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Ways to Use SMS Discounts

Ways to Use SMS Discounts

Profile Headshot of Aayush Bangali
Aayush Bangali

6
mins read

March 12, 2024

10 Ultimate Tips of Successful SMS Discount

Key Takeways

  1. SMS marketing has an open rate as high as 98% compared to 28% of emails. This is mostly because of direct and personal nature of the channel
  2. Effective discount messages with personalization work amazingly well in comparison to straight text blasts
  3. Creating a sense of urgency and making the offer exclusive are some ways to improve the overall efficacy of SMS discount campaigns
  4. Having a flash sale, offering early access and rewarding loyalty are some other methodologies which have a proven track record of working well with users
  5. Message Now, an SMS API tool by Message Central can be used to apply this strategy of campaigns with SMS discounts

SMS marketing has emerged as a powerful tool for businesses to communicate with their customers with an open rate 98% as compared to 28% of email.  

With its direct and personal nature, SMS marketing campaigns allows brands to reach both offline and online customers, making it a highly effective means of communication.  
One of the key reasons customers sign up for SMS marketing is the expectation of receiving exclusive discounts and promotions.  
In fact, studies have shown that 50% of consumers are more likely to opt into a business's text messages if they know they will receive access to promotional offers.

To make the most of SMS marketing and drive sales, it's important to craft effective discount messages that stand out from the competition with text blasts.  
In this article, we will explore 10 creative ways to use personalized discounts in your SMS marketing campaigns to increase sales and customer engagement.

Infographic displaying 10 Ultimate Tips of Successful SMS Discount by Message Central

1. Create a Sense of Urgency

One of the most effective ways to capture your audience's attention and drive immediate action is by creating a sense of urgency in your discount messages. By using phrases like "limited time offer" or "sale ends soon," you can motivate customers to take advantage of the discount before it's too late. For example:

"Hurry! Only 24 hours left to get 30% off our latest collection. Use code FLASH30 at checkout."

By instilling a fear of missing out (FOMO), you can encourage customers to make a purchase right away, boosting your sales.

2. Make It Exclusive

Everyone loves feeling special, and offering exclusive discounts to your SMS subscribers can make them feel like valued customers. By sending SMS campaigns with SMS-only offers or VIP discounts, you can create a sense of exclusivity and reward your most loyal customers. Here's an example:

"As a valued subscriber, enjoy 20% off your next purchase with code VIP20. This offer is exclusively for our SMS subscribers."

By making your customers feel like they're part of an exclusive group, you can boost engagement and loyalty.

3. Send a Birthday Discount

Birthdays are special occasions, and what better way to celebrate than with a personalized discount? Sending a birthday discount message to your customers shows that you value their patronage and can encourage them to make a purchase. For instance:

"Happy Birthday! Enjoy 15% off your entire order as our gift to you. Use code BDAY15 at checkout."

By acknowledging your customers' birthdays and offering them a discount, you can strengthen the bond with your audience and drive sales.

4. Make Loyalty Program Members Feel Special

If you have a loyalty program, SMS is a great channel to reward your members and make them feel special. Offering exclusive discounts, early access to sales, or personalized offers can incentivize your loyal customers to continue shopping with you. Here's an example:

"As a valued member of our loyalty program, enjoy 25% off our new collection before anyone else. Use code LOYAL25 at checkout."

By giving your loyal customers special treatment, you can foster a sense of belonging and increase customer retention. You can also boost your SMS campaigns using WhatsApp marketing.  

5. Keep It Product-Specific

Instead of offering site-wide discounts, consider promoting specific products or product categories to drive sales. By highlighting popular or new products, you can create a sense of excitement and urgency. For example:

"Get 40% off our best-selling shoes for a limited time only. Step up your shoe game with code SHOE40."

By focusing on specific products, you can showcase their unique features and benefits, making the discount more enticing to customers. Use can use SMS API providers to enable the same.  

6. Use Discounts to Save Abandoned Carts

Cart abandonment is a common challenge for online retailers, but SMS can help recover those lost sales. By sending a discount message to customers who have abandoned their carts, you can entice them to complete their purchase. Here's an example:

"Forgot something? Complete your purchase now and save 15% with code CHECKOUT15."

By offering a discount, you address potential objections such as price or shipping costs, increasing the likelihood of conversion.

7. Keep It a Mystery

Mystery and surprise can be powerful motivators for customers to engage with your brand. By sending SMS messages with mystery discounts or surprise offers, you create anticipation and excitement. For instance:

"Unlock your mystery discount! Text MYSTERY to 12345 and receive a surprise discount code for your next purchase."

By leveraging curiosity through promotional SMS, you can engage customers and encourage them to take action to reveal their exclusive discount.

8. Offer Early Access

Exclusive access to sales or new product launches can be a strong incentive for customers to engage with your brand. By offering early access to your SMS subscribers, you make them feel like valued insiders. For example:
"Be the first to shop our upcoming sale! Get early access and enjoy 20% off with code EARLY20."
By giving your subscribers a head start, you create a sense of exclusivity and encourage immediate action.

9. Discount New Products

When launching new products, SMS discounts can be a powerful tool to generate excitement and drive sales. By offering a limited-time discount on new arrivals, you can incentivize customers to try out your latest offerings. Here's an example:

"Introducing our new collection! Enjoy 10% off all new arrivals with code NEW10. Upgrade your style today."

By combining the allure of newness with a discount, you can create a sense of urgency and entice customers to make a purchase. You can track all the progress using an SMS dashboard.

10. Have a Flash Sale

Flash sales are a great way to create urgency and drive immediate sales. By offering time-sensitive discounts for a short period, you can motivate customers to act quickly. Here's an example:

"Don't miss out on our 24-hour flash sale! Get 50% off all products today only. Use code FLASH50 at checkout."

By emphasizing the limited timeframe and significant discount, you create a sense of urgency and drive conversions.

Conclusion

SMS discounts can be a powerful tool to boost sales and engage customers. Even for use cases like user authentication, businesses prefer to use SMS verification services.  
By implementing creative strategies such as creating a sense of urgency, offering exclusive discounts, and targeting specific customer segments, you can maximize the impact of your SMS marketing campaigns.  
Remember to personalize your messages, keep them product-specific, and leverage special occasions such as birthdays and loyalty program memberships. With these 10 creative ways to use SMS discounts, you can drive customer engagement, increase sales, and build a loyal customer base.

Frequently Asked Questions

How do I choose the right OTP service provider?

When selecting an OTP SMS service provider, focus on:

  • Delivery reliability and speed
  • Global coverage and local compliance
  • Multi-channel support and fallback
  • Ease of integration
  • Pricing transparency

The right provider should not just send OTPs but ensure they are delivered consistently across regions and networks.

Not all OTP SMS service providers are built the same.

Some optimize for cost, others for flexibility but very few balance delivery reliability, global coverage and ease of use. And that balance is what actually impacts whether your users receive OTPs on time.

If OTP is critical to your product, focus on:

  • reliable delivery (not just sending)
  • multi-channel fallback
  • scalability across regions

Try It for Yourself

Why is multi-channel OTP important?

Relying only on SMS can lead to failed verifications due to:

  • network issues
  • telecom filtering
  • device limitations

Multi-channel OTP systems (SMS + WhatsApp + voice) improve success rates by automatically retrying through alternative channels if one fails.

What is the best OTP SMS service provider in India?

Some of the commonly used OTP SMS service providers in India include MSG91, Exotel and 2Factor.

That said, India has additional challenges like DLT compliance and operator filtering. Platforms that handle these internally while also offering fallback options tend to provide more consistent OTP delivery.

Which is the cheapest OTP service provider?

Providers like Fast2SMS and 2Factor are often considered among the cheapest OTP service providers, especially in India.

However, lower pricing can come with trade-offs such as:

  • lower route quality
  • higher delivery delays
  • limited fallback options

For mission-critical OTP flows, reliability often matters more than just cost.

Which is the best OTP service provider in 2026?

The best OTP service provider depends on your use case.

  • For global scale and flexibility: Twilio, Infobip
  • For cost-effective APIs: Plivo
  • For India-focused SMS OTP: MSG91, Exotel

However, platforms like Message Central stand out by balancing global coverage, multi-channel fallback and ease of deployment, making them suitable for businesses that prioritize delivery reliability.

What is an OTP service provider?

An OTP service provider enables businesses to send temporary verification codes to users via channels like SMS, WhatsApp or voice to authenticate logins, transactions or sign-ups.

Modern OTP SMS service providers go beyond just sending messages, they ensure reliable delivery using optimized routing, retries and sometimes multi-channel fallback.

Ready to Get Started?

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