In the crowded digital marketing landscape, brands are constantly seeking ways to break through the noise and connect with their customers. While email, social media, and push notifications get most of the attention, there’s one channel that remains underutilized: SMS. Despite being one of the oldest forms of mobile communication, SMS is an incredibly effective, direct, and personal channel for brands to reach their customers. At Como, we believe that SMS is an essential, often underrated tool in any brand’s marketing toolbox, and here’s why it should be leveraged more.
1. SMS have Unmatched Open Rates
Unlike emails, which can get lost in overflowing inboxes, SMS messages have a much higher open rate. According to Gartner, SMS open rates are as high as 98%, with most messages being read within 3 minutes of receipt. When was the last time you ignored a text message? With such high visibility, SMS ensures that your message is not only delivered but also opened and read by the majority of your customers. And with today’s generation of a fast-paced lifestyle, an SMS that grabs attention immediately has a much higher chance of being seen and opened within minutes, making it perfect for short, time-limited promotions or event updates. With SMS, brands can cut through the digital clutter we experience on platforms like Instagram Tiktok, providing instant access to deals or rewards.
This makes SMS an invaluable channel for time-sensitive promotions, flash sales, and urgent notifications. If you need to grab your customer’s attention immediately, SMS is your go-to.
2. SMS are Direct and Personal Engagement
SMS is inherently personal. Unlike other channels that might feel cluttered or impersonal, text messages are sent directly to the customer’s mobile device, the one thing they carry everywhere. This sense of direct engagement allows brands to form a closer connection with their customers, making it an ideal channel for personalized offers, loyalty program updates, or even exclusive invitations to VIP events.
Gen Z and Gen Alpha value personal connections with brands, and SMS offers a direct line of communication. The personalized nature of SMS is perfect for delivering exclusive offers or sneak peeks that resonate with this generation’s desire to feel “in the know.” They appreciate experiences that feel exclusive and customized, and SMS can be the channel that fosters this one-on-one connection. For example, brands can send personalized birthday messages or curated product recommendations, which can be incredibly appealing to this audience.
At Como, we understand that personalization is key to customer loyalty. By integrating SMS into your loyalty program, you can send customized offers based on past purchases, anniversaries, or customer preferences. This deepens the relationship and makes customers feel valued.
3. They have High Conversion Rates
SMS doesn’t just have high open rates – it also delivers results. Whether you’re sending a promotional code or a link to a special offer, customers are more likely to engage with SMS than other channels. Studies from Direct Marketing Association (DMA) show that SMS campaigns have response rates as high as 45%, compared to email’s 6%.
Whether it’s a limited-time discount code or early access to a product launch, SMS taps into the fear of missing out (FOMO), which is a powerful motivator for this generation. For instance, many brands see success with SMS campaigns that link directly to online stores, where customers can redeem offers or make a purchase with just a few taps. The high engagement rates make it a valuable tool to nudge customers towards action, particularly when it comes to impulse buying.
4. They’re Ideal for Loyalty Programs
When it comes to loyalty programs, SMS plays a crucial role in keeping customers engaged. Loyalty programs thrive on regular communication, and SMS is an excellent way to remind customers about point balances, upcoming rewards, or time-limited offers. Push notifications might be ignored, and emails often go unread, but an SMS grabs attention.
Customers are more likely to stay loyal to brands that offer rewards and incentives for their engagement. SMS is a perfect fit for loyalty programs, as it offers a seamless way to keep members informed and motivated. Customers now love instant gratification, and getting real-time updates about their points, upcoming rewards, or personalized offers right on their phones creates a sense of excitement. Unlike emails, which may get buried in inboxes, an SMS alert about earning double points or unlocking a new reward ensures immediate engagement. Additionally, customers appreciate transparency and simplicity in loyalty programs, and SMS can provide exactly that with clear, concise updates that avoid unnecessary complexity.
5. SMS are Cost-Effective and Easy to Implement
Compared to other channels, SMS is relatively low-cost and doesn’t require an elaborate design team or long production processes. With SMS, you can send simple, clear messages that drive action without needing to invest heavily in creative resources. This makes it a cost-effective channel, especially for smaller businesses looking to boost engagement.
When targeting customers, who often appreciate brands that balance quality with affordability, SMS campaigns offer a cost-effective solution that yields high engagement. SMS doesn’t require heavy design work or long approval processes, which also aligns with the new-age customer’s desire for brands that act quickly and aren’t bogged down by corporate formality. The minimal setup costs associated with SMS make it a no-brainer for brands trying to stay agile and adapt to trends that resonate with younger audiences. The direct simplicity of SMS appeals to this generation’s desire for authenticity—fewer frills and more action.
Additionally, at Como, we’ve developed solutions that make SMS marketing easy to implement. Our platform allows businesses to automate their SMS campaigns, segment their audience, and track the performance of each message sent. Whether you’re a local café or a large retail chain, SMS is an accessible and budget-friendly way to keep your customers engaged.
6. They help you Reach a Wider Audience
The current generation is not a monolithic group; while many are glued to social media, there are still those who prefer more direct forms of communication. SMS bridges the gap, ensuring that brands reach all segments of this diverse generation. Even for those who might disengage with overly saturated social media marketing, an SMS can offer a personalized, less intrusive way to connect. Moreover, for a generation that values convenience, the ability to engage with brands directly via SMS, without the need to browse through apps or emails, adds to the channel’s appeal. For instance, sending SMS notifications for order updates or reminders about upcoming events ensures the brand stays top-of-mind without overwhelming them on other platforms.
Whether it’s a time-sensitive offer or an exclusive deal for loyalty members, SMS ensures your message reaches customers who may not engage with traditional digital marketing. This makes it an essential channel to ensure you’re not missing out on connecting with your broader audience.
7. They can be Compliant and Trusted
SMS is a regulated channel, which means that customers have to opt-in to receive messages, ensuring that they are already engaged with your brand. This creates a level of trust that other marketing channels sometimes struggle to achieve. Customers who have opted in to receive SMS updates are more likely to take action, making it a highly trusted and compliant form of communication.
Gen Z and Gen Alpha are hyper-aware of privacy concerns and prefer communication from brands they’ve actively chosen to engage with. Since SMS marketing is opt-in, it aligns with their need for control over who has access to their data. By respecting this boundary, brands can build a stronger relationship based on trust. Additionally, the new generation tends to appreciate brands that maintain a clear, no-nonsense approach to privacy, so the compliant nature of SMS marketing, where customers can easily opt out, creates a sense of security. This transparency is crucial for fostering long-term loyalty in a generation that is cautious about giving away personal information.
With Como’s platform, businesses can rest assured that their SMS campaigns are fully compliant with local regulations, ensuring customer trust and avoiding any potential legal issues. We make sure that our clients are sending targeted, consented, and valuable content to their customers.
Don’t overlook SMS. In a world where attention is scarce and digital marketing channels are crowded, SMS stands out as a direct, personal, and highly effective way to reach your customers. Its unmatched open and conversion rates, combined with the personal touch and ease of implementation, make it an underrated but powerful channel for businesses of all sizes.
It’s time to give SMS the attention it deserves – your customers (and your bottom line) will thank you.
