Is Marketing SMS Right for My Brand?

We’re wrapping up the last installment of our Optimizing Owned Channel Marketing mini-series with a look at SMS (text message) marketing. If you’ve wondered:

• If SMS is useful for your brand, or
• When to start, or
• How to start

you’re in the right place to get answers.

WHAT IS SMS MARKETING?

Simple: texts that brands send to promote their products, services, and content.

Like email, SMS:

• Can include images, text, and links
• Goes directly to your subscriber (no algorithms deciding what gets shown to who)
• Requires opt-in consent for sign-up (more on that below)

Unlike email, SMS:

• Has less space within each campaign, and less complex design (no HTML, buttons, or logos)
• Has a cost per each text sent-$0.01 to $0.05 per text message, per subscriber (with longer texts or MMS with images and emojis costing more 🤑)
• Is a much less saturated channel than email, which can result in higher ROI for each effort
• Tends to be viewed more personally by recipients (who may sign up for fewer lists, but pay more attention to those they receive)

IS SMS USEFUL FOR MY BRAND?

To answer this, begin by taking a look at your email program.

How engaged is your audience with the emails you currently send? Do you have strong open and click rates? How are your email conversions? How do automated emails like review solicitation usually perform? The answers to these questions will give you a sense of your audience engagement baseline, and identify where SMS could be most impactful. What benefit would SMS offer to your audience? Perhaps you have limited-edition product releases, and being on an SMS list would guarantee they hear about it in a timely fashion. Maybe their inbox is overcrowded and SMS is a more convenient format for them to stay on top of the things that matter most to them. Or maybe you want to be able to have back-and-forth conversations via text as an extension of your products or services. What action do you want SMS subscribers to take? Do you have an online store where they can purchase products? An online booking option where they can schedule services? An active blog with new content? Because there’s less real estate in SMS, you need to be able to direct people to an action with just a few words and a link. If your emails are primarily long form content or your products/services require a lot of education or explanation in the emails, SMS may not be that useful for you. If your email engagement is solid, SMS has significant benefits to your subscribers, and you have a clear and simple action for them to take, SMS is a good fit!

WHEN (& HOW) TO START WITH SMS

The SMS list building and opt-in process tends to be slower than email, as it is more tightly regulated (requiring more explicit consent and specific sign-up language). If you think SMS will be a fit for your brand, the best time to start getting set up is usually “now,” knowing that it can take 6-9+ months to have a large enough list for meaningful return. To get started, you’ll need:

• ​A plan for how to get subscribers – what you’ll offer, to who, and where (on site, to your email list, at checkout, etc.)
• The right software (that integrates with your other tools – online store, email, loyalty, customer service)
• A plan for what & when to text (just like your email strategy)
• A clear understanding of the difference between transactional and marketing SMS, and the laws governing who you can text, about what, and when

IS SMS WORTH IT?

There’s a bit more complexity and effort to getting started with SMS than email-but well worth it. The good news: If you already have an email list, you have a great head start on getting sign ups. Highlight the key benefit(s) of SMS that you identified above, to your email audience. Consider offering a sign-up incentive (like access to restricted content, a discount on future purchase, or loyalty points) and promote your SMS list to your email list (suppressing those who have already signed up for SMS) regularly. The better news: As a less saturated channel, SMS marketing can result in higher ROI on each effort. For example, we’ve seen conversion rates 7-9x that of email, and revenue per recipient of 6-12x email for our clients, even with SMS audiences that are a fraction of the size than their email lists! Don’t let the slower growth of an SMS list stop you from building one. The best news: Recipients tend to view SMS as more personal and conversational; this is part of what results in the higher ROI and also why they’re more guarded with what brands they give their phone number to. It also means they are more likely to reply to SMS they receive than emails (even if the texts are fully promotional!), allowing brands to establish direct communication with their most interested customers and provide faster replies and better service-resulting in greater customer loyalty and in-the-moment upsell opportunities.

Need a hand getting set up with SMS? Hey, we can help!

LEARN MORE »

EXPLORE THE FULL MINI-SERIES:

1. What is an owned channel?
Learn the definition, examples, plus the 3 other channel types (paid, earned, converged). 2. How do I know what emails to send?
How to create email content that matters to your subscribers, how often to send it, and how to stay on schedule. 3. Is it worth it to pay for a unique design for every email?
You might be surprised to hear that our answer is “Not always,” even as people who get paid to design emails! Find out why. 4. What is an email audit & does our brand need one?
Not every brand needs an email audit, but it’s a critical tool for those who want to identify growth opportunities. YOU ARE HERE: 5. Is Marketing SMS right for my brand?
The SMS channel is less saturated, but requires a bit more effort to set up and grow your list.

 

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