How do we know SMS marketing works?

How do we know SMS marketing works?

Did you know that in 2017, around 470 million text messages have been sent in Ghana? That’s a a growth of 21.7% from the 386 million in 2016. In fact, Jumia’s Annual Mobile Report 2018 predicts there will be 40 million mobile phone users in Ghana by 2020. That’s why it’s no surprise more and more companies are focusing their marketing efforts on mobile platforms via text messaging. Coca Cola, for instance, allocates up to 70% of their mobile marketing expenses on SMS marketing.

So what makes SMS marketing such an effective tool for businesses?

#1. SMS is directly sent to the target audience

Research found that 99% of sent SMS are opened by recipients, with most of them being read within 90 seconds of being sent. On the other hand, only 28-33% of emails are opened by their target audience.

This is because only 4 out of 5 emails sent from commercial email addresses are successfully delivered to the recipient’s inbox. Moreover, a normal office worker usually receives 121 emails per day, on average. This influx of emails and low open rates make it very easy to have your emails buried in your inbox and left unread for weeks or months, unlike a text message.

#2. Text messages have high conversion rates

Expect immediate response from customers when you send out a sales promotion or an announcement of a new product through SMS. The same study found that text messages have a conversion rate of 36%, compared to email’s 6-7% conversion rate. A well-known example is Pizza Hut’s SMS campaign. In a previous post about why businesses should adopt an SMS marketing strategy, we discussed how SMS marketing allowed Pizza Hut to gain higher incremental revenue. This was because SMS enabled them to send messages at specific times, for example just before lunch or dinner time, to incentivize customers to purchase more than intended.

#3. SMS improves the effectiveness of other marketing channels

Despite the aforementioned benefits, you should never completely replace emails with text messages. Instead, you should use it to compliment other sales/marketing efforts. For instance, send an SMS that says “please check your email for more information” to boost your email open rates.

SMS campaigns can also increase in-store and online purchases, which was the case for Kiehl’s as they found 73% of their opt-in customers making purchases after receiving coupons through their SMS campaign.

How should I devise my SMS marketing strategy?

Before you start spamming your customers with text messages, here are four tips to keep in mind when formulating your strategy.

  • Keep your call to action messages clear and simple - Remember, you only get 160 characters for each text message. Instead of explaining how great your product is, incentivize your target audience by using coupons or announcing a surprise sale.
  • Personalize your messages - People are more likely to open and read an SMS that directly addresses them by name.
  • Include short, trackable URLs - These links not only let your recipients learn more about your product or service, but also let you measure clicks and bounce rates.
  • Send only 4-6 messages per month - Sending more may devalue your SMS campaigns and annoy recipients.

Sending well-targeted text messages are easy when you adopt Zentech I.T Solutions’ Bulk SMS. You’ll be able to reach countless recipients in one go, schedule each SMS to your preferred time, and even create custom messages with unique names and details that can be sent in bulk.

Zentech I.T Solutions also offers a wide array of SMS solutions that can maximize the effectiveness of your SMS marketing strategy. If you are looking for an IT Services provider in Accra that offers comprehensive SMS services, contact us today.

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