How Brands Use SMS Marketing to Maximise Revenue

Are you using a marketing medium that guarantees a 98% open rate within five minutes of hitting send – without the need for online connection? If the answer is no, then it’s time you looked into SMS marketing for your ecommerce business. 

SMS offers brands the opportunity to communicate with their customers anytime and anywhere. Now more than ever consumers are using their mobile devices – people check their phones on average 150 times a day. Let’s be honest, we’re all guilty of it. 

SMS can work seamlessly with other channels like email, helping brands connect with people when they’re most primed at every stage of the sales funnel. 

Why do DTC brands use SMS marketing?

One of the biggest challenges for many DTC owners is getting their product, promotions and services in front of their target audience. Information overload is leading to overflowing inboxes and people no longer like to feel as though they’re being sold to. 

In the highly competitive landscape of ecommerce, DTC brands are finding new ways to reach their customers. This is where SMS comes in. 

• Consumers are shopping more on their mobile devices

Since the pandemic, online shopping has surged, with 72% of shoppers choosing to browse or buy online from their mobile device, mobile traffic is on the rise! This means brands need to adapt quickly and start using SMS marketing to engage with their shoppers. And with SMS marketing driving 25x+ ROI, there’s even more reason to. 

• People are more likely to open text messages

People are more likely to open text messages – and open them faster than email. For example, 90% of SMS messages are read within 3 minutes. And when someone does respond to an SMS message, it takes 90 seconds – eight times faster than email response rates.

• Millennials and Gen Zers are always on their phones

When marketing to Millennials and Gen Zers, SMS can be a really effective tool. Young Millennials and Gen Zers have no memory of a time without smartphones. For these generations, phones aren’t simply communication tools, they’re an extension of them as individuals. Whether they’re speaking to friends and family, checking in on their social media channels, streaming videos or playing a game, mobile phones are an integral part of these generations’ lives. 

How do DTC brands use SMS marketing?

Brands across the globe have embraced SMS marketing to help them reach their business goals. With so many options available, we’ve put together a list of the most common and successful SMS marketing methods that you can use to maximise revenue.

• A Welcome Text 

Automated email flows are proven to drive ROI, so why not go one step further by adding SMS to the mix – to really boost success. 

• Delivery & shipping updates

This is a quick and simple way to improve the customer experience. Also, by keeping your customers in the loop with regards to shipping and delivery timelines, you’ll drastically reduce the number of inbound customer queries you receive. Informed customers are happy customers. And happy customers are good for business. 

• Upselling opportunities 

Upselling is effective when done properly, and upselling via SMS is no different. After a customer receives their order, follow up with a text message to ask for feedback. From there you can direct them to a special offer on related products they might like. 

• Date triggered messages

This is a great way to make contact with your customers during times that mean the most to them. From birthdays to anniversaries, customers like to feel special, so give them what they want. With the omnichannel marketing platform, Klaviyo you’ll be able to automatically pull this level of detail about your customers, and watch your engagement levels skyrocket. 

• Promotions 

SMS messages are a great way to drive urgency. Since it’s fast and direct, it gets your brand message across to your customers in real-time. 

What’s more, brands that use promotions in their SMS strategy see an increase of 47% in their overall revenue. Some brands even set up SMS only promotions, to keep shoppers not only engaged in their brand but also SMS as a communication channel. 

• Referrals 

Get help from your current customers to convert new ones. 

Consumers are becoming more and more comfortable with brands communicating with them directly on SMS, Facebook and other direct messaging platforms. All these apps are accessible on mobile, so automate engaging templates for your customers to share with others is a great way to make quick wins. 

• Subscriptions 

If you’re a DTC subscription-based retailer, then there’s even more reason to utilise SMS marketing. Via text message, you can send your customers weekly or monthly reminders about their subscription and keep a constant flow of communication throughout the shipment process, so the customer feels connected to your brand until their package arrives. 

• Renewal or replenishment reminders

SMS can help you achieve repeat conversion through timely reminders that don’t annoy your customers. For example, some brands use AI to predict when customers are likely to run out of a product they last purchased. Subscribers are then prompted to reply to the text message ‘yes’ if they’re ready to re-order. 

• Loyalty & rewards programs

Finally, SMS can be used to enhance your relationship with customers who are a part of your loyalty or rewards program. You can engage with your VIP shoppers with tailored messages and exclusive offers all through SMS. And with 76% of loyalty members preferring to receive personalised updates from brands through SMS, there’s never a better time to start implementing SMS into your marketing strategy. 

Getting started with SMS marketing 

Getting started with SMS is easy and only requires a few simple steps. But you need to figure out what your message is going to be and why, and it’s imperative that you ask your customers whether they want to receive text messages from you before you start sending them out.

The more you use SMS and constantly review your results, the more powerful the tool will become.

If you need help to incorporate SMS into your ecommerce strategy or simply want to find out more about it, get in touch with our team of ecommerce experts today!