Text marketing basics: Everything you need to know about SMS marketing

About the Author: Emmilie Whitlock

“There’s still time! 35% off ends tonight!”

“Planting a seed for Mother’s Day gifts 🌱”

“DOUBLE POINTS all weekend long!”

If you’ve ever clicked the link behind one of these text messages, BOOM! You’ve experienced first-hand the influence of the billion-dollar behemoth that is SMS marketing. Its secret: Text marketing boasts some of the highest conversion rates in the industry. So yeah… it’s kind of a big deal. 

In fact, many marketers say they favor SMS marketing for three reasons: the size and potential of a mobile audience, robust customer engagement, and high open rates.

Thinking this might be a way to turn up the volume on your conversions? Spoiler alert: IT TOTALLY IS. We’ve done our homework and we’ll answer questions like: 

  • What is SMS marketing?
  • Why SMS marketing?
  • How successful is SMS marketing?
  • What are the benefits of SMS marketing?
  • Is SMS marketing legal? But like, really?

If SMS has you shouting SOS, look no further. 

What is SMS marketing?

SMS (short message service) marketing, also known as text marketing, is exactly what it sounds like: using short, simple text messages to directly reach your consumer to share information like promotions, coupons, campaigns, and relevant, time-sensitive notifications. These timely notifications can range from short-term sales, urgent updates like emergency announcements, appointment reminders, or package delivery updates.  

SMS vs MMS

Think of your two options for text message marketing, Economy and Economy Plus, as you would when booking a flight. Both do pretty much the same thing, one just has a little more leg room. Both have great results. Is MMS worth it? That’s up to you. 

Short Message Service (SMS)

SMS applies the KISS rule. (Keep it simple, Stupid – but don’t worry, you’re Smartie to us) Using SMS marketing allows brands to send clear, concise messaging directly to a client with a very straightforward call to action. For example: “Shop our sale for the next 8 hours only!”

Brands are forced to keep their messaging tidy, as an SMS text message can only contain a maximum of 160 characters, including copy, links, contact info, or emojis. Keep it simple, Smartie.

 

This is 160 characters. Wow! So short! Who knew?! Limelight Marketing Systems would love to chat about starting your SMS campaign. https://bit.ly/4aYIm7y 🤯🤩🤭

 

(See what we did there?) 

Multimedia Messaging Service (MMS)

MMS is SMS with a dating profile, sliding right into your DMs with a spacious 1,600 character limit and a very tasteful image. MMS marketing does all the basics of SMS but also permits adding photos or GIFs to the message in hopes of higher engagement. 

Visuals are very enticing, which is why you’ll find us using emojis all day every day in any texting campaign. 😎 A lot of consumers think so too, which is why MMS messages boast a 15% higher click-through rate than SMS messaging. 

 

This is 577 characters and you can use 1,023 more because we’re using a MMS message instead. Wow! So much space! “There’s so much room for activities!” Who knew? Maybe you are looking for even higher click-through rates, or maybe you just like to use funny, relevant GIFs to show you keep a finger on the pulse of the zeitgeist. Maybe you feel dead inside and a nice cat GIF will bring light to your weary soul. Either way, it’s your prerogative and we don’t judge! Limelight Marketing Systems would love to start your SMS campaign but with a GIF! https://bit.ly/4aYIm7y 🤯🤩🤭

 

If an additional 15% of you could click through, that would be great. 

Why Text Message Marketing?

Are you ready? We’re about to blow your socks off with some SMS statistics. Hold on tight. 

With these statistics, not only will you need to locate some new socks, but you’ll also see that the SMS marketing game can be a highly lucrative one. Another shocking number says it’s a marketing channel that’s seriously underutilized, with only 39% of businesses currently using it. 

And get this: of those 39% of businesses, 65% have no marketing plan for optimizing SMS messaging. If you’re looking for a way to edge out the competition, you found it. 

How successful is text marketing?

All the numbers show just how effective SMS marketing can be. It’s an industry that experts are anticipating will grow by $12 billion by 2025 and part of its success is in its accessibility. 

It’s a lesson in “Give the people what they want.” Most consumers prefer to receive notifications and communication from brands via text over other channels like email, mail, or phone calls. 

In fact, one report shows that 91% of customers are willing to receive texts from brands, and almost half said they already have them. 

What are the benefits of SMS Marketing?

The numbers behind SMS text marketing speak for themselves. If you want higher read and click-through rates, go with an SMS campaign in addition to your other marketing strategies. Taking a holistic approach to messaging, but including SMS, is a great way to miss potential conversions that are falling through the cracks. 

Research shows that consumers are 134% more likely to respond to a text than an email. All of this is reason enough to include SMS in your marketing campaign. BUT WAIT, THERE’S MORE! 

Instant reach 

Part of the brilliance of SMS messaging is its ubiquitous nature. More than 90 percent of the global population has access to a smartphone. That’s staggering. And with such high open rates, SMS marketing is the fastest, most efficient way to communicate with your consumers. 

Personalization

Customizing, personalizing, and segmenting your SMS campaign is one of the most effective ways to leverage this excellent marketing tool. If your audience is easily split into smaller demographics, SMS marketing is one of the best ways to create messages for identifiable attributes of your various groups, such as location, age, gender, job, income, etc. 

Cost

This digital marketing strategy is one of the most cost effective ways for brands to engage with their clients. 

How much does text marketing cost?

While the out-the-door price tag will depend on the SMS software you’re using, industry experts all agree that a SMS campaign is less expensive than other traditional marketing campaigns. Because SMS messaging is so affordable, many companies boast a higher ROI. 

Is SMS marketing legal?

No, so don’t rat us out. Ha haaaaa… kidding. When it comes to your privacy, your security and peace of mind is no laughing matter. 

SMS marketing is absolutely legal as long as you comply with existing text marketing laws. In North America, all commercial text messaging requires a bi-directional communication. That means you can’t hold a consumer hostage with your endless messaging, (I’m looking at you, political people) without giving them an out. Mobile users must be able to text back, asking to stop any future messaging. 

Here’s what you need to know. 

TCPA

The Telephone Consumer Protection Act (TCPA) was originally created to regulate telemarketers but now includes SMS texts as well. 

This act requires transparency from companies to be above board on all their messaging programs. This transparency extends to terms, frequency, and any cost to the consumer. 

Additionally, marketers must receive written consent before sending any promotional messages or materials. A brand can receive this consent by asking customers to subscribe or opt-in by texting a keyword or by filling out an online form and giving consent to receive marketing communication.  

CAN-SPAM Act 

In 2003, Congress passed the CAN-SPAM Act to regulate unwanted commercial messaging for both email and texting. This act prevents consumers from being spammed by solicited or unsolicited messages.

Start an SMS marketing campaign today

If you’re looking to improve your reach, click-through rates, and ROIs, look no further than an SMS marketing campaign. With all the potential, can you afford NOT to? Chat with our team today to get a quote and get your client’s phones buzzing with YOUR message.