SMS marketing still worth it in 2021?

The good old text message is known to be no longer the most popular communication channel because WhatsApp and Co. have largely replaced them in everyday life. But that doesn’t mean that it should be neglected as a marketing tool.

The SMS was only replaced with regard to private message traffic. According to Bitkom, 12.7 billion short messages were still sent in Germany in 2020. The opening rate is 95 percent within 3 minutes of receipt. This is an extremely high number that clearly speaks in favor of this marketing channel.

Every smartphone receives SMS, but so does every older mobile phone that is still in use. So you can really reach everyone via SMS, directly and without detours. We’ll give you five good reasons why you shouldn’t disregard SMS marketing. I also used these methods to get more visitors to my website kissanime a few years ago and it really works.

An all-round strategy

SMS offers the possibility of all-round coverage of the customer journey and have more on it than it seems at first glance

  • First of all, you have to get an opt-in for SMS communication at all. Essentially, the same measures are used here as in email marketing. The hurdles are a little higher, however, since for many users their own mobile phone number is a much more sensitive date than their email address. In addition, some users do not even know their own number and have to look it up first. Who is calling themselves? Particularly suitable are e.g.
  • Social media campaigns where you encourage your followers to use their mobile phone numbers for a competition or a discount campaign. You can turn your social media followers into SMS contacts without much effort.
  • SMS marketing can also be automated almost as extensively as e-mail marketing. With modern marketing automation solutions, SMS dispatches can be linked to a wide variety of triggers, so that the dispatch e.g. triggered by certain customer behavior (such as a purchase or filling out a website form) or at a defined time (such as the customer’s birthday). Integration with email marketing and other digital dialogue channels is also possible. E.g. a customer who does not open an e-mail after a certain time (e.g. two days) can be sent an SMS instead. You can find suggestions for various marketing automation applications in our whitepaper: 14 templates for marketing automation.

With SMS Marketing, customers can be accompanied on their way along the entire customer journey. There are a number of use cases that can be useful here:

  • If an event or a time-limited campaign is pending, a reminder SMS can be sent shortly before the date in order to generate the highest possible participation rate.
  • Short-term discount campaigns or coupons for certain products and services are mostly noticed immediately thanks to the almost perfect opening rate.
  • Customer satisfaction surveys can be sent and contain a direct telephone feedback channel. The customer can quickly and easily give feedback or clarify any open questions.
  • Banks often use SMS as a tool to make banking transactions easier and safer. A transfer is made in online banking and this is the trigger for an SMS that sends a mobile TAN number. For purchases made online, clicking the “Buy” button can be the trigger for an order confirmation SMS. In general, transaction communication can also be handled via the SMS channel.
  • Customers who have been inactive for some time can be reactivated by referring to previous purchases or activities and presenting appropriate offers.

Mail-order companies can offer order tracking via SMS to give customers the ability to track their delivery and plan its arrival so that it fits into their daily routine.

  1. Different people have different needs

For this reason, segmentation through to very specific personalization is also essential in SMS marketing. The same criteria can be used here as in email marketing. The whole thing is explained here using the example of car manufacturers:

  • Geolocation helps to identify location-specific differences and to adapt them accordingly. If, for example, a car manufacturer analyzes geodata, it can use it to adapt its offerings to the needs of its customers in different areas. In wooded, natural areas, more off-road vehicles are probably needed than chic sports models. In densely populated urban areas, people may be more likely to need small cars and there are many families in suburbs and housing estates who need large models with lots of seats.
  • Age in particular can help adapt offers from the pool of demographic data. Is there a special model that has been developed for a young target group? The generated data help to identify these from your customers and leads and to advertise this product in a targeted manner. The other way around, models for older people who want to get in and out comfortably. Here, too, the campaign can be tailored to suit the age.
  • Of course, the success of SMS marketing also depends on whether gender-specific content is conveyed appropriately. Self-employed, working women have also come into focus as a target group for the auto industry. A study by the Center of Excellence for Women and Cars at the Mittelrhein University of Applied Sciences has shown, for example, that women tend to pay more attention to functionality when buying a car, to plenty of storage space and parking aids. Men, on the other hand, want technical equipment such as hands-free equipment, a good sound system, and air conditioning. Such information can be used for SMS campaigns and suitable offers can be formulated.

Lastly, previous purchasing behavior can also help to specialize in the campaign in terms of budget, purchasing habits, and frequency. Anyone who has bought a high-priced car most likely places a certain value on luxury and status. Based on this purchase decision, you can send follow-up offers that are interesting for customers with a large budget and suggest a certain status.

  1. The sound makes the music

SMS offers more potential than it might seem at first glance. Do you want to sell your customers building society contracts or send them discount codes for the latest fashion trends? Adjust the tonality to suit the occasion.

  • Addressing the customer by their first name shows a certain degree of familiarity and signals a personal relationship. On the other hand, a company should of course greet a business customer with whom it has a formal relationship with the appropriate salutation.
  • Instead of a number, you can program the brand name as the sender, so that the customer knows immediately whose message he is receiving and is not put off by unknown numbers.
  • Getting to the point, but still incorporating the important details, that is the art of marketing via text message. If you want to inform us about a special offer or a discount campaign, then you should let us know what exactly the campaign relates to. Product range, period and instructions for applying the discount are, for example, absolutely necessary details. Due to the limited space, you should post further information, if at all, on a landing page to which you link in the SMS via a call-to-action. Curiosity can be aroused with a teaser, but the customer should be persuaded to follow the link and not be overwhelmed by details in the message in text format.
  • If you want to promote offers and discount campaigns, the use of Power words such as “free”, “exclusive” and “sale” is a success booster given the limited scope of the messages.
  • Capital letters as a highlighter for certain passages are also an eye-catcher, but one should not overuse them. Otherwise, the customer might feel like they are being yelled at.

(Disclaimer: This is Guest posts, it can be represent the diversity of opinion within the CoreVoila. The views and opinions expressed in these articles are those of the author and do not necessarily reflect the official position of ‘CoreVoila’ who shall not be held liable for any inaccuracies presented. The methodologies of all guest posts, may not reflect strategies recommended by CoreVoila. Permissions: The author of any post presented on this site is responsible for obtaining all necessary permissions for publication.)

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