A Deep Dive of SMS Marketing
By: Zachary Halpert
SMS marketing has become one of the most effective ways for businesses to reach their customers. With messages being read within minutes of delivery, SMS marketing offers a powerful option for companies to engage customers, improve sales, and build brand loyalty. This blog will explore why SMS marketing is important for marketing and describe the best practices for businesses.
Why SMS Marketing Matters
First, SMS marketing allows companies to communicate directly with their customers. Since SMS is delivered straight to a customer via text, it feels more personal and direct compared to social media posts and other forms of digital marketing. Personalizing these messages based on customer purchase behavior, preferences, and location can create a deeper connection and increase customer loyalty.
Next, SMS messages are almost always opened and read immediately upon receiving them. Research shows that 90% of SMS messages are read three minutes after being received. It also showed that within 20 minutes of receiving the message, 99% of all messages are opened. This makes SMS marketing the most immediate and reliable way to deliver information, such as sales, appointment reminders, and order updates. This is unlike an email, although also direct, can easily get lost within someone’s inbox and also does not provoke a fast response time.
Third, SMS marketing is a low-cost option for digital advertising as compared to other advertising channels. Yet, it also delivers a high return on investment (ROI). With little to no production cost, businesses can create SMS campaigns quickly and affordably. The direct and high engagement rate of SMS means that ROI rates are often higher than those of email or social media campaigns.’
Finally, SMS marketing works well in collaboration with other marketing channels, such as email and social media. It can be used to reinforce marketing messages presented on other channels. It can also help to drive traffic to other platforms, gaining attention for those sites as well. An example of this collaboration would be if a company posted about a flash sale on their Instagram earlier in the day. The company would then proceed to text about it later in the day when the sale is coming to a close to ensure customers do not miss the opportunity to shop with the sale.
Best Practices for SMS Marketing
First, before sending SMS messages to customers, companies must get consent. Customers should have the option to opt-in to receive text messages, and companies must comply with regulations set on SMS marketing. Companies should be open and honest with customers about what will be sent in the messages and how frequently they will be sent, in order to stay away from any potential legal troubles.
Next, it is essential for SMS messages to be kept concise and to the point. Use clear language and include a strong call to action. Avoid the use of complex or technical terms, and focus on delivering value quickly. No one wants to read a paragraph long message, so ensure all the information necessary is down first, then add anything additional later.
Third, personalizing the messages can increase the chance that customers will engage with the messages. Using the customer’s name, referencing their past purchases, or suggesting products based on browsing history. By creating messages specific to each customer, it helps to create a more engaging experience as each person will feel like they are being seen.
After that, the timing of when the messages are sent can have a major impact on its effectiveness. Companies should avoid sending messages early in the morning or late at night as the engagement rate is much lower at those times. Research shows that the best times to send SMS messages are between 9 am and 5 pm, or normal business hours for the company. It is also important to note that most people also prefer to get these messages on weekdays. If the company is looking to send out time-sensitive offers, it is important to ensure they are sent with enough time for the customer to use them.
Fifth, every SMS message should include a clear call to action for the customer. While the purpose of the message may vary, make it known to the customer why they are receiving the text, whether you want them to visit your website, alert them of a discount, or to confirm an appointment. The biggest thing for SMS marketing is to make it easy for them to respond, the more difficult it becomes for the customer, the lower the engagement rates will be. Having phrases such as “Click here,” “Buy now,” and “Reply YES” are simple and effective ways to obtain engagement and produce revenue.
Next, it is important to note that no two customers are the same, so sending the same message to all of your customers may not be effective. Segmenting your customers based on demographics, purchasing history, and engagement can help create more effective marketing strategies. This allows a company to send targeted and relevant messages that each customer can relate to.
Finally, SMS marketing should be part of a multi-channel strategy. Using SMS on its own is an impactful way to market a company due to all the prior factors. But, using it to complement email, social media, and app notifications will allow the company to bring in more customers. The different channels will be able to use one another to gain interactions for the company and grow their brand.
Conclusion
In conclusion, SMS marketing allows companies to communicate directly with their customers, deliver time-sensitive messages, and drive up their engagement. Its high and timely open rates, cost-effectiveness, and versatility make it a perfect addition to any marketing strategy. By following the best practices, companies can maximize the impact of their SMS campaigns and build a stronger relationship with their customers. As we continue to shift toward the constant use and reliance of mobile devices, SMS marketing will remain a key driver of customer engagement and growth for companies.
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2022 consumer texting behavior report. 2022 State of Texting Consumer Behavior Report | EZ Texting. (n.d.). https://www.eztexting.com/report/2022-state-of-texting-consumer-behavior-report#:~:text=WHEN%20DO%20CONSUMERS%20PREFER%20TO,A%20few%20times%20a%20week.”
Johnson, D. (2024, September 18). 90% of SMS marketing messages read in 3 minutes. Tatango. https://www.tatango.com/blog/90-of-text-messages-are-read-within-3-minutes/
The Complete SMS Compliance Guide. SlickText. (n.d.). https://www.slicktext.com/sms-compliance
Why your business should use SMS marketing. Toxigon. (n.d.). https://toxigon.com/why-your-business-should-use-sms-marketing