What is SMS marketing? 

SMS marketing is a “Short Message Service” used by brands as a marketing technique to communicate promotions, updates, discounts, news, reminders, and more to customers via text messages. 

In a world, where most of all from adults to children use smartphones, brands not taking advantage of SMS marketing is like missing the boat. Around 98% of smartphone users check the SMS notifications within an hour of receiving an SMS message and 90% of those read the messages within just 3 minutes. 

It’s no wonder that developing relations with customers involves lots of work. With digital marketing channels like social media, you could have the greatest marketing messaging in the world but you cannot expect your customers to be present online all the time. So, an effective way of communicating about your deals, offers, and important updates to customers directly to their cell phones is by sending text messages. 

Like email marketing, SMS is also an owned channel where you have complete control over who receives your message, what text you need to share, and when you decide to send it. Besides text, you can also send short bitly links to your website in an SMS message. 

That’s why SMS marketing is a great marketing technique and an effective form of communicating with customers when done correctly. They are easy to send, track, and almost read by all your audience. 

What are the benefits of SMS marketing? 

SMS marketing is one of the easiest forms of business communication. Until recently, SMS messaging or text messaging was only used for personal communication. The world has witnessed a steep increase in SMS marketing after the emergence of smartphones in the market. This is when businesses started realizing the importance and scope of SMS marketing. 

Businesses can not only use SMS marketing to engage existing customers but also to reach newer audiences.  

Now that we understood SMS marketing, let’s have a look at the benefits of SMS marketing that are too good to be ignored. 

Here are 6 benefits that say why you should consider text messaging as part of strengthening your business communications. 

• Higher open rates than any other channels 

One of the biggest benefits of SMS marketing is that 98% of users open text messages within an hour of receiving them. Depending on the content you share with your audience, text messages can outperform emails and calls in both clicks to rates and conversion rates. 

It’s easy for emails to get lost in spam, junk, or promotions folder and it becomes simple for customers to swipe right or left on the message to delete or archive it. But with the popularity and convenience of text messages, your customers will open the message and read the contents. 

• Integrate with other channels 

It is no exception to say that SMS marketing works well with other marketing mediums such as social media and email. It can be a quick and easy way for your customers to connect to your message. 

For example, You can remind your customers about the mail that has been sent by you hours or days before. A simple follow-up in a text message asking “Have you read our email?” can help in increasing the open rates of email. 

• Strengthens customer engagement 

SMS messaging not only gives you an option to engage with your customers but also gives your customers a way to engage with your business. 

It is a great way to get feedback from your customers via surveys and then act upon it within a short period of time. Research shows that 31% of consumers will respond to surveys sent via text messages. 

And, businesses should remember that they vary the type of content they share because consumers may value important updates and news on developments within the brand. This information can be best delivered via email and can be followed up via a short message. 

Additionally, many brands use text messaging for more immediate, sales-related offers like vouchers, discounts, clearing stock sales, or promotions. 

• Flexible, Inexpensive, and customizable 

When it comes to SMS marketing the best benefit is – it is more versatile and can be mixed and matched to fit different things to help promote your business. 

You can provide coupon codes, discounts, announce a sale, reward loyal customers, promote a product, share news about the brand, and many more. 

To add the benefits furthermore, cloud messaging is one of the best cost-effective ways where the provider helps you with bulk SMS options via SMS API to reach thousands of customers in very few steps. When compared to other marketing mediums such as billboards, social media, mobile ads, magazines, and tv commercials, SMS messaging is more budget-friendly. 

• Wider audience reach 

With the increase in smartphone usage, more than 50% of all online traffic is generated through mobile phones worldwide making SMS marketing the best choice for many businesses. 

One of the best advantages of SMS is it doesn’t require internet connectivity. As long as the target audience has working mobile devices that can receive texts, they get to view the messages that you’re sending them. So, businesses can utilize this opportunity to reach a wider target audience. 

• Fast Delivery 

SMS marketing requires no time to wait as there will be no materials to gather, or printings to wait for, or no designs to complete, or people to contact. 

The only process here is you need to come up with your message and send it to your customers. When sending SMS you can be almost certain that your customers will open your message as soon as possible.  

With such swift delivery of messages in seconds, brands can reach their customer in the blink of an eye. 

Examples of SMS marketing: 

#1 Short term Promotions 

Example: “New year’s Sale: 50% discount on top-rated courses” 

Example: “10% off online and 15% off if you come-in store on Christmas” 

#2 Updates about events or customer orders 

Example: “Thanks for signing up with us! Take 10% off on your first order” 

Example: “Hi Gagan, your order with #60732 on 12/21 at 2:00 PM has been accepted. Track its status here.” 

#3 Appointments or Reminders 

Example: “Hi Mary! This is a reminder that you have a haircut appointment at EX Salon this Sunday at 4 PM.” 

Example: “Don’t forget your appointment scheduled with Susan for 12/7/2021 at 12:00 PM” 

#4 Payment Confirmations 

Example: “Thank you for your purchase. Your payment has been confirmed! Your accessories will be delivered at 8:00 PM today ” 

#5  Issue resolution 

Example: “Hi customer, This is to inform you that your recent support ticket #476645 has been resolved and closed. We thank you for your patience.” 

Types of SMS messaging 

There are mainly two types of SMS messaging you can send with SMS marketing: transactional and Promotional messaging. 

Transactional Messaging 

Transactional messages are “one-to-one” messages triggered by a certain behavior or event. These messages are texts that contain information related to customer order confirmation, shipping information, or delivery updates. 

Example:  

“Your order has been shipped” 

“Thanks for your inquiry. We will get in touch with you shortly” 

“Your original appointment scheduled for 2:00 PM has been canceled. Please click the link to reschedule” 

If a customer makes a purchase, texting them delivery updates and order confirmation could be a great way to build customer loyalty. 

Promotional messaging 

Promotional or campaign messages are “one-to-many” bulk text messages sent to a larger audience at the same time. This message contains information about coupons, sales, offers, discounts, or general information such as event details, updates, alerts, etc. 

This is generally used by brands to increase awareness among customers, increase sales, or promote products. You can use these messages to let your customers know about new product launches, discount offers, or even can provide tips on how to use your product or service. 

Example: 

“TODAY ONLY! Show this text at the checkout and get 10% off on your purchase” 

“Get 15% off our services this month, Try us!” 

“Try our services this month on a free trial. No one beats our service!” 

Difference between SMS messaging types and other messaging apps: 

SMS vs. RCS 

A standard SMS is a simple plain text format whereas, RCS (Rich Communication Services) is a one step advanced innovative technology of SMS. It helps messaging take place using rich-media features like logos, rich cards, verified icons, suggested actions, images, gifs, etc. 

RCS business helps enterprises use automated conversational messaging for use cases such as surveys, feedbacks, customer service, notifications, promotions, and even OTPs.  

The another distinguishing factor between SMS and RCS business messaging is SMS does not provide APIs for automated messages to be built on it. 

Mainly, users need not to download any application to use RCS making it even more convenient to use. 

OTT messaging apps vs. SMS 

Over-the-top (OTT) has been the most widely heard term for all of us in recent times because of context in streaming services like Netflix, and Amazon prime.  

OTT in business messaging refers to third party applications that provide rich media features like RCS. Some of the known channels include WhatsApp, messenger, WeChat, Snapchat, etc. Each of these channels is operated by private entities and each offers different set of features. 

How RCS different from OTT? 

To use an OTT application users have to download an external application and it is only possible to use when users are already aware of using these services previously. Users has to access these chatbots from social media pages, websites or any other resources. 

Whereas in case of RCS messaging chatbots, users can discover and have the ability to access the chatbots of brands from the apps that they are already aware of or can access the chatbots of brands that they have never interacted with previously. 

How to grow your SMS list? 

Now that you are convinced of why SMS marketing is the most effective way of communicating with your customers, Let’s take a look at a few ways on how you can increase your SMS marketing list. 

The open secret for SMS marketing is the more the numbers that you have, the higher the outreach and potential revenue you can generate. 

• Host a competition 

The most effective way of collecting customer phone numbers is by running a competition in-store, across websites, or using social media, or running email campaigns. Offer an irresistible incentive for joining the subscribing list. And, make sure to inform your subscribers that they may receive future event-related news, updates, promotions, or offers. 

For instance, Let’s say you own a retail business, you might offer a 10% discount on the first order for signing up for messages. 

• Add SMS signup option at online checkout 

You can add an SMS signup option at your online checkout by inserting a checkbox that says “Send me updates via text messages” informing customers what they can expect from you. This is one of the best ways to grow your subscriber’s list. 

• Capture website data 

Remember, your website can be a powerful tool for capturing customer data. When on your website, you can ask customers to share their phone number to complete the purchase.  

Additionally, you can use a visual banner, headers, sidebars, footers, news updates to attract visitors and show them the value of signing up. Say, you send them a discount or coupon code, or a free product or service after they sign up. 

• Promote using social media 

Your social media accounts have a lot to do with, other than just promoting products or announcing updates. It’s also a great way to increase your subscribers count. Every follower of your brand is a potential customer you can ask for subscribing to your SMS list.  

As these followers have already expressed interest in your brand, sending updates to them through SMS would be a cherry on the cake.  

You can promote your SMS lists on your feed, stories, highlights, or if you often engage with your followers on social media you can do it in a live stream as well. Consider adding a shortcode or an enticing offer to your bio or post description as a promotion. 

• Capture phone numbers in-store/office 

Another way to grow your subscribers list to capture the data when customer is in your store/office. A incentive with tactic not only works well but also helps you stay compliant. 

• Ask your existing customers for referrals  

The proven way of growing sales or subscribers is offering your customer an offer for getting others to sign up. This way you can attract new audience without losing your existing ones. 

This can be a win-win situation for all! 

• Ask your subscribers what they need/ to be changed in your service 

Customers always love giving feedback. It makes them feel important, heard, and needed. Asking for feedback consistently on your service or product is a great way to get firsthand insights. This also helps engaging with your customers and develop them into loyal brand advocates over time. 

Rules to consider before growing your SMS list: 

Every businesses needs customers to grow the business and its no doubt to say that choosing SMS list as a priority helps you keep closer to your audience. But before growing your list there are certain rules to be considered. They are: 

1. Your SMS must complaint to the rules of Telephone consumer Protection Act (TCPA) 
2. Before you send SMS, customers must opt-in (show their consent) to your SMS list and confirm that they want to receive updates via text messages.
3. You have to provide opt-out option, so that users can easily unsubscribe from your marketing list if they wish to. 

Try it yourself: 

So this is all about SMS marketing. SMS API is one of the best marketing techniques businesses are using to reach thousands of potential customers with just a button away. 

In simple, SMS APIs help you enable codes to send short messages through API platforms.  

As of now, you know, how SMS channel can help you build a personalized channel and grow your subscriber list by 200% by applying the described strategies and tips. We highly recommend you try it out for your business by giving us a call today. 

Still, have questions? Feel free to contact us here