The ROI of Using a Mass Texting Service for Marketing Campaigns

This article originally appeared on mindmybusinessnyc.com

With increasing competition in the business world today, marketing initiatives, particularly marketing campaigns, have to be quick to disseminate, effective and economical. When it comes to the communication tools that have been used and have demonstrated high efficiency, there is one that has recently become rather popular among the others – the SMS service.

This method enables a business organization to convey its message to many of its clients at a single time, and deliver it right into the hands of its customers—via their mobile phones. As close to 100% of the targeted audience are likely to open the message, mass texting is one of the strongest channels to convey promotions, updates, and important information.

Here in this article, we will attempt to establish how, for efficient marketing communication, the use of a mass texting service yields better ROIs and can help organizations achieve better results—with less spending.

What Is a Mass Texting Service?

A mass texting service enables the business entity to forward short messages to many individuals at the same time. Unlike conventional modes of communicating, e.g., via the use of email or even social media, SMS has a very high open rate. This makes it an appealing choice for corporations whose goal is to share crucial details or special offers with the consumer. If used strategically, mass texting services can yield some of the best results, making them one of the best options for numerous industries such as retail, hospitality, health care, among others.

Why Mass Texting Is an Effective Marketing Tool

Let us first grasp why mass texting is a strong marketing medium before addressing ROI. The effectiveness of SMS marketing lies in its simplicity and directness:

1) High Open Rates

As we have just mentioned, in comparison to other methods such as email, the open rate of SMS is significantly higher. This simply means that the message that is being passed to the audience is more likely to be viewed and read.

2) Quick Delivery

The messages are sent instantly, and this speed is important especially when a business is using the system to offer short duration campaigns such as flash sales or event promotions.

3) Minimal Costs

It is relatively inexpensive to send text messages; everyone can afford it regardless of the size of the business. Also, there are no graphic designs and/or video productions necessary, which may be necessary in an email or social media marketing campaign.

4) Personalization

The use of custom information in the SMS campaigns is possible, and it means that the recipient’s name, location, or previous purchasing experience can be included in the message.

The ROI of Using a Mass Texting Service for Marketing Campaigns

Now, let’s proceed with some key explanations of how employing mass texting service can bring a high ROI to your marketing.

1) Cost-Effective Outreach

One of the major benefits associated with the use of a mass texting service is the fact that it is relatively cheap. This is useful to businesses since it makes it possible for them to reach thousands of customers with a single campaign—without the high costs that are usually involved when advertising through TV, a newspaper, etc.. This helps the organization to maximize its marketing expenditure.

For instance, a local retailer could send out a promotion message to 10,000 customers with the cost being fairly small. Due to high open rates, the retailer is likely to capture a significant audience’s percentage with the message, which might translate to sales uplifts or increased store traffic.

2) Increased Customer Engagement

With the use of simple short messages, a business can notify customers of a discount, an event; or even a reminder for an appointment. Some of the benefits of engaged customers are that they will buy more products and they will also be recommending the products to other people, hence increasing the sale of the products and brand loyalty.

For instance, a restaurant may use SMS to pass on special offers to loyal consumers. These messages make the customers feel like they are being appreciated, and encourage them to take up the offer, hence increasing both the click through rates and the sales.

3) Measurable Campaign Success

One of the major strengths of using SMS as a marketing technique is that it offers intelligible results. Such statistics as the delivery rate, the open rate, the click through rate, as well as the conversion rate are easy to monitor in real time. This information helps to determine the effectiveness of the posted advertisements and make corrections if necessary.

4) Improved Customer Retention

By sending emails with offers or congratulations, companies can retain consumers for a long time. For instance, through instant notifications of new products or limited offers, firms can maintain the engagement of customers so that they remain brand’s customers. Since customer retention tends to be cheaper than customer acquisition, it has a much-needed positive effect on the ROI.

Proper Strategies of Achieving Higher ROI using Mass Texting

To ensure the highest ROI possible, businesses must follow best practices when implementing a mass texting strategy:

1) Segment Your Audience

Not all customers are to be informed in the same way. When you split your audience into different demographics, you are likely to get more responses—because the people will be more interested in what you are saying.

2) Keep Messages Concise

Being a short messaging system, it is advisable to make messages short and to the point. Do not give a detailed description; keep the message short and concise.

3) Use Clear Calls-to-Action

Each SMS should come with one and only one specific request; whether it is for the recipient to visit a website, input a coupon code, or respond affirmatively to an invitation. A proper call-to-action can make a big difference in the bounce rates.

4) Track and Analyze Results

Go back often and analyze your campaign metrics to see what is effective and what is not. This data will help fine tune future campaigns for enhanced results.

Conclusion

The effectiveness of using mass texting services cannot be overemphasized, due to the low costs, an impressively high response rate, as well as quantifiable results. When businesses include mass texting as their marketing tool, they are able to cover a large audience, increase sales and maintain customer loyalty at a reasonable cost. This particular marketing tool is therefore one of the most powerful marketing tools which, if applied appropriately, can increase the marketing effectiveness—ensuring the ‘bang’ for an organizations’ ‘buck.’