While emails are jamming into unseen directories and social media posts are lost in the feed, SMS marketing has emerged as a direct and effective means of reaching out to consumers.
A report indicates that more than 90% of text messages are opened within 3 minutes of being sent, making SMS one of the fastest communication tools for businesses.
Given that people check their phones several times daily, SMS marketing is good for businesses to reach their consumers fast. Let’s understand more about SMS marketing.
What is SMS Marketing?
SMS marketing, also known as mobile SMS marketing, is the process by which firms send their marketing messages, such as promotions, notifications, and customer interactions, via short targeted messages. Businesses often utilize an SMS inbox to manage incoming and outgoing messages efficiently, ensuring seamless communication with customers.
Compared to emails and social media ads, SMS texts are much shorter and reach consumers quickly, instantly allowing for a higher chance of being opened. Research suggests that SMS response rates can be as high as 45%, much higher than email’s average response rate of 6%.
Text marketing is easy for consumers to read and respond to, so businesses use it to announce discounts, confirm appointments, or send personalized offers. Thus, it is an excellent customer service communication tool.
How Does Text Message Marketing Work?
Text message marketing sends bulk messages to a targeted audience. Many businesses use an automated SMS marketing platform to assist them with their campaigns intelligently and securely. Thus, customers receive messages only if they choose to, and there is no chance of unwanted marketing tactics.
The Telephone Consumer Protection Act outlines several rules regarding consent for sending marketing messages via text or auto-dialed calls. Other than it being a service wherein customers receive regular updates, announcements, or alerts as long as they are subscribed, SMS text marketing can monitor responses and, therefore, their effectiveness can easily be calculated using customer engagement.
How to Get Started With SMS Marketing?
We have listed below the steps to help you get started with SMS marketing. Let’s take a look:
Step 1: Choose an SMS marketing platform: Choose a reputable provider that meets legal requirements, such as GDPR or TCPA.
Step 2: Build a list of subscribers through opt-in forms: Collect customer consent before sending messages.
Step 3: Create short and engaging messages: Keep them under 160 characters to ensure readability.
Step 4: Schedule and send messages at the right time: Research peak engagement times for better results.
Step 5: Track performance and optimize campaigns: Use analytics to refine your strategy based on open and response rates.
Also Explore: Short Welcome Messages, Quotes and TemplatesAdvantages of SMS Marketing
SMS marketing involves high engagement with low-cost solutions. Let us review the benefits of SMS marketing:
1. High Open Rates
Cell phone marketing has high open conversions, nearly 90%. This means that SMS marketing allows businesses to reach their customers instantly. In fact, SMS messages are more likely to be opened within minutes than emails. Researchers state that text messages have a 98% open rate against the 20% of emails.
2. Instant Delivery & Quick Engagement
With SMS marketing, businesses can offer time-sensitive promotions that can be delivered immediately to their customers. This allows faster responses than other forms of marketing. Consider high-demand periods, and a business that sends an SMS to alert customers of a flash sale can divert traffic almost instantly to a website or its retail offer.
3. Cost-Effective Marketing
While text message marketing is budget-friendly, it helps businesses save money in ways other marketing avenues could not. Thousands of customers can be reached for only a fraction of the cost of any typical TV, radio, or print commercial.
For example, SMS campaigns cost $0.01 to $0.05 per recipient, while digital ads may incur costs of up to hundreds per click or hundreds of dollars per impression.
4. Easy Automation & Scheduling
Through SMS marketing automation, businesses can schedule their messages for automatic delivery well in advance, thereby saving time and effort on remedial customer engagement.
For instance, an e-commerce store can automate SMS reminders to customers with items left in their abandoned shopping carts.
5. Higher Readability
Unlike long emails or social ads, SMS message content is concise and straight to the point. They can easily be read in a split second, allowing for a high level of engagement.
According to EZTexting, 75% of consumers would rather receive promotions by SMS than through any other channel.
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Who Should Use SMS Marketing Services?
SMS marketing is versatile and applicable across sectors. Whether you’re running an e-commerce platform, a local business, or a health establishment, SMS marketing can effectively engage customers.
1. E-commerce Businesses
Mobile SMS marketing is effective for shipment confirmations, shipment processes, and marketing offer promotions in eCommerce stores. It enhances customer experience and improves repurchases.
Brands powered by Amazon and Shopify use SMS to notify customers of shipment delays, share discount codes, and send re-stock alerts for certain products.
2. Retail Stores & Local Businesses
Text marketing can be useful for brick-and-mortar stores. For example, a local bakery could send SMS notifications every day about new items or limited-time offers, exclusive discounts, event invitations, or promotional business development about product launches.
3. Healthcare & Wellness Providers
The areas where SMS marketing is used include doctors, clinics, and wellness centers for appointment reminders, prescription updates, and health tips that aid in communication with patients.
HIPAA Journal conducted research that showed that SMS reminders can decrease the probability of missed appointments by as much as 30%.
4. Hospitality & Travel Industry
Hotels and travel agencies can use SMS marketing for booking confirmations, check-in instructions, and travel offer promotions, which means seamless customer service.
Airlines such as Delta and hotel chains like Marriott use SMS to provide real-time information about flight statuses and room availability.
Also Explore: How to Schedule a Text Message?Best Practices of SMS Marketing
For businesses to achieve rate benefits from SMS marketing, it is advised that they follow best practices to increase engagement while steering clear of some common pitfalls. Below are some strategies for reaching success:
1. Personalize Messages
People are more likely to engage with personal messages than generic ones. In fact, 90% of customers are more likely to purchase if SMS is personalized.
For instance, “Dear customer, 10% off” can be replaced with “Hi John, 10% off on your next order at XYZ Store!”
2. Segment Your Audience
Different customers have different interests. So, a clothing brand might target certain customers who will receive winter wear promotions in colder regions of the country and summer outfits sent to warmer destinations.
According to research, segmented SMS campaigns have a conversion rate four times higher than that of email marketing.
3. Include Strong Calls to Action (CTAs)
Encourage customers to take action by adding direct instructions such as “Click here to claim your 20% discount” or “Reply with YES to book an appointment.” Thirty-five percent of consumers subscribe to SMS to make purchases during sales.
4. Integrate with Other Marketing Channels
Text marketing can be beneficial when integrated with emails and social media. For example, a brand can use text messages to alert customers to a sale and then email them more information.
5. Leverage Automation & Drip Campaigns
Automated SMS can be set to trigger follow-up messages. A gym, for example, can send a welcome after someone signs up and follow it up a week later with a reminder about a free session.
Also Explore: Broadcast Text Messaging: What It is & How to Use It?Conclusion
SMS marketing enables businesses to communicate with customers directly and in real-time. A high open rate generates better ROI, reduces cost structures, and cuts through noise.
SMS marketing helps create a relationship between businesses and consumers. It spans all industries, from retail to health and medical to e-commerce. By adhering to best practices, minimizing automation, and personalizing, you lay the foundation for maximum positive results.
Updated : February 24, 2025
Supriya is a proficient content developer with significant expertise in the domain of omnichannel communication solutions. She has a proven track record of delivering insights that empower organizations to optimize customer engagement. Passionate about the evolving landscape of business communication technology, Supriya stays at the forefront of trends in the field.
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