Short Code Costs N.2m for Service

Short code, a value added service that enables companies and individuals transact business through telecom network requires an average of N200, 000 per annum to set up, Nigeria CommunnicationsWeek can reveal.
Short codes are short numbers of about four numbers that subscribers could access through short message service, for example 2299.
These numbers are shorter than full telephone numbers, which can also be used to address SMS and MMS messages from mobile or fixed phones.
Nigeria CommunicationsWeek investigations revealed that the minimum premium price for services using Interactive Voice Response (IVR) calls as bearer is N50; using SMS as bearer is N30 per SMS; using MMS is N100; and for content/event based charges using GPRS as bearer is N40.
To get short code services, one has to pay a set-up fee of about N200, 000 or more, depending on the purpose and duration; and the fees differ from one wireless application service provider (WASP) to another.
When the service begins to run, the revenue accrued from that goes to the telecom service provider who in turn, pays the WASP 25 – 60 percent commission depending on the terms of agreement.
For service subscribers on specific networks to be able to use their phones to send short code messages, the WASP must have signed on to that particular network.
They are designed to be shorter to read out and easier to remember than normal telephone numbers.
While similar to telephone numbers, they are, at the technological level, unique to each operator, although providers generally have agreements to avoid overlaps.
Short codes are widely used for value-added services such as television voting, ordering ringtones, charity donations and mobile services.
They are also used for a variety of products and services, which can be either voice-based or text-based.