SMS Technology

6
mins read

June 6, 2024

Benefits of SMS technology for marketeers

Key Takeaways

  1. SMS technology is one of the most common form of communication these days. Billions of SMS messages are exchanged each day
  2. SMS technology uses SMPP and SMSC including radio waves to transmit SMS messages between mobile devices
  3. Marketeers enjoy multiple benefits from SMS technology including a direct channel of communication, high response rate, personalization, cost effectivity etc.
  4. Verified SMS and RCS messaging are some emerging trends in SMS technology
  5. You can enable multiple use cases with SMS including OTP SMS verification, marketing and support, customer surveys etc.

SMS Technology

SMS technology, also known as text message technology, enables the sending and receiving of short messages between mobile devices and applications.  

It has become the most common means of communication, with billions of text messages being sent every day, both P2P and A2P messaging. The key distinguishing feature of SMS technology is its maximum message size of 160 characters, making it a concise and efficient way to convey information.

How Does SMS Work?

The process of sending an SMS message involves the use of the Short Message Peer to Peer (SMPP) protocol, which enables communication between mobile handsets and telephone operators' gateways. When a user sends an SMS, or a business sending an SMS for their SMS campaigns, the message is transmitted via radio waves to the nearest cell tower. From there, it is forwarded to an SMS center (SMSC), which then delivers the message to the recipient's mobile device.

Key Benefits of SMS Technology for Marketers

SMS technology offers numerous benefits for marketers looking to enhance their communication strategies and drive business growth via SMS marketing.  
You can use SMS API providers like Message Central and leverage SMS for your marketing communication.

Let's explore some of the key advantages of incorporating SMS into your marketing efforts:

  1. Instant and Direct Communication
    SMS is the most immediate marketing channel available, allowing businesses to initiate direct and instant communication with their customers.  
    Unlike other messaging apps, like WhatsApp for marketing, SMS does not require an internet connection, ensuring that messages can be delivered even in areas with limited connectivity.
  2. High Open and Response Rates
    SMS messages have impressively high open and response rates. Research shows that 98% of text messages are opened and read, with most recipients reading them within the first three minutes of receipt. This high engagement rate makes SMS an effective tool for getting users to as making a purchase or responding to a call-to-action.
  3. Personalization and Customization
    SMS technology allows businesses to create highly personalized and targeted marketing campaigns. By leveraging customer data, businesses can include personalization tokens in their messages, such as the recipient's name or recent purchase history. This enhances customer engagement and creates a more personalized brand experience.
  4. Cost-Effective Marketing Solution
    SMS API pricing makes SMS a cost-effective solution compared to other marketing channels. Businesses only pay for the messages they send, and text messages are significantly cheaper than other forms of advertising, such as online ads or print media.
    In case of an OTP SMS API, businesses need not even pay for failed authentication.
  5. Enhanced Customer Trust and Loyalty
    SMS technology has the power to foster trust and loyalty among customers. By delivering relevant and timely messages, businesses can establish themselves as reliable and customer-centric. When customers feel valued and engaged, they are more likely to develop a sense of loyalty towards the brand.

The Future of SMS Technology

As technology continues to evolve, so does SMS technology. Two notable advancements on the horizon are Verified SMS and RCS messaging. Bullet Points

  1. Verified SMS
    Verified SMS is a new type of service that allows businesses to add branding to their text blasts. By displaying a verification badge, customers can be assured that the messages they receive are from trusted sources. This feature enhances the credibility of SMS marketing and instills confidence in customers.
  2. RCS Messaging
    Rich Communication Service (RCS) messaging is poised to replace standard SMS as the default text messaging service for Android phones. RCS messaging offers enhanced features, such as integrated file sharing, real-time typing indicators, and the ability to make video or voice calls directly within the native SMS app. SMS vs RCS is also a tough choice for businesses.  

Using SMS Technology for Your Business

SMS technology can be leveraged across various industries and for a wide range of use cases. Here are some examples of how businesses can utilize SMS technology to their advantage:

  1. Customer Engagement and Support
    SMS is an effective channel for engaging customers and providing support. Businesses can send transactional SMS, such as order confirmations, appointment reminders, and delivery updates, to keep customers informed and engaged.  
  2. Marketing and Promotions
    SMS marketing campaigns are a powerful tool for driving sales and promoting products or services. Businesses can send targeted offers, coupons, and promotions directly to customers' mobile devices, increasing the likelihood of conversion.  
  3. Account Security and Two-Factor Authentication
    SMS technology is widely used for account security purposes, such as two-factor authentication (2FA). By sending verification codes or OTP SMS, businesses can add an extra layer of security to their authentication processes. SMS-based 2FA is convenient and widely accepted by users, making it an effective solution for protecting sensitive information.
  4. Customer Surveys and Feedback
    SMS can be utilized to gather customer feedback and conduct surveys. Businesses can send short surveys via SMS, allowing customers to provide their opinions and insights quickly and conveniently. SMS surveys have higher response rates compared to other survey methods, making them an efficient way to collect valuable customer feedback.

How to Get Started with SMS Technology

Getting started with SMS technology is relatively straightforward. Here are the steps to follow:-

  1. Choose a reputable SMS service provider: Select a provider that offers the features and capabilities that align with your business needs.
  2. Build your subscriber database: Collect customer phone numbers through various channels, such as website opt-ins, in-store sign-ups, or mobile app registrations.
  3. Create compelling SMS campaigns: Craft engaging and personalized messages that resonate with your target audience. Use SMS marketing best practices to optimize your campaigns.
  4. Monitor and analyze performance: Track the success of your SMS campaigns by monitoring key metrics, such as open rates, click-through rates, and conversion rates. Use this data to refine your strategies and improve future campaigns.

Leverage SMS Technology with Message Central

Message Now by Message Central is an SMS service provider with easy to use SMS APIs. With global connectivity, they have: -Bullet Points

  • Competitive SMS rates
  • Best SMS routes
  • 24/7 customer support

You can get in touch with the team to get started.  

Conclusion

SMS technology has transformed the way businesses communicate with their customers. With its instant and direct nature, high open and response rates, and cost-effectiveness, SMS has become an integral part of marketing strategies across industries. As technology continues to advance, SMS is evolving with features like verified SMS and RCS messaging, offering even more possibilities for businesses to connect with their target audience.  

Ready to Get Started?

Build an effective communication funnel with Message Central.

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