SMS Marketing: How to Boost Engagement and Drive Sales

Short message service (SMS) campaigns have proven to be one of the most effective direct marketing channels for improving customer experience, boosting engagement, and driving conversions. 

In fact, SMS has become many people’s preferred way of interacting with their favourite brands.

But as with all marketing channels, there is both an art and science to crafting effective SMS messages. 

In this guide, we’ll share real-world SMS marketing examples from top brands and provide best practices and strategies for using SMS to achieve your business goals.

 

Why SMS Marketing Works

Before diving into examples, let’s look at a few key reasons why SMS is such a powerful engagement channel:

  • High open rates: SMS messages have an average open rate of 98%, compared to just 20% for email.
  • Immediate delivery: 90% of SMS messages are read within 3 minutes of being received.
  • Strong preference: 75% of millennials prefer SMS communications for deliveries, promotions, and surveys.
  • High ROI potential: SMS has the highest engagement rate of any marketing channel, with 6-8x higher engagement than email.

When used strategically, SMS marketing can be an extremely effective way to reach and engage your target audience. Now let’s look at how leading brands are putting this channel to use.

 

Real-World SMS Marketing Examples

Here are 3 real-world case studies of how companies have used SMS marketing to drive sales and engagement:

Seattle SunTan

Seattle Sun Tan created an SMS campaign that generated $196,000 in sales. The company integrated SMS with its customer relationship management (CRM) system, which allowed them to send highly targeted promotions. This integration with CRM enabled them to segment and target audiences more effectively, significantly enhancing the impact of their marketing campaigns [source].

Ikea 

Ikea implemented an SMS campaign that led to an 11% increase in in-store traffic. The campaign targeted specific geographic areas and included special in-store offers. This demonstrates how SMS marketing can be a powerful tool for encouraging in-store visits, especially when using location-based targeting to send relevant offers to potential customers in the vicinity [source].

Coca-Cola

Coca-Cola launched a mobile marketing campaign, of which SMS marketing was a significant component. The company attributed 70% of its mobile campaign’s return on investment to SMS marketing. This example highlights the potential of SMS marketing as a core component of a broader mobile marketing strategy. By integrating SMS into wider mobile campaigns, businesses can significantly increase their return on investment [source].

 

SMS Marketing Best Practices

Now that you’ve seen SMS in action, here are a few best practices to keep in mind as you build out your own campaigns:

Get Opt-In Consent

Before sending any SMS marketing messages, you must receive explicit consent from recipients. This means having them physically opt in to your SMS list, either by texting a keyword to a shortcode or entering their phone number in a web form. Failure to obtain proper consent can result in hefty fines under the TCPA and other regulations.

Keep Messages Short & Sweet

With SMS, you have just 160 characters to get your message across. Keep your texts concise, conversational, and focused on a single call-to-action (CTA). Use URL shorteners for any links to save character count.

Provide Value

Every SMS you send should provide clear value to the recipient, whether it’s a discount code, an exclusive offer, or a useful piece of information. Don’t send texts just for the sake of it – make sure there’s a compelling reason for the recipient to engage.

Make Opting Out Easy

Just as recipients need to opt in to your SMS list, they need to be able to easily opt out at any time. Include clear instructions for unsubscribing (e.g. “Text STOP to unsubscribe”) at the end of each message. Promptly honor any opt-out requests to stay compliant with regulations.

Test, Measure & Optimize

As with any marketing channel, continuous testing and optimization is key to SMS success. A/B test different elements like offers, messaging, and send times to see what resonates most with your audience. Measure performance metrics like open rates, click-through rates, and conversion rates, and use those insights to optimize future campaigns.

Getting Started with SMS Marketing

Ready to start connecting with customers via SMS? The first step is choosing the right SMS marketing platform for your business. Look for a platform that offers key features like:

  • Two-way messaging
  • Message automation & scheduling
  • Subscriber list management
  • Performance reporting & analytics
  • Integrations with your other marketing tools

Here at 160.com.au, we offer all of the above and more. Our SMS marketing platform makes it easy to build and send engaging SMS campaigns that drive results for your business. Sign up for an account today and start connecting with customers in a whole new way!