How Successful is SMS Marketing? This May Surprise You

How Successful is SMS Marketing

Today, most businesses are fixated on digital marketing strategies but too many of them have forgotten about “offline” marketing strategies.

In fact, there is one offline marketing channel that is the king of engagement and conversions.

That of course is text message marketing (or short message service).

Yes, if you know how to send text messages to a group of people, then you have the skills required to yield amazing results for your business or organisation.

Let’s take a quick look at some stats…

Quick SMS Marketing Statistics

  • SMS messages have a high open rate of 98%, vastly outperforming email marketing’s average open rate of around 20%.
  • 95% of SMS messages are read within just three minutes of being delivered.
  • The average click-through rate (CTR) for text message marketing typically ranges from 19% to 36%.
  • 75% of consumers prefer getting special offers through text messages.
  • SMS marketing campaigns achieve a 209% higher response rate than email.
  • The average conversion rate for SMS messages is over 25%, compared to email conversion rates of 3-5%.
  • According to Salesforce data from July 2023, about 66% of people worldwide use text messaging to interact with companies.

The Rise of SMS Marketing

SMS marketing has seen a remarkable transformation in recent years. Think about how much time you spend on your mobile device daily. This shows how digital communication has grown, making SMS marketing a key way to reach out to people.

Text messages are read quickly, with 90% being opened within three minutes.

This is a big deal when you consider that it may take hours for someone to reach your social media DM or days to read your email (if they do at all).

SMS marketing messages are one of the best pattern interrupts in the game, few communication channels will force a person to stop what they are currently doing just to see who sent them a text message.

Isn’t SMS Marketing In 2024 SPAMMY?

if you use SMS marketing the way it is supposed to be used then no, it’s not, in fact, more and more consumers (especially millennials) would prefer you send them a text message to keep them updated than any other medium.

Like email there are scammers and spammers who purchase customer lists and then start blasting out messages.

Real email and SMS marketing are permission-based, meaning that people willingly sign up to receive text messages from your business – this increases conversions as well.

High-Quality Subscriber Lists

Not all subscriber lists are created equal.

Experienced marketers know that they only want people on their list who will eventually take a desired action i.e. make a purchase, join a cause, etc.

Email lists tend to be watered down with fake email addresses or secondary email addresses, which creates two big problems:

  1. You’re not likely to convert them into customers.
  2. They’re not going to open future messages which actually hurts your delivery score, i.e. less of your emails reach your overall subscriber base – not a lot of people know this.

An SMS subscriber is different is that it’s likely they only have one primary mobile number, so in order for them to hand that over to you, they need to be much more serious about what you’re offering.

This means that although your list wont be as big as an email list (which is actually a good thing) it also means that these people are much closer to making a buying decision.

No Algo Bots

One of the reasons why email marketing is such a tough game is because their are algorithms designed to block your emails.

For example, if you’re sending email campaigns you will have a delivery score, the higher that score the more of your messages are delivered (to either the inbox or spam box).

The lower your spam score, the less of your emails are delivered.

On top of that, you have SPAM bots that are looking for any reason to bin your campaign.

In fact, there are 400+ trigger words that these bots look for in specific sequences that will have your email red-carded and sent off the field so to speak.

One of those words is “buy” just to give you an idea of how tricky it can be to get someone to buy without telling them to buy.

SMS is not an online strategy, there are no delivery scores or spam bots (as long as you’ve permission to text them) trying to block your marketing efforts.

Open Rates vs. Email Marketing

Although SMS and email may appear the same from a mechanical, nuts and bolts perspective, i.e. both require customers to subscribe, have opt-ins and opt-outs, are permission-based channels, etc. they are very different in terms of engagement.

It takes a lot to get qualified subscribers onto your list, it is time-consuming and can be expensive so when you send out a message ideally you’d want 100% of them to see it to recoup that time and money as quickly as possible.

As mentioned earlier SMS is as close to 100% engagement as you can get and this makes it a massive sales generating channel.

With email, sadly anywhere from 70-80% people will miss your messaging.

The Impact of Immediate Delivery

Immediate delivery is key to SMS marketing’s success. It has a 45% response rate, much higher than email’s 6%. SMS marketing offers fast communication, improving customer engagement.

In today’s fast world, people expect quick updates. SMS delivers these updates right on time, making sure your messages are seen when they count.

Response Rates and Conversion Rates

SMS campaigns are a hit in the marketing world, beating traditional methods in getting people’s attention. They show how SMS marketing can really get results. A whopping 45% of people reply to SMS messages, making it a standout channel.

Comparing SMS to Other Channels

SMS stands out when it comes to marketing success. Its open rate is over 95%, way higher than email’s 15-20%. SMS conversion rates can hit 32% for targeted campaigns, showing its power in getting people to act fast.

With SMS, you don’t just reach people; you get them to take action quickly. It’s a key tool for achieving your marketing goals.

The Power of a Direct Call to Action

SMS messages are clear and direct, making it easy for people to respond quickly. This boosts your conversion rates. With click-through rates reaching 41%, SMS is great at getting people involved.

An effective marketing channel like SMS makes sure your message hits home. It doesn’t just reach people; it makes them take action.

How Successful is SMS Marketing for Brand Loyalty?

SMS marketing greatly increases brand loyalty by creating direct communication with customers.

Over 90% of mobile users read their texts within three minutes. This quick response can make customers feel valued, leading to more trust and interactions.

Timely promotions or reminders are key. They help keep customers coming back and even encourage them to recommend your brand to others.

Engaging campaigns like holiday greetings and contests boost customer loyalty. Offering discounts or gift vouchers through SMS surveys makes customers feel valued. This helps build strong bonds with your brand.

With a 98% open rate, SMS marketing is very effective. Companies like 160.com.au show how bulk SMS services can manage large volumes of messages while keeping them personal. This builds trust, crucial for lasting customer relationships.

Benefits of SMS Marketing for Businesses

Businesses can gain a lot from SMS marketing. It’s not just cheap, but it also helps you talk to customers better.

Cost-Effectiveness of SMS Campaigns

SMS marketing is very cost-effective especially when you consider how many specialists are required to send out an email campaign rather than just one person to send an SMS message.

Best Practices for SMS Marketing Campaigns

To get the most out of SMS marketing, focus on the best practices. Making your messages engaging is key to grabbing your audience’s attention. Clear, concise, and relevant messages can greatly improve your interaction rates.

Using a friendly tone and personalising your messages can make them more relatable. This increases the chance of your messages connecting with your audience.

Crafting Engaging Messages

Think about what your audience values when creating messages. Offer discounts, exclusive deals, or info on upcoming events.

Keep your messages short and include a clear call to action. This can boost your click-through rate, which is usually around 9.18% for SMS. Segmenting your audience helps you tailor messages to their interests.

Compliance with SMS Regulations

Following SMS regulations is crucial for successful marketing. Always get explicit consent before sending messages. Having clear opt-in and opt-out options builds trust and avoids penalties.

Integrating SMS with Other Marketing Channels

For better marketing results, a strong multi-channel marketing strategy is key. Combining SMS with email and social media boosts your impact and connects with your audience more effectively.

SMS can also improve customer service. When used for inquiries, it makes customers happier and saves time for your team. Adding SMS to push notifications in messages can greatly improve the customer experience and increase sales.

Timing your messages right is crucial for cross-channel marketing success. You don’t want to overwhelm your customers. By tracking how customers move through different channels, you can see what works best. This helps keep your brand message consistent across all platforms.