September 2017/ in Smart Business Trends / by Michael Schiano
SMS Text marketing is a tool used to spread your marketing message and special offers to your customers. To keep up with the fast-paced competition for customers, you need a tool that is rapid, convenient, and allows for interactive communications between you and your audience.
The most popular form of business SMS Text marketing relies on using a “short-code.” A short- code is a 5-digit number specific to your business, like a phone number. You market a special offer with the short code asking people to text, for example, FOOD to 57711 to get access to a special offer such as 50% off their next meal. The customer texts the word FOOD to the number and this results in an automated response to the person’s cell phone asking them to Opt-In to receive text messages from your business by responding YES. This is called double opt-in and it meets the Telephone Consumer Protection Act (TCPA) and other federal regulations. The system receives the YES and delivers the offer to the customer. All done in a matter of seconds.
The key here is that you have now legally captured a cell phone number and received approval from the cell phone owner to send messages to them on an ongoing basis. This is very powerful and not all business owners fully grasp the concept. The average cost for sending an SMS Text to 1,000 customers should be about $20. If your average net ticket is $20, then you need only 1 customer to visit your store out of the 1,000 you’ve texted to cover cost. All other customers who visit mean a profit to you. This creates a Profit Center out of your customer cell phones.
Current data show text messages have a 99% open rate, and 90% of all text messages are read within 3 minutes of being received. Email only has a 20% open rate.
Pew Research reports that Texting is the most widely-used and frequently used app on a smartphone, with 97% of Americans using it at least once a day. For business owners who rely on customer traffic, SMS Text marketing is going to be more important than ever for growing customer lists and driving more repeat business each month.
What can SMS Text marketing can do for your business?
Save you money! When you build your Customer list, they’ve given you permission to text them offers. Imagine being able to send a message directly to 1000 of your customers and know that 900 of them will read the offer within 3 sends of your sending the send button. You simply don’t get that immediacy with expensive print advertising, email or other media channels. Direct mailing coupons and offers is a great way to market, but if you want to reduce or eliminate the costs and time resources that go into planning, designing, printing, mail handling, and postage, SMS Text Marketing is unmatched.
Increase conversion. SMS Text marketing is one of the most efficient ways to reach your target audiences and convert them into paying customers. Having a slow day, send out a text to your customers and drive some traffic. Want to move some extra inventory on short notice? Send a text immediately. No marketing channel has this type of speed and response.
Drive new customers – SMS Texts are immediately shareable by customers to their friends and family members. If you send out a great offer to 1,000 cell phones, that text will be shared with others. If only 10% share the offer, that is an extra 100 cell phones that are added to the campaign at no cost to you!
Increase positive consumer behavior. The immediacy of an SMS Text marketing campaign can encourage customers to buy something within minutes of receiving and reading the Text. SMS Text marketing can lead to an increase in sales.
SMS Text Marketing is not Advertising. It is direct communication with your customers. So, successful merchants don’t always have to text special offers. A few times each year they text “Thank you,” or “We appreciate your business.” This ability to directly thank a customer is a huge builder of good will and builds loyalty. You simply can’t do this with print, broadcast or even Social Media.
Raise brand awareness. Getting your brand name and image in front of your audience more often will drive repeat sales. Seeing your business name and offer will build brand recognition even if they only see it for a second. Also, don’t forget that we live in a generation of sharing.
Educate your current customers. An SMS Text is a great way to keep your clients updated on what’s new in your business. You can share what you’ve been working on, any updates you may have developed, company news, etc. Keeping them up to date and well-informed of the products and services you have available for them may encourage them to buy from you again.
SMS Text marketing is a tool whose time has come. Cell phone saturation has reached 95% in the U.S. People in all age demographics are carrying cell phones able to receive a text messages. According to Digital Marketing Magazine, 75% of people would like to have offers sent to them via SMS.
SMS Text marketing is one of the top tools used for business communication daily, and it works. Could SMS Text marketing be the missing piece in your business strategy?
If you want your customers back more often each month I need just 10 minutes to explain this unique and powerful business building tool. After we speak you will fully understand how to build your customer list quickly for more return sales.
Let’s talk business today!