USSD is a protocol used by the Global System for Mobile Communications (GSM) to send text messages. It stands for “Unstructured Supplementary Service Data.” Short Message Service is like USSD (SMS). USSD uses codes that are composed of the characters on a cell phone. A USSD message, that can be up to 182 characters long, lets the phone and another device, usually a network or server, talk to each other in real-time time.

Mobile Wireless Protocol (WAP) browsing, mobile payment services, paid in advance callback service, menu-based information services, and location-based content services are all things that can be done with USSD.

How USSD performs

USSD usually starts with a question from a phone user, like a request to know how much money is in their bank account. Once the sender submits the request, the USSD gateway sends the request to the user’s USSD application, which answers the request.

The process is then repeated in reverse, which means that the response goes right back to the USSD gateway, which shows the content of the response on the screen of the user’s mobile phone. The responses, which can have up to 182 numbers and letters, are usually sent in a way that makes them easy to read. The user receives and sends data by dialing a short code, which is usually a string of five numbers.

USSD apps don’t run on the user’s device, but on the network. So, they do not need to be installed just on the user’s phone, which really is good for people who have feature phones with limited storage space. As soon as USSD apps are added to a network, every subscriber can use them right away.

How to use USSD

USSD is used for a number of different things, such as:

Mobile banking: USSD banking works on any mobile device, even feature phones, while banking apps need access to the internet and a smartphone to work.

Configuration of the network and requests: USSD is used to set up the network settings for a user’s mobile device. It also gives users a list of services from which they can choose to do things like buy airtime or check their account balances.

Requests for customer updates: USSD can connect to establishment resource planning (ERP) as well as customer relationship management (CRM) processes to get updated customer information. This helps improve customer service and ensures that data is correct.

Marketing updates: USSD can be utilized to market to mobile users. For example, companies can send simple marketing surveys which users can answer right away. This lets companies get feedback from customers in real time.

USSD payments

For USSD processing payments, a text message is sent to a provider. When the provider gets the text or email, it either adds the amount of a purchase to the user’s phone bill or charges an online payment system.

The merchant then sends the money to the company’s account and sends the goods or services. Multimedia Messaging Service (MMS), which lets users send files to each other with SMS, is often used to send digital goods to users. If the user purchased a physical item, an SMS or MMS can be used to send the receipt. Most USSD and SMS purchases are made in Europe and Asia.

Technical information

Most GSM phones are able to use USSD. Most of the time, genuine or instant email and text (IM) services are linked to USSD. USSD doesn’t have a feature like store-and-forward, which is common in other quick text protocols like SMS.

USSD services employ the same structure that GSM networks already have. When a user calls a USSD service code, a USSD app on a mobile phone network starts talking to them. The network device can be a mobile switching center, a visitor location register, a home locator register, or another network entity, like an application platform, that has access to the particular USSD service. Technically, USSD lets a mobile station user and an application defined by a public property mobile network operator talk to each other in a way that is invisible to both the mobile station user and intermediate network entities.

Read more: Why Razorpay is the right payment method

Leave A Comment