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Short answer
The Welcome Message is a first DM with one button, such as 'Get my content'. The person taps it, then gets your link or file. The tap opens a normal chat, so more messages can follow. Turn it on if you send buttons, files or several messages. It is on Legend Pro and above.
Instagram lets a business send one private reply to a comment. When the person taps a button in that reply, a normal chat opens, and you can send more: your link, a file, product cards or several messages in a row. The Welcome Message is that first reply with a button.
Turn it on when:
You can leave it off when you send one short text with a link and want people to get it with no extra tap.
In the post editor (Send Link or Images → Edit Automation), turn on Welcome Message and fill in Title and Button Name. Tap Publish. The app calls Legend Pro Starter.
Switch Welcome Message off and click Publish again. If you use DM Sequence, turn on the follow gate first or go back to Single Message.
No. The editor says it 'should not contain any link'. Put the link in the DM that comes after the tap.
Then they don't get your link. For a reminder to people who don't tap, you need Flow Automation (Trendsetter and above).
Yes. It is a DM, so it uses 1 credit on plans with credits, and the link after the tap uses another.