Updated April 24, 2024
SMS campaigns can be a powerful tool for businesses. Discover the basics of SMS marketing and how to hire a trusted marketing agency to elevate your strategy.
Everyone owns a cell phone - but does your business realize that it is the perfect marketing channel? Going beyond social media marketing, the best way to spread awareness regarding your business is through SMS marketing.
In a world of constant connectivity, SMS (short message service) marketing has emerged as a powerful tool for businesses that are looking for direct and impactful communication with their audience.
Leveraging the immediacy of text messaging, companies can engage customers, drive conversions, and foster lasting relationships like never before.
Whether you're a seasoned marketer looking to enhance your strategy or a business owner looking to explore the potential of SMS campaigns, this guide is designed to equip your team with the right knowledge to make an informed decision when selecting an SMS marketing service provider.
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What is SMS Marketing?
SMS Marketing: A form of marketing that reaches customers through text messages.
SMS marketing is a permission-based communication model, meaning businesses can only send messages to those who give their consent to receive them. Businesses can share different types of messages with their customers while creating a personal connection. It is a great way to reach target audiences with clear and concise messaging.
Since these customers need to opt in, they are generally the most active and loyal customers. Companies just need to focus on keeping their attention.
Many platforms complete their service, but working with an SMS marketing agency removes the heavy lifting. By hiring one with the right expertise, your business can leverage text messaging as a strategic marketing tool.
Some of the tasks of an SMS marketing service include:
- Campaign & automation management
- Content creation
- Analytics & reporting
- Building a mobile database for contact lists
- Ensuring pages are optimized for mobile use.
- Selecting the correct platform and tools.
- Protecting client reputation
SMS marketing can help drive engagement, boost conversions, increase brand awareness, and enhance customer relationships. By enlisting the services of an SMS marketing agency, businesses can tap into their expertise and resources to achieve these goals and unlock the full potential of SMS as a valuable marketing channel.
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5 Benefits of SMS Marketing Services
SMS marketing differs from other traditional advertising techniques because it allows companies to connect directly with customers. This is just one of the many benefits companies can find by using SMS marketing as a strategic tactic.
Here are some of the biggest reasons companies invest in SMS marketing services:
- Builds customer loyalty. SMS marketing sends personalized messages and offers to customers, making them feel valued while increasing their chances of returning to your business.
- Increases engagement rates. SMS messages have higher open rates than other marketing channels. With personalized alerts directly sent to their phones, customers are more likely to take action. Moreover, some systems allow customers to reply to SMS, opening up more opportunities for engagement and can even help your business create suppression lists.
- Collaboration with other marketing channels. SMS marketing works with other marketing channels. For example, you can use SMS to increase email newsletter subscribers or advertise a sale on social media.
- Increase revenue. SMS marketing can boost revenue by driving traffic to your business. SMS messages can promote sales and remind customers to complete their purchases after cart abandonment.
- Cost-effective. Compared to other forms of marketing, SMS is one of the less expensive forms of outreach. Text messages require minimal investment and can be sent in bulk without spending much money.
4 Types of SMS Marketing Messages
Businesses must follow important regulatory requirements when using SMS marketing.
To ensure SMS marketing compliance, agencies should:
- Avoid misleading or deceptive content
- Provide identification with the purpose of the message
- Provide clear and easy opt-out options
- Respect time restrictions and other factors for sending messages
After all requirements and considerations are in place, businesses can send out different SMS marketing messages based on their needs and goals.
Here are the four popular types of SMS marketing messages your agency can craft and manage for your business. Explore the different types, their benefits, and more below:
- Promotional
- Transactional
- Conversational
- Broadcast
Promotional
Promotional SMS messages are a powerful tool in marketing campaigns. These messages are designed to generate interest from target audiences.
These messages can include special offers like discounts and coupons. With compelling CTAs, your business can drive more people to your website to make a purchase or complete another action.
Promotional SMS campaigns are easily trackable, allowing businesses to monitor performance metrics such as delivery rates, open rates, click-through rates, and conversion rates for optimization.
By consistently sending promotional messages, businesses can increase brand visibility and reinforce brand recognition among their target audience.
Transactional
Transactional SMS messages are typically sent in response to an action. For example, appointment reminders and shipping notifications are the more popular types of transaction marketing messages.
These messages are generally timely, meaning they have a higher open rate than most. By keeping customers informed about their transactions in real-time, businesses can enhance the overall customer experience, increasing satisfaction and loyalty.
Transactional SMS messages may include calls to action that prompt customers to take specific steps, such as confirming orders, providing feedback, or completing transactions, leading to higher engagement rates.
Businesses can also leverage data from these messages to craft content for other messages. For example, if you order a new sunscreen, the company can recommend other skincare items that might match your expectations.
If transactional SMS messages are used effectively, businesses can establish trust, streamline operations, and enhance customer satisfaction.
Conversational
Conversational SMS messages are designed to create interactive and engaging communication experiences between businesses and customers.
Conversational SMS messages mimic just that – conversations. Using AI for lifelike communication, businesses can mimic human conversation with back-and-forth responses between your company and customers. These communications are meant to be more personalized and interactive.
Businesses use conversational SMS messages to offer real-time support, answer customer queries, assist, and address concerns promptly.
Conversational SMS messages can guide customers through transactions, bookings, reservations, or appointments via interactive conversations, enhancing the overall user experience. These messages can also be used to collect customer feedback through surveys, polls, or open-ended questions, allowing businesses to gather valuable insights for improvement.
Broadcast
Broadcast messages are also known as "mass texts." This messaging service facilitates effective communication with a large group of individuals simultaneously, ensuring that important information is disseminated quickly and efficiently.
These messages can be promotional, but can also provide updates regarding new products, company information, and more.
Sending broadcast SMS messages is a cost-effective way to reach a wide audience compared to traditional advertising methods, offering a high return on investment.
Common KPIs for SMS Marketing Services
Monitoring the performance of SMS marketing campaigns is essential for evaluating the effectiveness of SMS marketing. By tracking KPIs regularly, businesses can optimize their strategies, find areas for improvement, and more to ensure the success of their SMS marketing efforts.
Here are the top KPIs to consider when assessing the performance of SMS marketing services:
- Delivery Rate: The delivery rate is the percentage of SMS messages successfully delivered to recipients. When messages are delivered successfully, this ensures the intended audience is reached and that the service is reliable.
- Opt-Out Rate: This is the percentage of recipients who open and view the message. This reflects the level of interest among your target audience, which can help gauge the effectiveness of the messaging and content.
- Conversion Rate: This metric tracks the number of recipients completing a desired action after receiving the message. This could include making a purchase or signing up for a service.
- Open Rate: The number of people who open and view the message, which could also reflect engagement levels.
- Engagement Rates: This metric measures how actively your target audience is engaging with the messages beyond opening them. This could be response rate, forward rate, or another level of engagement that is essential to your company.
What is an SMS Marketing Team?
An SMS marketing team is a group of professionals dedicated to planning, executing, and optimizing SMS campaigns to drive engagement, conversions, and brand awareness through text messaging. Here are some of the most common roles that make up an SMS marketing agency:
Who Makes Up an SMS Marketing Team?
- SMS Marketing Manager: This manager oversees the overall execution and strategy of SMS campaigns, setting objectives, analyzing performance metrics, and ensuring compliance.
- Account Manager: The account manager is the primary point of contact between the agency and the client.
- Campaign Coordinator: This individual assists in coordinating and scheduling SMS campaigns, managing subscriber lists, and implementing segmentation strategies.
- Content Writer: The content writer creates persuasive messages that should be impactful but adhere to any compliance regulations or word count.
- Data Analyst: This person interprets campaign data to provide insights to optimize SMS strategies. They can provide adjustments while identifying trends.
- Technical Support: This individual or set of individuals assists with SMS platforms, troubleshooting any technical issues, optimizing any automated workflows, and helping with platform functionalities.
What To Look For When Hiring SMS Marketing Services
Having direct communication with consumers is more important than ever. Hiring an SMS marketing team has become essential for these marketing functions.
Hiring an SMS marketing provider who understands the technical aspects and crafts creative copy that resonates with recipients is key. To attract the right fit for SMS marketing, companies need to articulate their goals and highlight what specific skills are needed. All objectives for the project need to be clearly outlined to help source the right partner.
Along with the right skill set, your team should work with an SMS marketing team that is knowledgeable about the compliance involved with this marketing style, along with knowledge of your industry.
Check the provider's track record for delivering messages promptly and reliably to ensure your messages reach your audience on time. It is also important to evaluate their level of customer support and how they will fit culturally within your company's environment. All of these factors can be evaluated by researching their past clients.
The ideal SMS marketing agency has a team full of technical experts with marketing expertise and strategic thinking.
Criteria for Hiring an SMS Marketing Agency
- Budget
- Industry experience
- Customer support style
- Past clients
- Technology and tools
- Other service offerings
What Matters to You Most in SMS Marketing Services?
When selecting an SMS marketing agency to partner with, it's essential to consider all of your company's needs to ensure your team is making the right choice.
Look for an agency that can tailor SMS campaigns to suit your brand voice, target audience, and marketing objectives. Ensure their communication processes and levels of support to ensure a mutually beneficial partnership.
By conducting thorough research, businesses can confidently select an SMS marketing agency that aligns with their goals, values, and expectations, ultimately driving successful SMS campaigns and fostering customer engagement.
Here are a few questions you should ask when interviewing SMS marketing service providers:
10 Questions to Ask When Hiring SMS Marketing Services
- What experience do you have implementing SMS marketing campaigns?
- Do you have experience working with similar clients in our industry?
- Can you provide case studies from previous clients?
- Can you provide insights on audience segmentation and targeting strategies?
- What tools and technologies do you use for SMS marketing?
- What level of customization can you offer for SMS content?
- How do you measure SMS campaign performance and ROI?
- How will you integrate SMS marketing with other marketing channels?
- What support and communication channels do you provide?
- What is your company's pricing structure?
Asking these questions when hiring SMS marketing services can provide valuable insights for your engagement. All teams must be compatible when starting this type of engagement.
Conducting Your Journey to Effective SMS Marketing Solutions
As you navigate the landscape of SMS marketing services, leverage the insights gained from this guide to streamline your decision-making process and establish a fruitful partnership that propels your brand forward.
Embrace the power of SMS marketing to engage your audience, boost conversions, and cultivate lasting relationships with your customers.
Consider factors such as expertise, pricing structure, and collaboration style when evaluating potential SMS marketing partners. Prioritize your brand's needs throughout the selection process.
By following the guidelines outlined in this hiring guide, your company will be better equipped to make informed choices that align with your business objectives while driving tangible results.
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