3000% ROI Using SMS Marketing!

There hasn’t been a better time for advertising — customers can now be reached anywhere and at all times, which naturally puts businesses in a very favourable position.

Companies can now attract higher numbers of customers to their stores by using something as easy as a text message. Who would have known that SMS marketing will become among the most effective marketing mediums that clock in a thirtyfold return on investment?

The benefits of SMS

Text message marketing is gradually entering a more mature stage in its development. Major businesses like Facebook, Walmart, and Google have started gradually adopting this relatively new marketing channel. Thus significantly smaller companies now have a better understanding of how to build a better strategy that will engage their audience and dramatically increase sales.

It all has to do with the importance of SMS messages in the communication hierarchy. We, as cell phone users, will very often turn off notifications from social media and emails, but people very rarely choose to disregard their text messages. Furthermore, over sixty percent of smartphone users unlock their phones immediately after waking up, and nearly eighty percent within the first 15 minutes of their day.

However, SMS marketing should be analyzed from the recipient’s perspective as well. Is it safe to assume that this type of marketing brings value to the end customer? A survey conducted by OpenMarket suggests that three-quarters of millennials consider that SMS messages and reminders are helpful, but only less than a third of them are actually receiving them from the brands and companies whose services they use. This is suggestive of the fact that businesses need to engage in a meaningful interaction with their customers via SMS messaging.

ROI and beyond

Text messaging has shown impressive returns on investment for many businesses over the years. However, given how diverse the implementation of SMS is for various industries and fields, it’s always best to have a more individual approach towards calculating ROI.

Furthermore, businesses that choose not to implement SMS marketing in their strategy aren’t simply missing out on additional revenue per se, they’re also falling behind their competition to ensure a holistic, multi-channel campaign with their customers.

SMS marketing can achieve wonderful results with a bit of creativity. One of the companies that have had an interesting approach to text message marketing, which in effect is Kiehl’s.

The company has reported that 73% of their customers that chose to sign up to their text message campaign have made a purchase within six months.

Other companies, especially retail businesses use SMS marketing to drive foot traffic to their E-commerce and physical stores.

Urban Planet, the department store chain has been growing its foot traffic and revenue for years by sending out SMS discounts to their customers, based on local sales, holidays, and new products.

SMS is worth investing in

The world of text message marketing knows almost no failed SMS campaigns, simply due to the fact that this type of advertising is incredibly efficient and provides businesses with an impressive return on their investments.

  • SMS messages feature a 98% open rate;
  • They are easily measurable;
  • There is no SPAM filtering that will interfere with your campaigns; and,
  • The delivery of the messages is immediate and direct.


SMS marketing is a powerful marketing channel that withstood the test of time. Businesses of all sizes have seen significant benefits from using it for customer support as well as well as advertising new products and promotions. Considering the tremendous ROI that text message marketing boasts, every business should consider investing time, effort, and budget into this marketing channel.

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