What is SMS marketing and why is it important? Probably a question you and your team might have had when searching for new mobile direct marketing strategies for your business. If so and you are new to the mobile marketing pitch, you are in the right place to clear up the confusion in what can seem like an acronym heavy industry.
What is SMS Marketing?
SMS marketing or Short Message Service marketing is a type of mobile marketing that allows businesses to send text messages to customers and prospects. It’s a permission-based form of marketing, meaning businesses can only send messages to those who have given their consent to receive them. Which makes it such a powerful tool for businesses aiming to connect with their audience instantly. Unlike emails, which can go unopened for days, text messages are typically read within minutes. This immediacy makes SMS marketing a critical strategy for businesses of all sizes.
Want to give the benefits of SMS marketing a try? Click here to register!
Simple enough? SMS marketing is a tailor made channel, meaning your business can use it in so many different ways. Next, we’ll discuss some of these ways and some of the benefits.
What are the Benefits of SMS Marketing?
SMS marketing is very beneficial as an enterprise or small business marketing channel and offers several key advantages as a marketing channel that should be used amongst the rest in your communication strategy. SMS marketing offers:
- High Open Rates: SMS messages boast an open rate of around 98%, significantly higher than email.
- Instant Delivery: Messages are delivered and read within minutes, making SMS perfect for time-sensitive information.
- Customer Engagement: SMS marketing encourages direct interaction, whether through special offers, surveys, or appointment reminders.
- Cost-Effectiveness: Compared to traditional advertising, SMS marketing is affordable and provides a high return on investment.
- Personalization: Messages can be tailored to individual preferences, enhancing the customer experience.
These are some of the core benefits, but with artificial intelligence and other emerging technologies, SMS marketing is creatively finding new ways to benefit businesses.
14 key text message marketing terms
As we mentioned the SMS marketing or text message marketing industry can have a lot of acronyms, but it also has a lot of keywords as well. Here is a list you can familiarize yourself with that our team dug up so you can stay in the know when talking about SMS marketing with you team:
- Opt-in/Opt-out: Refers to how subscribers join (opt-in) and leave (opt-out) your text message list. Compliance with regulations is crucial here.
- SMS/MMS: Short Message Service (SMS) is for plain text messages, while Multimedia Messaging Service (MMS) allows for images, videos, and GIFs.
- Shortcode/Longcode: Shortcodes are memorable 5 or 6-digit numbers for mass marketing, while Longcodes are standard 10-digit phone numbers for more personalized interactions.
- Keyword or text-enabled keyword: A word or phrase users text to your shortcode to subscribe and potentially unlock specific offers.
- Call to Action (CTA): A clear and concise instruction telling subscribers what to do next, like visiting a website or using a discount code.
- Click-Through Rate (CTR): Measures the percentage of people who click a link included in your text message.
- Segmentation: Dividing your subscriber list into groups based on interests to send targeted and more relevant messages.
- Compliance: Adhering to regulations like TCPA (US) that govern sending marketing text messages.
- Autoresponders: Automated replies sent to subscribers based on their actions, like a welcome message upon joining or order confirmation.
- A/B Testing: Experimenting with different versions of your text messages (content, timing, etc.) to see which performs better.
- Mobile Network Operator (MNO): The company that provides cellular network coverage, like Verizon, AT&T, or T-Mobile. They handle the actual delivery of your text messages to your subscribers.
- Direct Connect Aggregator (DCA): A company that acts as a middleman between you and the MNOs. They handle routing your text messages to the appropriate MNO for delivery and can offer additional services like shortcode rental and spam filtering.
- Campaign Registry (TCR): (North America specific) A centralized database used to register your text message marketing campaigns. This helps ensure compliance with regulations and allows users to easily opt-out of messages. (In other regions, similar regulations might be enforced by different entities.)
- Campaign Service Provider (CSP): The company that provides the software platform you use to create, manage, and send your text message marketing campaigns. They offer features like subscriber management, message scheduling, and analytics. This is what Textmunication is!
How to Get Started with SMS Marketing
Here is some information that can serve as a torch in the tunnel for getting started on your SMS marketing journey. SMS marketing registration is actually a lot easier than you may think and understanding the brand registration and activation process can prepare your team for a successful launch! Let’s review the steps:
Step 1: Choose a Reliable SMS Marketing Platform
Selecting the right platform is crucial. Look for features like throughput, automation, analytics, and integration capabilities. Textmunication, for instance, offers a comprehensive suite of tools to help you manage your SMS campaigns effectively.
Step 2: Register your brand and get a number
All text marketing users have to register their brands with The Campaign Registry and get a brand score to start provisioning their company sender ID. It is a seamless process that helps mobile network providers (MNOs) like AT&T, T-Mobile and Verizon understand the type of message you will be sending to and make sure your messages are delivered safely. You can read about how easy we make brand registration and everything you need to know here.
Step 3: Build Your Subscriber List
What is a text marketing program if there are no numbers to text!? Growing your database and converting your existing database is key to scaling your SMS marketing strategy. Also, what makes building your subscribers easy is that you can use various channels in the following ways: Website Sign-ups: Add an opt-in form on your website.
- In-store Promotion: Encourage sign-ups at the point of sale.
- Social Media: Promote your SMS list on social media platforms.
- Email Campaigns: Invite your email subscribers to join your SMS list.
Step 4: Create Compelling Messages
Craft messages that are concise, clear, and provide value. Use strong calls-to-action (CTAs) to prompt immediate responses. For example, “Show this message at checkout for 20% off” or “Reply YES to confirm your appointment.” It’s that simple and effective.
Step 5: Live Send or Schedule Messages
Planning your campaigns to avoid overwhelming your subscribers, but also enough to maintain interest momentum. Remember, timing is crucial; send messages at times when they are most likely to be read and acted upon.
Step 6: Analyze and Optimize
Monitor the performance of your campaigns using analytics. Track metrics such as open rates, click-through rates, and conversion rates. Use this data to refine your strategy, improve message content, and better target your audience
SMS marketing is a powerful, cost-effective way to engage with customers and drive business growth. By understanding the key definitions, benefits, and steps to get started, you can harness the potential of SMS marketing to build stronger customer relationships and achieve your business goals.