SMS 101: How to create an SMS strategy that drives conversions

  • By Acoustic

We’re now seeing more and more consumers prioritize a digital-first experience. In fact, according to Appnovation Consumer research—60% of all consumers say an online experience is more important than an in-person one. As that demographic gets younger (think millennials), that percentage increases to 73%.

When we talk about digital experiences, we mean how you’re interacting with customers across multiple channels—not just your website, landing pages or apps. Mobile and SMS has become a critical part of the digital experience. One of the reasons why is because it’s just so prevalent— 96% of all adults own a cell phone and they check it about 52 times a day!

This reality has created an interesting trend within SMS. The open rates for SMS versus email open rates are significantly higher—95% for SMS/MMS versus 25% for email. One of the great things about SMS is that you’re almost guaranteed the message, if it’s sent to someone that’s a true SMS number, is getting the right eyes on it. On top of that, we’re also seeing significantly higher response rate with SMS. Gartner reports that email response rates are around 6% on average whereas SMS/MMS response rates are upwards of 45%.

The exciting component of SMS is that more people are seeing your messaging faster, and you’re able to elicit responses or drive the right type of behavior at a much higher rate.

SMS versus MMS: What’s the difference?

Short Message Service (SMS)

  • Only supports texts and links
  • Text limited to 160 characters
  • Best for short, triggered or transactional messages such as confirmations and tracking information

Messaging Services (MMS)

  • Supports rich media such a GIFs, images and video
  • Can include more than 160 characters (must be less than carrier size limits)
  • Best for sending branded messages or messages with product images

Whether you choose SMS or MMS depends on the end goal: What type of behavior are you trying to drive? Who is the audience you’re targeting?

Consent is paramount with SMS/MMS. Firstly, you have to go through an approval process. Second, you have to use that process to gain consent from your users—new prospects and existing customers.

A welcome message is a necessary part of the opt-in process, which contains certain language and may repeat the method of opting out or link to the SMS terms and conditions. As your partner, we can walk you through all of the consent requirements to ensure your messages stay in compliance.

Unraveling the different codes needed for SMS/MMS

The successful use of SMS/MMS comes down to understanding the different types of codes based on what you’re trying to accomplish. Do you need a 10-digit log code, a short code or a vanity code?

10-digit long code: Less expensive but use cases can be limited.

Short code: More expensive but can be used for sending a high volume of text messages very quickly.

Vanity code: Primarily used as a way to create brand awareness.

5 benefits of using SMS/MMS to enhance the customer (OR digital) experience

  1. Direct, immediate channel enables real-time engagement for time-sensitive communication
  2. Two-way communication helps to increase customer engagement
  3. Add more profile data and customer information to your database as consumers are much more likely to respond to a survey via SMS
  4. Global reach is accelerated within markets like APAC and Africa that are having their first internet experience with a mobile device
  5. Support and enhance other channels, such as social media and email, to increase conversions

How Acoustic has helped customers make SMS/MMS a successful communications channel

Groupe SEB UK, the world’s largest manufacturer of cookware and small domestic appliances, partnered with Acoustic to create landing pages that encouraged customers to sign up for their newsletter and opt-in for SMS to receive a 25% voucher, which was triggered in real time and sent to their phone while it was still in the store. These real-time triggered messages resulted in a 2.5x increase in the number of newsletter signups. Check out the entire success story here.

A large UK energy service provider worked with us to design a solution to help drive their customers to renew their energy tariffs and reduce their call center volume. They sent their customers a letter informing them of the energy tariff renewals and offered them a new option to renew tariffs by texting the word renew to the dedicated short code. This resulted in a 12% increase in conversions and a reduction of 600 calls to the call center every week.

To learn more about how to use SMS/MMS to increase conversions, watch the on-demand webinar here.

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  • By Acoustic

    Acoustic is a global marketing and customer engagement provider delivering solutions that give brands a deeper understanding of their customers and the ability to act in the moments that matter. Our mission is to help brands build closer customer connections through data-driven visibility and personalized engagement. Our customer engagement, digital analytics, and retail pricing solutions are purpose-built to enable marketers to build, scale, and optimize customer experiences throughout the customer lifecycle, from discovery to post-purchase. With 25+ years of MarTech experience, our team of trusted experts is focused on helping brands across industries exceed expectations and build meaningful, lasting customer relationships.

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