More consumers than ever before are open to receiving promotional texts from businesses. However, understanding the impact of SMS marketing requires more than just a broad overview.
Recent research in collaboration with Recharge surveyed nearly 9,000 global shoppers to explore how SMS messages influence purchasing behavior.
The survey also studied the kinds of text messages consumers prefer and how businesses can fine-tune their SMS marketing strategies.
Let’s explore some crucial findings that can help your approach to SMS marketing in 2024.
SMS Encourages Faster Purchases
Although many consumers still prefer emails over texts, gathering phone numbers remains a valuable asset for businesses. Our research reveals the following key takeaways:
- Promotional texts drive sales: 72% of global respondents purchased after receiving a promotional message. This number rose to 74% in Europe and was slightly lower at 69% in APAC.
- Higher purchase frequency: 86% of respondents reported making more than two purchases in the past year due to SMS. This marks a significant increase from 55% in 2022. Of this group, 30% made four or more purchases through text, and nearly 10% made six or more.
- Texts accelerate buying decisions: 65% of those who purchased through SMS said the item was something they planned to buy soon. However, receiving a text prompted them to buy sooner than expected. This is a 5% increase from 2022, where 60% reported similar behavior.
- Impulse buying through SMS: Interestingly, 14% of respondents made an unplanned purchase after receiving a text message, highlighting the growing influence of SMS on spur-of-the-moment decisions.
Strategies to Grow Your SMS Subscriber List
While offering discounts is an effective way to boost SMS sign-ups, it’s not the only strategy.
Brands can successfully grow their subscriber lists by understanding consumer motivations:
- Offering deals matters: 59% of consumers said a discount would encourage them to opt for SMS notifications.
- Quick responses increase engagement: 39% of people are more likely to subscribe if they get quick answers via SMS.
- Unique offerings are appealing: 38% of respondents said access to exclusive products or experiences would prompt them to sign up.
- Personalization works: 33% are drawn in by personalized messaging, while 31% are more likely to subscribe if they know a real person is behind the communication.
- Subscription updates encourage sign-ups: 27% are interested in managing upcoming subscription orders via SMS. Furthermore, 23% like the ability to make repeat purchases without re-entering payment details, and 20% are comfortable providing payment info for purchases via text.
What Truly Motivates Consumers to Subscribe?
The reasons why people say they would sign up for SMS differ from why they subscribe. Brands that focus on building loyalty can attract more subscribers even without discounts.
Here are the top reasons people choose to opt in:
- Love for the brand: 39% of respondents signed up because they were loyal.
- Discounts at the right time: 38% signed up because they were ready to purchase and wanted to receive a discount.
- Order updates: 38% wanted to stay informed about their order status.
- Frequent buyers: 37% subscribed because they often purchase from the brand.
- Sale notifications: 35% signed up to receive alerts about promotions or sales.
- Early access to offers: 34% wanted first dibs on new products or sales.
- Back-in-stock alerts: 29% subscribed for updates on product availability or sale reminders.
- Appointment or order reminders: 29% appreciated receiving reminders about their upcoming orders or appointments.
- High spenders: 28% said they subscribe to SMS updates for brands they regularly spend significant money on.
- Keeping up with the news: 24% like to stay informed on brand news and updates.
- Managing subscriptions: 21% signed up to easily edit or change their subscription orders without logging into their account.
SMS Marketing Preferences: Ideal Frequency and Timing
If you worry about sending too many text messages, you might be overthinking it. Although over-messaging can lead to losing subscribers, with 61% opting out because of too many texts, most people are open to receiving them.
72% are comfortable with getting texts at least once per week. Of this group, 45% are fine with receiving messages more than once weekly.
In North America, half of the respondents expect at least one weekly text message from a brand.
Maintaining regular communication through SMS is crucial once you begin sending texts; otherwise, subscribers might forget why they signed up, leading to an unsubscribe.
Frequency People Expect from Brands
- Multiple times per week: 32%
- Weekly: 27%
- Several times per month: 16%
- Daily: 13%
Best Times to Send SMS for Maximum Conversions
Texting is about quick interactions and speedy results. Timing is everything when it comes to SMS marketing.
Unlike other channels, SMS relies on sending messages at just the right moment to drive action.
Besides impacting conversions, timing is essential for legal reasons. The TCPA prevents sending marketing text before 8:00 a.m. or after 9:00 p.m. within the recipient’s time zone.
Several states even have stricter rules, so it’s essential to stay compliant by scheduling messages based on the recipient’s location.
Most purchases via SMS happen in the evening, with 45% of buyers making purchases during this time.
Brands should remember this when planning campaigns to capture interest when people are most likely to buy.
Preferred Times for Making SMS Purchases
- Evening: 45%
- Afternoon: 25%
- Midday: 13%
- Morning: 9%
- Late at night: 8%
Common Activities When People Make SMS Purchases
- Watching TV: 52%
- Eating or drinking: 28%
- Commuting: 7%
- Working: 6%
- Engaged in other activities: 5%
- Cooking: 3%
Types of SMS Messages That Appeal to Consumers
What types of texts do consumers want to see? The best messages can generally be divided into three categories: transactional, exclusive, and money-saving.
- Transactional Updates
People appreciate texts that keep them informed about their purchases. This includes order confirmations, updates on shipping and delivery, back-in-stock notifications, and reminders for product subscriptions. - Exclusive Offers and Experiences
Consumers enjoy receiving texts that feel personal. These exclusive communications build stronger connections with the brand, whether it’s a birthday discount or a tailored message. - Discounts and Deals
Unsurprisingly, promotions and sales are among the most welcome types of SMS messages. People appreciate receiving coupons or discounts that help them save money.
Top SMS Messages People Want to Receive More Often
- Shipping and delivery updates: 51%
- Coupons and promotional codes: 42%
- Order confirmations: 39%
- Birthday discounts: 37%
- Announcements about sales and promotions: 32%
Exclusive Messages Consumers Want to See More
- Birthday-related offers: 34%
- Loyalty rewards and unique benefits: 33%
- Early access to sales and product launches: 31%
- Personalized coupons or deals: 31%
- VIP promotions and sale announcements: 26%
SMS Messages Consumers Want Less Frequently
Not all types of text messages are popular. Certain notifications feel like overkill to recipients, and brands need to be mindful of sending these types too often.
- Abandoned cart notifications: 37%
- Low stock warnings: 34%
- Reminders based on previous actions: 33%
- Informative or helpful content without sales intent: 32%
- Updates about new products: 32%
Key Takeaways for SMS Campaign Success
Understanding what your audience prefers—when and how often to message them—can significantly enhance your SMS marketing effectiveness.
By balancing the right frequency, timing, and message types, you can maximize engagement while minimizing the risk of people opting out of your text lists.
Stay compliant with regulations and send messages when your audience is most likely to engage to ensure the best results.
Why Do People Opt Out of SMS?
Understanding why people unsubscribe from SMS messages is key to improving your strategy. The most common reason is overwhelming subscribers with too many texts.
While SMS marketing can be effective, sending excessive messages can push people away.
Here’s why people typically unsubscribe:
- Receiving an excessive number of messages: 61%
- Repeatedly getting the same message: 57%
- Messages without any clear purpose: 53%
- Irrelevant topics or products: 46%
- Messages that seem impersonal: 44%
- Duplicates of email and SMS messages: 37%
- Messages arriving at unsuitable times: 35%
- Content focused only on discounts and sales: 17%
How SMS Impacts Customer Loyalty and Engagement?
Research shows a strong connection between SMS marketing and customer loyalty. SMS subscriptions boost brand interaction, as many people are loyal to the brands they subscribe to.
Subscribers often engage more frequently with brands via SMS. While 39% of users sign up for SMS due to a brand they love, an even more significant percentage—59%—are more likely to interact with the brand after subscribing.
Number of Brands Subscribers Follow
- 2-3 brands: 45%
- 4-5 brands: 29%
- 1 brand: 12%
- 6-7 brands: 8%
- More than 7 brands: 7%
Frequency of Purchases After Receiving Texts
- 2-3 purchases a year: 56%
- 4-5 purchases a year: 21%
- One purchase in the past year: 14%
- More than six purchases: 9%
Balancing Email and SMS: Channel Preferences
Many people prefer to receive particular messages via specific communication channels. Sending the same message through email and SMS can be helpful, but it isn’t always necessary.
Some consumers prefer to receive specific messages via one platform over the other, making it essential to segment your audience based on these preferences.
According to feedback, 35% of users find receiving identical messages through email and SMS helpful, while 27% say it depends on the message type.
Here’s how preferences for email and SMS compare across different types of communication:
- Shipping updates and delivery confirmations: 32% prefer SMS, 46% prefer email
- Birthday offers: 26% favor SMS, 47% prefer email
- Order confirmations: 24% prefer SMS, 54% choose email
- Discounts and coupons: 23% opt for SMS, 50% prefer email
- Restock alerts: 23% prefer SMS, 44% prefer email
- Early access to exclusive sales: 22% prefer SMS, 46% opt for email
- Promotion and sale notifications: 21% opt for SMS, 48% prefer email
- Subscription order changes: 21% choose SMS, 50% prefer email
- Product subscription reminders: 20% favor SMS, 47% prefer email
- Loyalty program benefits: 20% prefer SMS, 51% prefer email
- Low stock notifications: 18% prefer SMS, 37% opt for email
- Abandoned cart reminders: 18% prefer SMS, 39% choose email
- Announcements about upcoming events: 18% favor SMS, 46% choose email
- Activity-based messages: 18% prefer SMS, 41% prefer email
- New product updates: 15% prefer SMS, 47% choose email
- Helpful, non-sales content: 15% prefer SMS, 44% prefer email
Why Email and SMS Work Best Together?
A combined email and SMS strategy is the most effective way to cater to diverse customer preferences.
People want different messages on different platforms, so utilizing both methods helps reach them more effectively.
When it comes to time-sensitive notifications, SMS is often the preferred channel. However, emails are favored for less urgent messages, like detailed order information and loyalty program updates.
Tailoring Your Approach
You can enhance your customer engagement by understanding what works best for SMS and email.
Tailoring the frequency, content, and channels according to audience preferences helps build stronger relationships and reduce unsubscribe rates.
Avoid bombarding subscribers with repeated messages, and ensure that your communications remain purposeful, timely, and personalized to maintain a positive experience.
Regional Insights on SMS Marketing Trends
To help businesses craft better international SMS marketing plans, a study was conducted among consumers from North America, Europe, and APAC regions.
The findings reveal several regional variations that brands should consider when implementing their strategies.
SMS Usage Preferences in North America
In North America, SMS marketing holds a strong position as a favorite communication channel.
About 30% of consumers prefer SMS, higher than the global average of 24%. For brands in this region, text messaging is crucial for reaching customers effectively.
North American shoppers are also more inclined to purchase earlier in the day, though this is a relaxed rule.
Businesses in this region should conduct A/B testing for message timing more frequently than in Europe or APAC to identify the best moments to engage their audience.
Moreover, consumers in North America are more open to receiving multiple SMS messages per week.
However, they tend to favor transactional messages, such as order updates or shipping notifications, focusing on completing tasks rather than promotional content.
European Consumers Value Brand Loyalty
European shoppers show the highest level of loyalty when it comes to SMS marketing.
A significant 61% of Europeans report being loyal to three or more brands, surpassing North Americans at 45% and APAC consumers at 48%.
This loyalty translates into frequent SMS interactions with multiple companies.
Europeans are the most active subscribers, with 46% signing up for four or more brands via SMS. This number exceeds the 38% of North Americans who subscribe to multiple SMS lists.
SMS marketing in Europe also sees higher repeat purchase rates. Europeans are the most likely to have bought from a brand via SMS 4-5 times in the past year.
This figure stands at 23% for Europeans, 18% for North Americans and 17% for APAC consumers.
This demonstrates the effectiveness of SMS campaigns in fostering ongoing purchases in the European market.
Discounts and Personalized Offers Drive SMS Sign-Ups in APAC
In the APAC region, SMS sign-ups are primarily influenced by discounts. A majority—66%—of APAC consumers say that receiving a discount would make them more likely to subscribe to SMS updates.
This is notably higher than the global average of 59%, highlighting the importance of promotional incentives in this market.
APAC consumers also have different expectations regarding the frequency of SMS messages.
They prefer receiving SMS communications no more than once per week, which is less frequent than what North American audiences are comfortable with.
Another key finding is that people in APAC prefer more distinct experiences between email and SMS marketing.
Around 40% of APAC consumers believe receiving the same message via email and SMS is repetitive.
This contrasts 32% of North Americans and 31% of Europeans who feel the same way. Therefore, brands should offer differentiated messaging to cater to this preference in the APAC region.
Enhance SMS Campaigns with Klaviyo
Ready to use these insights to improve your SMS marketing efforts? Klaviyo, a leading SMS and email marketing platform, provides all the tools you need to create successful campaigns.
With solid reviews on platforms like G2 and TrustRadius, Klaviyo is highly regarded by industry experts.
Elliot Scott, CEO of the London-based retention agency ElliotDigital, even praises Klaviyo as “the best in the industry” for SMS marketing. His agency relies solely on this platform for both email and SMS campaigns.
Here’s how Klaviyo can help boost your SMS strategy:
- Build your subscriber list: Utilize targeted sign-up forms, QR codes, check-out opt-ins, and AI-optimized form display.
- Seamlessly integrate SMS and email: Use advanced segmentation to tailor messages across both channels.
- Create personalized customer journeys: Craft unique experiences with hyper-targeted audience segmentation.
- Stay compliant with regional laws: Automate message scheduling based on time zone to respect quiet hours.
- Convert one-time buyers into repeat customers: Use personalized campaigns to foster brand loyalty.
- Enhance post-purchase communication: Deliver important transactional SMS messages to improve the customer experience after purchasing.
By utilizing these strategies, businesses can tap into the power of SMS marketing and tailor their approach to meet customers’ preferences in different regions.
From North American consumers who prefer transactional messages to European shoppers who engage in frequent purchases and APAC users who value discounts and unique experiences, a well-planned SMS campaign can make all the difference.