An OTP is the smallest message a business sends, and often the most important. When a customer is trying to log in, confirm a payment or verify an account, a code that arrives late can mean a lost sale. That is why OTP pricing deserves a closer look. The cheapest rate on paper is not always the best deal, especially when you are paying for messages that never arrive.
This overview of OTP SMS pricing in India from MetaReach Marketing explains how rates, billing and compliance fit together. Here is a practical summary.
Per-OTP Rates by Volume
Pricing is based on the number of OTPs delivered in a month. Rates fall as volume grows, and all figures exclude 18% GST:
- Starter: ₹0.40 per OTP for 5,000 to 9,999 a month.
- Growth: ₹0.30 to ₹0.20 per OTP for 10,000 to 49,999 a month.
- Enterprise: ₹0.15 to ₹0.12 per OTP for 50,000 to 5,00,000 a month.
Volumes below 5,000 or above 5 lakh a month are quoted individually. There are no setup fees and no contracts.
A Few Cost Examples
- 10,000 OTPs: ₹3,000 plus ₹540 GST, which is ₹3,540
- 50,000 OTPs: ₹7,500 plus ₹1,350 GST, which is ₹8,850
- 1,00,000 OTPs: ₹12,000 plus ₹2,160 GST, which is ₹14,160
You Pay for Delivery, Not Attempts
This is the most useful detail in the pricing. You are billed only when the OTP is confirmed delivered to the handset through a delivery receipt. You are not charged for unreachable or switched-off numbers, invalid numbers, operator rejections or intermediate retries. Pending messages with no receipt inside the timeout are also not charged, unless a delayed receipt later confirms delivery.
Sending an API request does not itself incur a charge. The delivery confirmation from the telecom operator does. Invoices show delivered OTPs multiplied by the slab rate, plus 18% GST, itemised per cycle.
Does the API Cost Extra?
No. API calls, sandbox calls and webhook callbacks are not charged separately, and sends from the API and the dashboard are billed the same way. Sandbox testing does not consume paid credits, so you can test your integration before going live.
What Affects the Price
Your monthly delivered volume sets the slab. Your plan tier also matters, because Growth adds backup routing and webhooks, while Enterprise adds SLA options, SMPP and voice fallback. Voice OTP fallback is billed per call and depends on retry attempts, call volume and language. English and Hindi are included at the base price, but regional-language recordings may carry a setup fee, and no exact rate is published, so ask for a quote.
The DLT Cost You Cannot Avoid
DLT registration is mandatory for commercial SMS senders in India. The one-time operator entity registration fee is ₹5,900, which is ₹5,000 plus 18% GST. MetaReach says this applies with any provider, but that it does not add its own handling fee, and that sender ID and OTP template approval are included. OTP templates must be registered under the category that fits your entity and use case, so get that right at the start.
OTP SMS or Promotional SMS?
The slab pricing structure is the same, but the delivery rules differ. Promotional messages are blocked for DND numbers and sent within a 9 AM to 9 PM window. OTP messages use a priority transactional route and can go out around the clock. Whether OTPs reach DND-registered numbers depends on correct, non-promotional template registration, so treat that as conditional on your DLT setup.
Speed and Reliability: Read the Fine Print
The provider describes delivery in roughly 3 to 5 seconds on priority routes, with direct connections to major operators and automatic backup routing. That is a useful target, but speed figures are not contractually guaranteed on the lower plans. A written SLA is available on request for Enterprise. If speed is critical for your business, ask about it before you sign.
Going Live in Five Steps
- Share your expected volume and use case
- Let the team handle DLT registration for the entity, sender ID and templates
- Receive API credentials, documentation and sandbox access, then integrate
- Test in the sandbox and switch to production with one parameter change
- Monitor the delivery dashboard and upgrade your plan when needed
