Wondering if SMS is the right channel for your business? The numbers don’t lie – we explore the stats to show why it’s a must-have tool for businesses.
Ultra-high open and response rates, coupled with the fact that nearly everyone owns a mobile phone, makes SMS a marketer’s dream.
Marketers who use it as part of a multichannel strategy regularly report an impressive ROI on their spend because it encourages customers to act quickly. For example a promotional code with a link to buy the product online, is a short and seamless path to purchase.
Even so, there are plenty of reasons why marketing teams might not have considered SMS until now or realised its full potential.
You might think other forms of communication, like email and social media, are more likely to resonate with your target audience. Or you’re perhaps confident that SMS will deliver value but you’ve not yet managed to get buy-in from other stakeholders in the businesses.
If you’re not sure if SMS marketing is right for you, or you’re building a business case to start using SMS for reminders, here are some good-to-know stats.
SMS stats everybody should know
Let’s start with some of the well-known stats.
You may already know that SMS has a 98% open rate and a 45% response rate – compared to email which is more like 20% or 6%. And you might have also read that, according to the World Economic Forum, there are now more mobile phone subscriptions than people in the world, so your potential audience is vast.
In addition, 90% of users open a text within three minutes of receiving it, making it one of the most effective ways to get time-sensitive messages seen.
These figures alone are compelling enough but if you’re looking for more ammunition, then take a look at our own research:
- 94% of consumers prefer SMS above any other communications channel including email, letter and phone call
- This rises to just over 95% among 25-34-year-olds, and 97% among the over-54s
- 79% of consumers would consider purchasing a product from a marketing message received via SMS (or WhatsApp)
- When it comes to big shopping events, consumers want to be in the know. Around 56% want to hear about special offers in the fortnight before Black Friday, and 27% are happy for brands to get in touch a month beforehand.
- 90% of consumers say personalised messages encourage them to take action.
- 80% admit that they’ll avoid an organisation if its communications are poor
- Over half of people trust businesses that send messages with a verified sender identity
- 52% of people are willing to share their personal details with an organisation
- 37% are more likely to trust a message from a brand if it contains a link to a secure and reputable website
- 35% said that messages should include their name and relevant information, like a birthday.
(Sources: Connected Customer Report, Black Friday Report)
Why use SMS?
Despite, or even because of the number of communication channels available, SMS remains a powerhouse as the stats above demonstrate.
With its plain text and low character limit, you have no choice but to be clear and direct. Customers know exactly what is being communicated – so they can take action if they want to.
The good news is that there are plenty of SMS marketing templates which you can adapt, helping you to save time and improve the effectiveness of your campaigns.
Sending bulk SMS is extremely affordable (prices can start from 2.2p per message), and you can segment your audience and tailor your messages to improve your response rates. Finally, analytics within your SMS provider platform will help you to refine your campaigns and ensure they’re delivering ROI.
Do people still use SMS?
The answer to this is a resounding ‘yes’. As our figures above show, 94% of people would respond to a text message – the next most popular channel was email at 92%, while social media was much lower at 66%.
This research was conducted in 2024, so while people might spend much of their time scrolling on Instagram or TikTok, they’re actually more likely to respond to an SMS.
Do customers like SMS marketing?
Most customers like and expect to receive messaging around big shopping events like Black Friday – and the general response rates suggest that they value them at other times too.
As with any form of communication, you need to continually test and optimise to ensure your SMS delivers something of value, whether that’s details of a new product launch or a special offer. Adjust the content and frequency, and always act quickly if a recipient chooses to opt out of future messages. Tracking your SMS marketing ROI will also help you to optimise your campaigns.
Your contacts list should be made up of people who actively choose to receive news and promotions via SMS. That said, SMS is a good way to tempt passive members of your customer base with a special offer.
Learn more: How to build up your SMS marketing contact list
Personalisation
Consumers are sending a clear message to brands – personalisation matters. 90% say it encourages them to take action, and 30% say they do this most of the time. Addressing a recipient by their first name and sharing relevant information, like a new store opening in their city or product recommendations based on their purchase history, creates a connection and helps ensure your message isn’t ignored.
Learn more: How to personalise your SMS marketing campaigns
How does SMS marketing boost sales?
SMS provides a direct route to purchase – as long as your messages are well-targeted, a simple promotional code can quickly generate sales. You can also use SMS to cross-sell and up-sell products that customers are likely to be interested in based on their past purchases, or create a sense of urgency (and even FOMO) by alerting them to exclusive products or ones that are selling out fast.
Finally, SMS can incentivise people to complete a purchase if they have items on their wish list or in their cart.
Is SMS being replaced?
It’s unlikely SMS will be replaced any time soon. There are more communications channels than ever – yet, as we have seen, people are almost certainly going to respond to a text message. In fact, they prefer it over any other channel.
SMS has also evolved beyond just simple plain texts. RCS (rich communication Services) messaging allows you to create branded messages, with QR codes, CTA buttons and rich media such as images and videos. Of course, other channels play an important role in the marketing mix. Email, for instance, can be used for longer-form content, while social media might be a fun way to brand build, with less focus on sales messages.
How to get started with SMS marketing
SMS is easy to use: simply choose a business SMS platform provider and install. Your IT team can help you with this but the process should be quick and easy. From here, you’ll be able to log into a portal or use an API to manage all your SMS campaigns, including writing and sending messages, and tracking KPIs like open rates and marketing ROI. And if you’d like to add email or WhatsApp to the mix, you can do that too.
Your team can also tap into one of many templates that have already proved effective, or create their own RCS versions for more brand impact.
Are you ready to see how SMS can transform your business?
Mary Henry
Mary has extensive experience in communication, PR and journalism - most recently across SaaS businesses. A keen researcher and storyteller, Mary is highly skilled in making complex concepts accessible, and in putting customers at the heart of her communication. She has supported all kinds of businesses to tell their brand, product and people stories - from global multinationals to start-ups across retail, travel/leisure, banking/finance, government and educational institutions.
