SMS Marketing: The Most Effective Way to Engage Customers

April 15, 2020
Written By Deliyanis Rosa Fontanez

Short message service (SMS) has existed since 1992 and has grown ever since. It took over 10 years for SMS marketing methods to emerge as major brands like Nike launched texting campaigns in 2005. Just as marketing tactics are constantly evolving, SMS marketing has developed into a constant in almost everyone's daily lives.

The Surge of SMS Marketing

SMS marketing has quickly emerged as the most effective way for businesses, large and small, to engage their audiences. As a result, businesses are now understanding the immense power of SMS marketing campaigns in the digital age.

  • 91% of consumers have received an SMS from a business
  • 94% of those consumers have clicked through a link within an SMS
  • 35% of those consumers interact with a business between once a day and once a week via SMS
  • 68% of businesses are using some form of texting
  • B2B SMS marketing grew 197% between 2015 and 2017
  • By 2023, SMS marketing volume is expected to rise 52%

As consumers become more attached to their phones, text messages are now the most direct line of contact. If your business is aiming to gain customer attention, an SMS marketing campaign may be the most effective method.

why SMS marketing works

By the numbers, SMS marketing is now the most direct and effective way to reach customers. As a result, businesses are using SMS to send coupons, special deals, announcements, or just to engage customers. Additionally, celebrities like P Diddy, Ashton Kutcher, and Jake Paul are interacting with their fans via SMS to create a more personal experience.

"This was really spearheaded inadvertently from celebrities, from professional athletes and comedians," said Dr. Ryan Lowe, energyhill Co-Founder and CEO. "They have a system in place and a marketing team in place to really respond and engage with you as if they are that brand. I think it’s a really great way for businesses to now take initiative and say, ‘Why don’t we text our customers?'"

There's a reason why more are choosing SMS marketing: it's effective and brings astounding conversion rates. For example, 75% of people say they prefer text messages as their primary form of communication. The messaging app is the most used application on mobile phones across the globe. This is likely because users don't need to use an additional application and are ensured of a quick interaction under the character limit.

Thus, texting audiences are more likely to engage through texts. After all, ease of access and exposure are key to a marketing campaign's success.

Users are opening less than 50% of other marketing forms — social posts or emails, for example. The open rate of texts, in general, is 98%. For the most part, customers receiving and reading texts is far more likely than any other marketing tactic.

The Future of SMS Marketing

By now, SMS marketing should be a staple to every direct-to-consumer brand marketing strategy. It's also becoming more essential in business-to-business communication by keeping things punctual and prompt.

For years, SMS marketing has been mostly straightforward due to the character limit on messages. Already, many marketers are getting creative by combining other smartphone features — like the calendar or maps applications — with texts. For example, a text could prompt a customer to come in-store with a scannable coupon.

Making the most out of SMS

Businesses have already started to innovate their text message marketing strategy. Take Domino's, which has introduced text ordering for a quick way to order. Another example is a survey sent to a customer after they have made a purchase at your storefront. These are just some of the innovations that will become more popular as marketers continue to see success in the text message marketing space.

"These are all really good ways to use a technology that's been around... but they're using it in a new way where it's helping their CRM and their systems that they have in place."

Dr. Ryan Lowe, Co-Founder and CEO of energyhill

As more business incorporate SMS marketing strategies, we'll continue to see innovation via personalized and intuitive messaging to customers.

energyhill's marketing services

Are you looking for a new way to engage your customers? Do you think SMS marketing could be the right way to increase your conversion rates? At energyhill, we have the tools you need to help you connect with your audience and influence leads.

Contact us to tweak your marketing strategy and reach your business goals.

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