SMS Marketing is one of the Traditional, User-friendly, and cost-effective channels in the digital era. Although the users are available on multiple channels, brands are implementing the OMNI channel strategy to get the unified view of a customer to identify their most preferred channel.
SMS is still a powerful channel as you can check the same within 30 minutes and has higher open and click-through rates than other communication channels.
Types and Benefits of SMS Marketing
SMS Marketing Divided into 3 major categories
Transactional/Triggered Messages
Transactional messages are those where the user has done any activity and taken an action on the website, Application, or at any store. For Example, sign up for OTP, Forget Password, or Loyalty Points redemption at any Retail store.
Informative Messages
These informational messages act as an announcements or reminder to end users. For example, Participate in Lok Sabha Election, Last date of JEE exam and more.
Promotional/Marketing Messages
These are purely promotional messages and the objective if these campaigns are to promote the product and services. For Example, Festive campaigns, Big Billion Day sales and more.
Top use cases brands can explore using SMS Channel
- OTP Messages
- Reset password Message.
- Verifying order confirmations
- Monitoring shipments and providing delivery tracking information.
- Appointment scheduling and confirmation.
- Replying to Frequently Asked Questions.
- Handling support tickets.
- Getting feedback on products and services.
- Special offers.
- Reminders like Birthday, Anniversary, Milestone messages etc.
- Mega Sales like Independence Day, Diwali, Holi, Christmas, New Year
- Chain Campaigns like Valentine’s Week.
- BFSI Use cases like Balance Reminders, Credit card statements, EMI due, Policy renewals, and more.
Top Benefits of SMS Marketing
Fast, Quick, and Effective
Benefits of SMS Marketing: The Best benefit of SMS Marketing is Fast and quick. A brand can reach out to Millions of users within minutes and click a button. It’s an important and crucial brand that can send truly time-sensitive information. This helps in better user engagement and higher conversations.
Cost-Effective
Benefits of SMS Marketing: SMS is a cost-effective and ROI-driven channel. Brands can track each campaign and set the benchmark for profitable ROI. This is one of the great communication channels when it comes to Conversions. The Click-through rate is highest as compared to other marketing communication channels.
Easy to Track the Impact
Benefits of SMS Marketing: SMS marketing campaigns are trackable and measurable. With each campaign sent, the Brand can pass UTM and track the conversion rate. For example, If any D2C brand runs the Buy1Get1 sales and targets the entire user case they can track the contribution from the SMS channel as well which is higher than other channels.
Better Customer Understanding
Benefits of SMS Marketing: SMS helps brands to have a better understanding of the database. With Segmentation, Brands can execute the targeted campaigns and get the active, non-active and dormant users data sets.
Brand Building
Benefits of SMS Marketing: SMS benefits the brands in brand recall and building. It is recommended that brands can add their Brand name in each message so that users can relate the same with the brand.
Brand Loyalty
Benefits of SMS Marketing: SMS marketing helps brands in creating brand loyalty especially in offline business/ retail stores. For example, Every lifestyle brand adds points to their wallet at each purchase and the user can redeem these points at their next purchase.
Integrability of SMS Marketing
Benefits of SMS Marketing: SMS can be easily integrated with the Marketing Automation platform, CRM, Lead Management System, Customer Data Platform, and any third-party application which helps brands to use the service at every touch point.
Boost Retention
SMS marketing helps brand to achieve their short-term and long-term retention goals. If a brand can divide their end users in different buckets of segments, then can witness the best possible conversion rates.
Personalization
Personalization is the key in today’s modern world. If a brand personalizes the message by adding relevant variables can expect high engagement and click-through rates.
Data-Friendly and Targeted Promotions
SMS marketing is Data friendly, and the brand can run the targeted campaigns as per the offers, demographics, location, gender, and activity-based campaign. For example, if a brand knows their loyal user segment its recommended not to send the regular offers to them as they are loyal and go ahead with the repeat purchase. Make sure the offer is unique to each segment.
Brands can use special content while drafting the campaign say “Early Access” or ‘Specially curated for you’ to excite the dormant user base. Such segments have high click-through and CTOR.
SMS has its own pros and cons like Compliance, DLT registration, Template Whitelisting, and DND users but the benefits of SMS marketing are unmatchable. The ROI is way High and the engagement rates are best in the CPAAS (Communication platform as a service) space.
Do you want to know more about the benefits of SMS marketing, Let’s connect and discuss the same.
Also Read- What is RCS Messages and its benefits?
Amit Bhateja is the co-founder of enrcloud and helping brands and Unicorns from the last 15+ years and overachieve their Engagement and Retention goals. He is passionate about solving customer problems with modern technology, new age solutions, and consultancy approach. Besides Building ENR, He enjoys reading books, spending time with his family and Teammates, traveling, meeting new people, learning new things, and love to close the business deals.
