What is SMS Marketing? Your Ultimate Guide

What is SMS Marketing?

SMS marketing is the practice of sending promotional, transactional, or service-based messages to customers via text message. Unlike email, SMS boasts exceptionally high open and response rates—often within minutes—making it one of the most direct and effective marketing channels available.

Whether you're announcing a sale, reminding a customer of an abandoned cart, or confirming a delivery, SMS enables businesses to reach customers instantly and personally.

Why SMS Marketing Works

SMS marketing has emerged as a key part of the modern marketer's toolkit for several reasons:

• 98% Open Rates: SMS messages are almost always read, often within minutes.
• 45% Response Rates: Compared to email’s average response rate of 6%, SMS dominates.
• Mobile-First: Everyone has a phone. SMS puts your brand right into your customer’s hands.
• Low Cost, High ROI: With low per-message costs and high conversion rates, the channel delivers excellent returns.

SMS Marketing Use Cases

SMS marketing can be used across the customer lifecycle:

• Promotions & Flash Sales: Instantly notify subscribers of limited-time deals.
• Abandoned Cart Reminders: Recover lost revenue with friendly nudges.
• Order Confirmations: Keep customers informed and reduce support volume.
• Shipping Updates: Real-time tracking info boosts trust and satisfaction.
• Loyalty Programs: Send exclusive rewards or points balance updates.
• Two-Way Support: Answer customer questions in real time

SMS Marketing Use Cases

SMS marketing can be used across the customer lifecycle:

• Promotions & Flash Sales: Instantly notify subscribers of limited-time deals.
• Abandoned Cart Reminders: Recover lost revenue with friendly nudges.
• Order Confirmations: Keep customers informed and reduce support volume.
• Shipping Updates: Real-time tracking info boosts trust and satisfaction.
• Loyalty Programs: Send exclusive rewards or points balance updates.
• Two-Way Support: Answer customer questions in real time.

How to Build an SMS Marketing Strategy

1. Build Your List Legally
   • Always get explicit opt-in consent.
   • Follow TCPA, CTIA, and carrier compliance rules.
2. Segment Your Audience
   • Send relevant messages based on purchase history, location, or engagement level.
3. Personalize Your Messaging: Use first names, reference past orders, or tailor offers to behavior.
4. Time it Right: Avoid sending messages too early or late. Respect time zones and context.
5. Automate When Possible: Use workflows to send messages based on triggers like signup, purchase, or cart abandonment.

Best Practices for SMS Campaigns

• Keep It Short: Aim for 160 characters or less.
• Have a Clear CTA: Make it obvious what you want the customer to do.
• Stay Compliant: Include opt-out instructions in every message (e.g., “Text STOP to unsubscribe”).
• Test and Optimize: A/B test offers, timing, and copy to see what resonates.

SMS Marketing Tools and Platforms

To run successful SMS campaigns, consider tools that offer:

• List growth tools (pop-ups, QR codes, POS opt-ins)
• Segmentation and personalization features
• Automated workflows and triggers
• Analytics and reporting
• Two-way conversation support
• Integrations with your ecommerce platform, CRM, or helpdesk

If you're looking for a reliable SMS marketing platform, check out Privy—built to help ecommerce brands grow faster.