS arena. This fee amounts to $4 and is required upon signing up with TCR. So, what does your $4 get you? Paying this fee reinforces your brand’s authority and legitimacy, and it is vital for finding success in the messaging ecosystem.

In order to register, it’s best to select an SMS provider that has the infrastructure to facilitate your messaging needs, such as Twilio or Telnyx. Remember that each platform brings its own set of benefits and shortcomings, so make sure you evaluate your options carefully to ensure the best fit; evaluate various aspects such as pricing, features, and scalability when making your decision.

Ongoing Campaign Fees

Beyond the initial fee, businesses can expect to pay up another $1.50 to $10 per month to continue running their SMS campaigns. However, the exact amount you would owe depends on the volume of your messaging campaign, as well as the nature of your business type.

Standard use cases require the full $10 fee, and these encompass things like marketing, customer care, and authentication. On the other hand, special use cases such as nonprofits only call for $3 to $5.

Optional Vetting Charges

There is also a third, optional fee listed in new A2P 10DLC regulations that brands can opt-in for, an optional vetting charge. This offering demands $40 as a vetting fee but also enables businesses to send more messages via higher daily sending limits. Paying the vetting fee is certainly not required, but it can significantly improve your campaign effectiveness by empowering higher throughput and engagement.

Do I Have to Register?

You might be wondering: “Do I have to register with TCR? Can’t I just ignore this? Are there certain businesses that are exempt from TCR rules and regulations?” In fact, the answer is yes; there are a few unique circumstances where brands do not have to register with TCR and pay fees.

One such case is if you are only sending messages outside the US; this does not fall under TCR’s scope or jurisdiction. You are also TCR exempt if only using toll-free or shortcodes. All other A2P use cases must register with TCR.

Final Thoughts

That is everything you need to know about recent A2P 10DLC regulations released by TCR and how they could impact your SMS marketing strategy. Make sure you register your business as soon as possible if you plan to engage in text marketing; carefully evaluate whether you need to pay all three of the new fees, or just one or two.

You are now ready to win with SMS marketing.

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