With a 9% open rate across an estimated 7.4 billion global mobile subscriptions, SMS messages have become a key communication channel for customers looking to interact with your brand. With the incredibly high open rate associated with SMS marketing there exists both an opportunity for higher-than-average consumer engagement, and for marketers to hone in on SMS marketing strategies. Consumers are more inclined to read and react to marketing messages if that messages comes via an SMS message.
SMS marketing is a form of marketing which reaches your customers through text messaging. Using primarily permission-based texts as a means of communicating promotional content from your brand to consumers, it is most often enacted through a web-based program that allows you to send mass text messages to a subscriber list.
Like with email marketing, the goal of SMS marketing is to build a list of subscribers you can communicate with, thus increasing customer loyalty. What this means is that as customers opt into your campaigns they are providing you with permission to send them offers and information associated with your business. The loyalty aspect comes from regular engagement with your brand as customers buy into the offers you send them.
Unlike calls, emails or other marketing collateral we all see, and on some level, respond to text messages. SMS marketing has become a powerful tool because nearly everyone has access to a mobile phone, and customers almost always read the messages you send them (within a relatively short window after receiving them).
Why SMS Marketing?
- High Open Rate: While email still hovers around a 20% open rate, Text messages have a 98% open rate. (Mobile Marketing Watch)
- Highly Actionable: 70% of all mobile searches result in action within an hour. (Mobile Marketer)
- Direct Marketing: According to a survey by ScanLife, 64% of Americans own a smartphone (as of 2015), checking their phone 150 times a day.
- Responsive: 90% of text messages are read within 3 minutes of arrival. (Connect Mogul)
- Cost Effective: You can cost effectively scale SMS marketing to fit any budget.
- Mobile Friendly: SMS is compatible with nearly every type of mobile phone, and you can concisely deliver information to consumers.
- Strong Engagement: SMS keeps you connected with your customers on their preferred device.
SMS marketing is a proven medium that works because of the popularity of text messaging and the convenience of the medium. Not only do customers demonstrate they want to receive offers and rewards from you when they opt-in but text message marketing has an untapped potential in terms of building engagement between your brand and consumers. It’s affordable and easy to use, and its immediate and direct. Most people carry their cell phones with them at all times. If they want to opt into a campaign, they simply have to reach for their phone and text in a keyword.
While SMS marketing isn’t without it’s costs (resources and budget-wise), when used correctly it can be an extremely effective tool for driving sales and earning your business more revenue.