SMS usage has surged in recent years, with Gen-Z and millennials favoring texting as their primary communication method. As a business owner, staying informed about the latest SMS marketing statistics is crucial.
This article highlights key trends, statistics, and insights for SMS marketing in 2024. It is based on extensive research and data from various SMS marketing reporting tools.
Two-thirds of the world's population uses SMS, providing businesses with the opportunity to reach this vast audience through relevant text messages.
Introduced in the 1980s, SMS has seen remarkable growth over the years. Today, it is widely adopted by businesses worldwide, seamlessly integrating into various aspects of customers' lives.
Why Should You Incorporate SMS Marketing into Your Overall Strategy?
In today’s fast-paced, social media-driven world, consumers have shorter attention spans. Capturing their attention is essential to boosting ROI, and SMS marketing can elevate your marketing efforts. With SMS, you can engage customers anywhere, running campaigns to collect feedback, send event reminders, offer VIP sale access, or nudge them to complete purchases after abandoning their shopping carts.
The following general
SMS marketing statistics show SMS marketing is effective.
- SMS has a 45% response rate, which is 9x the email.
- 42% of consumers love to receive promotional offers through SMS because it is fast and easy to access.
- SMS marketing has a 19% average click-through rate.
- Approximately 75% of consumers prefer to receive special offers via SMS.
- Two-way text messaging can improve business efficiency by almost 80%.
- As per the study, the SMS delivery rate is 98%
- US consumers prefer SMS over calls for customer service.
Therefore, we recommend you include SMS marketing in your overall marketing strategy.
Why Stay Updated with Current SMS Marketing Statistics?
Keeping up with current statistics is essential for crafting effective marketing strategies that align with customer needs. In today’s fast-paced world, relying on outdated data can lead to ineffective campaigns, missed opportunities, and wasted resources. Staying informed about the latest SMS marketing trends allows you to optimize your campaigns, ensuring higher engagement, improved customer satisfaction, and better conversion rates.
Key SMS Marketing Statistics
- Studies show that SMS coupons are redeemed ten times more often than traditional coupons, with 32% of recipients responding to SMS offers. Around 80% of businesses use SMS marketing software, and about 70% plan to increase their text message marketing budget in 2025.
- The report also highlights that businesses following up on emails with text messages boost email open rates by 20-30%. Over 85% of businesses consider
SMS marketing a valuable strategy for digital success.
- Additionally, 75-78% of customers prefer SMS communication over phone calls. Businesses using SMS for campaigns can see an open rate of 98%, five times higher than email open rates.
- In 2024, 79% of consumers have opted in to receive SMS messages from businesses, up 11% from the previous year. 58% of customers believe SMS is the quickest way for businesses to reach them.
- Globally, businesses are expected to spend around $790 million on SMS marketing in 2024, with US companies allocating 40% of SMS ad spend to SMS advertising. These statistics clearly show the power of SMS marketing for engaging consumers.
Which Industries are Leading in SMS Marketing Adoption?
The retail sector leads SMS marketing adoption, with 80% to 85% of retailers using text messages to connect with customers. Other major adopters include healthcare, e-commerce, and real estate. Text messaging is personal, simple, direct, cost-effective, and immediate, making it ideal for businesses to send reminders, updates, and personalized offers.
Here are some key SMS marketing statistics by industry.
SMS Marketing Statistics by Industry
- 50% of the e-commerce sector uses SMS to promote their offers.
- Around 47% of customers believe the retail industry is the largest user of SMS marketing.
- Retailers can expect a 25x ROI from SMS marketing.
Retail,
e-commerce, healthcare, and real estate are the top industries set to benefit from SMS marketing in 2024. Retailers use SMS to drive sales with personalized offers, while healthcare uses SMS for health alerts, tips, and appointment reminders. The real estate sector relies on SMS to quickly update potential buyers or renters on market trends and new listings.
Effectiveness of SMS Marketing Across Channels
How Does SMS Marketing Compare to Other Digital Marketing Channels in Terms of Engagement?
SMS boasts a significantly higher open, read, and engagement rate compared to other digital marketing channels like email, push notifications, and social media. While email typically has an open rate of 20% to 30%, SMS enjoys an impressive 98% open rate. Social media engagement tends to be lower than SMS engagement. SMS's high open rate is attributed to its direct delivery to the customer's mobile phone.
Here are some benefits and limitations of SMS marketing compared to other digital marketing channels:
Benefits:
- High open rates
- Quick delivery and action
- Personalized, direct communication
Limitations:
- 160-character limit may restrict message content
- Businesses must adhere to 10DLC and TCPA guidelines for higher opt-ins, limiting the initial audience
Effectiveness and Satisfaction in SMS Marketing
How Effective is SMS Marketing in Reaching Mobile Users Compared to Other Methods?
Despite the rise of innovative mobile marketing techniques, SMS marketing remains highly effective in 2024. Its nearly 100% delivery rate is a significant advantage, as it doesn't rely on internet connectivity or app downloads, unlike push notifications, which only reach consumers who have installed the app and enabled notifications.
Customer Satisfaction with SMS Marketing
Approximately 64% of customers express high satisfaction with receiving SMS from brands. Many feel curious about the new text they receive from a brand, with other emotional responses including:
- 64% feel curious
- 27% feel happy
- 23% feel excited
- 17% experience anxiety
- 15% feel annoyed
Satisfaction largely depends on relevance, personalization, and frequency. Customers appreciate personalized messages that cater to their preferences and provide clear value. To improve customer satisfaction, consider the following tips:
- Craft meaningful messages that align with customer interests.
- Avoid overwhelming customers with excessive messages.
- Use customer data to create tailored communications.
- Keep customers informed with regular updates on products, services, and promotions.
- Notify customers about loyalty rewards and special offers via text.
- Encourage customer feedback and make them feel valued.
By following these tips, businesses can enhance customer retention and foster long-term relationships.
Bottom Line
In conclusion, like other marketing channels, SMS marketing continues to evolve. Staying updated on the latest SMS marketing statistics allows you to create impactful campaigns. As the saying goes, 20% of your customers drive 80% of your sales—so the message is clear: use SMS marketing effectively to drive customer loyalty and increase profitability.
Through SMS marketing, businesses can deliver timely updates, valuable content, and personalized offers, helping maintain strong connections with consumers. SMS is essential today, and its future is promising, making now the perfect time to start.