Exploring SMS Engagement Tactics and Creating Messaging that Matters

Effective customer engagement is about achieving a direct connection with the client and reaching a consensus on a personal level. SMS, with its opening rating and cost-efficiency, is perfectly spot on.

According to the latest research, 80% of consumers check notifications on their phones within the first five minutes. In addition, almost half of Generation Z checks them every 10-20 minutes. But while a high level of SMS engagement can be ensured, what about potential sales? What if a single text could ignite an indelible bond with your customers?

Engagement directly depends on communication, even if it is difficult at first, it is through regular interaction that you can build trust and loyalty. So don’t just send a message — start a dialogue.

The Importance of Timing and Relevance in SMS Engagement

We all know that SMS marketing is fast, so engaging with your customers via SMS should be a key part of your strategy. And speed is key – the average response time to a text message is just 90 seconds, making it the fastest way to engage with your audience.

➥   Recent statistics show that 90% of people read a text message within the first 3 minutes of receiving it.

Reinforcing order updates, purchase or activity updates, appointment reminders, and especially, instant responses to customer inquiries demonstrate your reliability to customers. Custom SMS content that the customer enjoys creates a memorable moment. And to continue its effect, you should focus on key SMS community engagement indicators.

Tracking SMS engagement metrics is crucial for understanding how your messages connect with your audience and whether they’re delivering results — after all, you can’t improve what you don’t measure. Without this process, it’s hard to understand whether you’re achieving the results you’re working for.

Analyze key metrics to get the full picture of what’s happening within customer engagement in SMS:

• Open rate — the percentage of recipients who opened your SMS message.
• Click-through rate — the percentage of users who clicked on the link in the message.
• Conversion rate — the percentage who took the desired action after clicking.
• Delivery rate — the percentage of messages successfully delivered.
• Opt-out rate — the percentage of those who unsubscribed from the newsletter.

For a quick overview of how to track your SMS marketing performance, I cover key metrics like delivery rates, CTR, and conversions in the full guide here.

In addition, do not forget that SMS engagement is not just an advertising tool, it is a communication channel and a collection of valuable information. You have the opportunity to track customer satisfaction using SMS. How? Send feedback requests, surveys, etc., which will give a direct idea of whether customers are satisfied or not.

Key Benefits of Customer Engagement in SMS

Unmatched benefits abound from SMS marketing; the results of the PwC Mobile Messaging Adoption Report 2021 confirm its importance. Many businesses choose SMS engagement to increase cash flow, enable quicker customer outreach, and help reduce operational costs.

SMS engagement is becoming popular in more and more industries for campaign optimization.

SMS engagement rates are the highest in the financial and communications sectors.

Explore three main reasons to improve your customer engagement in SMS campaigns.

Instant Communication

The ability to provide instant communication is the main advantage of customer engagement in SMS. We have already discussed how SMS message campaigns differ from email ones in terms of speed and efficiency of interaction.

Source: Text Your Way To Success: How SMS Marketing Drives Business Growth

SMS is associated primarily with speed, but now also with efficiency of interaction, as 98% of messages are opened and 10.66% receive conversions, which significantly exceeds the efficiency of email. While email and instant messaging apps — WhatsApp and Facebook Messenger — have many advantages for businesses, SMS keeps the crown.

Personalization and Digital Engagement SMS

When customers feel valued, loyalty increases, it’s a simple rule. Their preferences and behaviors directly influence SMS engagement, and to improve the situation, the goal is to add personalization. For example, sending customers birthday greetings or personalized product recommendations using AI.

Two-Way Communication for SMS Digital Engagement

SMS engagement allows you to create an individual space for each client, where they can always get help and support.

To conduct continuous and effective communication, it is important to adhere to several things:

• Speed of response
• Constant interaction
• Transparency in communication

You can use a real number for such conversations, which will improve and strengthen the connection with the brand and your audience.

Phonexa offers eight performance marketing solutions that improve communication and customer loyalty.

Build your plan now, or take a product tour to learn more about Phonexa.

SMS Use Cases for Customer Engagement Success

SMS messages consumers enjoy:

Here are use cases for SMS marketing engagement, ensuring that your campaigns resonate with your audience:

Upselling Campaigns

Offer customers, products and services in special formats, such as premium versions of products they already use. In SMS messages, briefly tell about expensive but improved products. Despite the high price, the speed and accessibility of information via SMS motivates people to buy.

For instance, when a user views a hotel on Booking.com, the platform might suggest nearby accommodations with better reviews or upgraded amenities.

Discounts and Sale Events

Sales and discounts are the perfect storm for unbeatable deals, which makes them a popular SMS and email customer engagement solution. When combined with email and social media, these SMS messages are particularly effective. First, they create a sense of urgency, which usually speeds up the purchase. Second, they can increase conversions and increase revenue.

Order Status Alerts

Notification that the product has been shipped, arrived at the warehouse, or is ready for pickup adds confidence to the customer and the brand. The more satisfied customers are, the fewer support requests they will have because they trust the brand.

Abandoned Cart

SMS engagement excels in situations when it’s essential to remind customers about their incomplete purchases or registration. For example, you can send an engagement invitation SMS or automatic reminders with special promotions, discounts, and offers that would bring the buyer back.

Seasonal Promotions

Customer engagement in SMS is most effective during special events and holidays like Black Friday or the New Year. Businesses should consider all popular local holidays and create effective SMS campaigns. These personalized messages should include tailored offers based on customer behaviors.

Reengagement SMS Campaigns

Bring inactive users into the fold using SMS engagement. This is effective even with those who are no longer interested and haven’t interacted with your brand in a while. Examples include special offers or new products to encourage users to come back.

App Onboarding Campaigns

You can use SMS to remind users about your app and its benefits. By increasing the number of downloads, i.e., those interested in your app, the higher the conversions and SMS engagement rates.

Cross-Selling

If your brand has a large product range, use SMS to encourage customers to try your new products or upgrade to old ones. Sending such personalized offers based on previous purchases or views increases the average check.

Time-Sensitive Messages

SMS is a highly interactive channel, and it lets you quickly and effectively deliver important information to your customers, ensuring issues are resolved in time.

The following five industries stand out for achieving the highest response rates with SMS:

Service Continuations

The last resort is SMS subscription renewal reminder campaigns, which are no less effective in attracting customers and preventing their churn. Use discounts or special offers for those who are ready to renew their subscription, and send it via SMS or email.

Exploring Consumer Perspectives When Using SMS for Customer Engagement

An impressive 92% retention rate confirms that SMS engagement is a great tool for maintaining high levels of engagement with both current and potential customers. This serves as a signal that personalized messaging works.

SMS can outperform other communications in another way: it is particularly effective at engaging those who are not familiar with the brand.

Additionally, personal contact by name is the best way to build brand loyalty. Addressing customers by name and sending them relevant information via SMS shows that you are willing to pay close attention to them, regardless of how familiar they are with you.

As an approach, SMS engagement leads to higher response rates and improved customer engagement, ultimately increasing the success of your marketing efforts.

The Future of SMS Engagement Tools for Marketers

AI and Automation

What should the future of SMS engagement look like with AI? It’s only going to get better as technology continues to evolve, AI becomes more realistic, and customer interactions become more personalized.

AI impacts SMS customer engagement in the following ways:

• Helps provide instant answers to online inquiries
• Can respond 24/7
• Has intelligent, customizable workflows
• Optimizes scalable SMS campaigns without losing personalization
• Provides data-driven insights

Rich Communication Services (RCS)

Since 2007, RCS has revolutionized the digital interaction between customers and businesses, making it more dynamic. Unlike traditional SMS, RCS supports high-resolution images, videos, and other interactive elements.

With 86% of users now favoring messaging over calls, the potential of RCS to drive customer engagement is through the roof. This is an opportunity that’s ripe for the picking.

Source: RCS vs. SMS: Definitions, Differences & Current Trends

Here’s how much the potential for RCS from SMS engagement differs based on examples:

Personalization and Interactivity

Hyper-personalization is a way of using SMS for real-time engagement. It makes an even more unique experience for each user with the freshest data and artificial intelligence to predict customer needs and desires.

For example, Netflix recommends movies and shows that are relevant to your preferences, taking into account the time of day and season.

Spotify creates playlists like these based on client’s music choices:

Source: Spotify

This approach allows companies to significantly increase customer engagement and loyalty. So hyper-personalization is an advanced form of personalization that uses predictive analytics and real-time customer segmentation.

For SMS engagement campaigns you may use the following:

• Customized advertising (based on demographics)
• Unique mobile landing pages (branded content and interactive SMS)
• Service chatbots (self-service automation to resolve customer issues)
• Real-time product notifications (SMS notifications of product availability)
• Loyalty programs and re-engagement (offers for existing customers)

Unlock Higher SMS Engagement with Phonexa

Learn how Phonexa E-Delivery can boost your customer engagement SMS text efforts by helping you track and analyze campaign results.

 

E-Delivery ensures seamless SMS customer engagement through an omnichannel approach, offering tools such as behavioral segmentation, A/B testing, real-time analytics, and smart slowdown. This allows you to significantly improve the delivery and performance of marketing campaigns.

 

Here are the eight proprietary solutions you get at a single price (online price calculator):

Increase Customer Engagement With SMS Marketing

Increased SMS engagement creates real contact with your customers, builds trust and loyalty. It is popular, convenient for various businesses, and, at the same time, personalized and fast. These are all key factors for success in customer engagement in SMS.

When you make SMS your primary and fastest communication channel, your business will be able to increase conversion and improve customer experience. Regularly measure the effectiveness of your SMS campaigns and experiment with artificial intelligence and automation, And of course, rest on the right shoulders — trust proven Internet solutions from Phonexa that allow you to take marketing to a new level.

Build your plan now, or book a demo to see how Phonexa can help you transform your SMS marketing and boost SMS engagement.

Frequently Asked Questions

What are the best metrics to measure SMS engagement success?

Track the following SMS engagement metrics:

• Open rate
• Click-through rate (CTR)
• Conversion rate
• Delivery rate
• Opt-out rate

What steps ensure compliance with regulations?

Most importantly, follow GDPR, TCPA, or other local privacy laws. Each user must give explicit consent before sending them messages. And of course, provide an unsubscribe option in every SMS.

What strategies grow an effective SMS marketing list?

Personalized approach and timely delivery of messages are key factors for successful interaction. Use SMS to create a dialogue with customers, not just to send promotions or news.

How can SMS marketing improve customer retention?

With personalized messages that arrive instantly, such as order status updates, reminders, or special offers, SMS helps build trust and ensure higher customer engagement.