SMS marketing is a modern, effective marketing strategy for businesses of any size. It is a modern technology that revolutionizes companies’ communication with clients and customers with effective SMS message open-rate results. 

SMS is an Instant and direct communication that helps to reach potential buyers and grab their attention quickly. It is a cost-effective marketing strategy but slightly more expensive than email marketing. 

Furthermore, SMS marketing has a higher open rate and click-through rate than email marketing.  In this blog, we’ll explore the top 7 SMS marketing trends you need to know in 2024 that can enhance business communication effectively.

🔑 Key Highlights
  • SMS marketing has a higher open rate and click-through rate compared to email marketing, with 98% of messages opened within two hours of being sent.
  • Personalized SMS messages enhance customer engagement and loyalty by making recipients feel valued.
  • Segmenting and targeting customers based on demographics and behaviors increases the relevance and effectiveness of SMS campaigns.
  • Integrating SMS with other marketing channels, such as email and social media, broadens reach and creates connected campaigns.
  • AI in SMS automation improves personalization and response management, and 10-DLC ensures compliance with carrier regulations for higher message delivery rates.

What is SMS marketing?

What is SMS marketing?

SMS marketing, aka Short Message Service marketing, is a digital marketing campaign in which businesses send promotional messages, updates, or news via text to customers’ mobile devices. It is permission-based marketing, which indicates that messages can be sent to only those groups of people who have given their permission to receive them. 

SMS is a powerful communication channel for small and medium-sized businesses that facilitates remote communication. It is also a marketing statistic for startups and contact center businesses as it is a cost-effective advertising space. Additionally, SMS campaigns can be carried out to reach loyal customers without investing in expensive production. According to the global communication platform Kaleyra, SMS messages receive a higher opening rate than emails. Within two hours of sending an SMS, 98% of messages are opened. 

Message marketing will help your company advertise its products, services, or events through customized messages and generate winning sales. Also, sending personalized messages makes the targeted audience feel valued. It can lead to building a positive customer relationship, and successful SMS marketing will simultaneously help your business return on investment (ROI). 

What are the types of SMS marketing messages?

There are different types of messages, and the most popular ones are:

What are the types of SMS marketing messages?

1. Promotional SMS Marketing

The most common type of Short Message Service (SMS) campaign is promotional messages. These are informational messages sent by businesses that explain ongoing sales, deals, the availability of new products, or an upcoming event. The primary purpose of these messages is to promote a brand, product, or company and generate sales and customer loyalty. 

2. Transactional SMS Marketing

A transactional message is a non-marketing automated text message you receive after purchasing or signing up for something. These messages are sent to consumers in real-time to support their journey and enhance their experience. Purchase confirmations, greeting text messages, and shipping updates are a few examples of transactional messages. 

3. Reminder SMS Marketing

A reminder message is a message businesses send to remind customers about appointments, due dates, late payments, or missed deadlines. It is a valuable tool for small and medium-sized companies to follow up on registration and minimize no-shows and last-minute cancellations. Besides ensuring successful appointments, follow-up messages also improve consumer experience. 

4. Broadcast SMS Marketing

Sending a single message to a list of contacts and clients simultaneously is called broadcast messaging. It is also called one-to-many communication, which allows the organization to select the lists and marketing preferences to which it wants to send the message. The organization can also send a single bulk text to a single contact. 

Businesses looking to make the most of this SMS marketing should stay informed about the latest trends. Let’s take a look at SMS marketing statistics and trends this year:

I. Personalized SMS Messages 

The secret to successful SMS or text marketing trends nowadays is making every message feel like it’s made for the individual person reading it. 

With all the latest data analytics and integration tech, businesses can make a real connection through SMS marketing. Add a personal touch like using the customer’s name, bringing up their last purchase, or sending offers that match their recent online browsing.

Personalized messages don’t just sell, but they make SMS recipients feel valued. 

When a business consistently delivers outstanding and personalized customer support service, 93% of customers are more likely to return for more purchases. 

Use dynamic content in your messages, where certain parts of the message automatically change based on the recipient’s data. For example, include a first name, reference a recent interaction, or suggest products similar to those previously bought. 

II. Segmentation and Targeting 

Customer segmentation and targeting are key strategies in marketing that allow your messages to reach the right audience. 

Targeted messaging ensures that your SMS campaigns are relevant to the recipients. This relevance boosts the chances of engagement by sending tailored SMS to customers who are more likely to respond to content that aligns with their needs and preferences. 

Divide customer base into specific segments based on demographics, buying behaviors, or engagement levels. Then, tailor your messages to resonate deeply with each group. For example, sending special offers on sports gear to customers who have purchased athletic products shows that you understand and cater to their interests.

Textellent’s automated SMS campaigns feature flexible tags that allow you to categorize contacts based on detailed criteria such as their purchasing behavior, event attended, interests, or any other custom tag relevant to your business. 

Once tagged, automating text blasts becomes simplified. Based on the tags assigned to each contact, you can set up group messages or schedule highly relevant recurring text blasts.

III. Integration of SMS with Other Channels

Approximately 70% of consumers will likely increase their spending with brands that effectively implement a smart omnichannel strategy. Emails are great for sending detailed information, but SMS is perfect for quick reminders, flash sales, and promoting exclusive offers to a targeted group of customers.

Businesses can broaden their reach by integrating SMS with various marketing channels, such as email and social media. Linking SMS with your social media also lets you create connected campaigns that reach people in different ways and generate opportunities for prospects to opt in to learn more via text.

IV. AI in SMS Automation

Many business leaders frequently become strong proponents of integrating generative AI within their organizations. With AI, businesses can automate their text messaging in ways that connect with each customer personally.

For example, Artificial Intelligence in customer service can query a keyword to discover someone’s full name and zip code for service interest.

Another example is AI distinguishing between a client saying thank you or asking a question. This ensures an appropriate response is sent. AI can also perform sentiment analysis. When a prospect doesn’t use “STOP” or “UNSUBSCRIBE,” AI detects opt-out intentions.

If people text, “I had a bad experience,” it suggests they want to stop receiving messages. The AI platform can automatically opt them out and alert you to address their concern directly.

These are great uses of AI texting, and as SMS marketing campaigns grow, AI can effortlessly scale to handle increased volumes without compromising message quality or personalization. AI-driven systems adapt quickly to a small local campaign or a large global initiative.

V. 10-DLC SMS messaging

10-DLC uses standard 10-digit phone numbers to send commercial bulk SMS or text marketing messages. The 10-digit phone number system allows businesses to communicate effectively with customers via text while preventing spam.

10-DLC systems are designed to ensure businesses comply with carrier regulations so that their text messages will not be blocked, undelivered, or labeled as spam. Businesses must submit the proper information to the 10-DLC registry through their text messaging vendor so that they can rely on timely and guaranteed message delivery.

Registering and maintaining 10-DLC registration is typically free and easy with a reliable text messaging vendor. Once approved by the carriers, you can start sending texts to customers. Carriers will first want to understand your campaign types, and they also need to know how you gathered your opt-in list. 

Your legitimacy established by the carriers means higher delivery and open rates. This makes your message delivery more effective and makes the SMS marketing campaign successful.

Plus, the credibility of the 10-DLC SMS messaging process can improve the overall effectiveness of your SMS marketing strategies.

VI. Rich Communication Services (RCS) Integrations

RCS is a communication protocol between mobile phones and carriers or telecommunication providers that will further expand text messaging functions with more versatile and interactive capabilities.

It supports features like reading receipts, typing indicators, high-resolution media sharing, and more. While this is not yet available for text messaging platforms in the U.S., it is expected by year-end.

VII. SMS and MMS Campaigns

MMS and SMS campaigns work so well because they invite two-way conversations. Unlike traditional marketing, which typically involves sending information in one direction, texting creates a two-way dialogue.

Elements like animated gifs, short videos, and fun images can encourage more engagement. These make texting campaigns more fun and engaging, increasing customers’ likelihood of participating.

Your business customers are inclined to remember and respond positively to a message they find inviting and fun.

FAQs

How can I personalize SMS marketing messages at scale? 

Marketing platforms with data integration can personalize messages with customer names, purchase history, or targeted offers based on preferences.

Is SMS marketing still relevant in 2024? 

Absolutely! SMS cuts through the noise of crowded inboxes and social media feeds. With the rise of platforms like RCS, SMS marketing is becoming more interactive and engaging than ever.

What are the benefits of SMS marketing? 

SMS marketing reaches customers directly on their phones, resulting in high open and response rates. It’s also cost-effective and allows for quick, targeted communication.

Prasanta Raut

Prasanta is the founder and visionary CEO of Dialaxy. He is on a mission to redefine the landscape of SaaS solutions, infusing creativity and ingenuity into every aspect of Dialaxy’s offerings. His fervent dedication to simplifying sales and support processes drives Dialaxy’s forward momentum, delivering unparalleled value to businesses of all sizes. Embark on a transformative journey with Prasanta and Dialaxy as they pave the way for a new era of sales and support excellence.

Prasanta is the founder and visionary CEO of Dialaxy. He is on a mission to redefine the landscape of SaaS solutions, infusing creativity and ingenuity into every aspect of Dialaxy’s offerings. His fervent dedication to simplifying sales and support processes drives Dialaxy’s forward momentum, delivering unparalleled value to businesses of all sizes. Embark on a transformative journey with Prasanta and Dialaxy as they pave the way for a new era of sales and support excellence.