An Overview of SMS Marketing

What is SMS Marketing?

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What is SMS Marketing?

SMS marketing, also known as text message marketing, is a method by which businesses and organizations send out specials, coupons, promotions, alerts, and more via highly targeted, permission-based, opt-in text messages. These messages are limited to a max of 160 characters.

What is Permission Based Marketing?

Permission based is a form of marketing in which customers give their explicit permission to be marketed to. This can be via an online opt-in form, contest entries, or texting a particular keyword to a shortcode.

Interruption marketing is the exact opposite. Marketers try to interrupt whomever they can, in hopes of forcing a promotional message or offer on the consumer. This alternative to permission marketing has become a mainstream way to advertise, as we're all hit with unwanted messages everyday.

We as consumers, are exposed to over 3,000 interruption marketing messages on a daily basis. To combat all these messages fighting for our attention, we've developed a "hard outer shell" to block out this communication. That's why we're now seeing more provocative, over-the-top ads in modern media.

How exactly does permission based marketing break through that shell? It does so by only marketing to people who have expressed specific interest in certain messages. That's why SMS marketing is so effective. With that being said, let's talk about why text messaging is so powerful.

Why SMS Marketing?

  • It's permission based. Just like what we discussed in the last section, you can only send text message blasts to customers that have opted in to your communication. This makes your marketing lists extremely concentrated, as they contains customers who plan on patronizing your business, usually on a regular basis.
  • It's a mass communication tool. Just about everyone owns a cell phone. It's more than likely that all these phones can receive texts. SMS marketing allows you to touch base with subscribers at the click of a button.
  • It's instant. Text messages are sent and received in a matter of seconds. Think about how powerful that is alone. It allows you to control the exact time and date that customers read your promotions.
  • It's trackable. It allows you to easily measure which text promos are working and which ones aren't. This helps you constantly improve your text campaigns and marketing messages on all other promotional outlets.

Benefits of SMS Marketing

There are many different benefits of SMS marketing, and they vary based on the industry you're in, and how you choose to use it. Here are some of the most common benefits experienced by marketers and business owners who use SMS.

  • Increase foot traffic to your business
  • Increase your sales and customer base
  • Reward loyal customers while creating new ones
  • Establish a stronger personal connection with your customers
  • Instantly communicate with customers
  • Customers can easily forward valuable text promotions to friends and family
  • Customer stay in the loop with your business
  • Customer won't feel forgotten due to lack of marketing reach

SMS Marketing Statistics

Now that we have some background on why SMS marketing is so powerful, let's take a look at just a few of the most important text messaging stats.

  • 95% of text messages are read within the first 5 minutes
  • 70% of Americans would like offers from their favorite businesses sent right to their cellphones
  • The average American looks at their cellphone 150 times per day
  • 22% of text messages with value are forwarded on to friends and family
  • The average redemption rate for a mobile coupon is 20%

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