SMS marketing is a powerful tool for business growth and new statistics showcase its effectiveness. This blog will uncover key data and facts about text messaging to provide valuable insights for businesses and marketers.
Read on to learn the power of SMS and how you can best leverage text marketing to reach and engage your target audience.
14 Key SMS Marketing Statistics
SMS marketing is beneficial for businesses. From higher engagement to boosted conversions, SMS is a no-brainer for driving business growth. But don’t just take our word for it. Check out these powerful SMS marketing statistics.
User Behavior and Engagement
1. Texts have a 98% open rate.
Text messages have an exceptional 98% open rate, surpassing other channels by a landslide. For example, emails only have a 21.5% open rate. SMS is the clear choice for businesses that want to get their messages seen.
2. Most text messages are read within three minutes.
With pop-up notifications and a compelling red dot in the corner of SMS messaging apps, text messages are hard to resist. This is why texts have such a quick read rate. SMS stands out from other marketing channels and draws more attention from subscribers and customers.
3. On average, people respond to texts within 90 seconds.
Text messages boast an impressively rapid average response time of just 90 seconds, a stark contrast to the comparatively sluggish 90-minute response time associated with emails.
4. 28% of recipients click on links included in texts.
We discovered an impressive average of 28% of recipients who engage with a text message and proceed to click on an included link. This is well above the low 2.6% click-through rate observed in emails.
5. Customers prefer SMS over other channels.
Research makes it clear that customers prefer to communicate with businesses via SMS over other communication channels. One study shows that the majority (48%) of customers prefer to receive texts from brands over any other kind of communication.
6. Businesses have low SMS opt-out rates.
Most SMS subscribers stay subscribed. Research shows that the vast majority of businesses (81%) have average opt-out rates under 5% and 16% of businesses have average opt-out rates under 1%. That’s largely because SMS is an opt-in form of marketing, meaning subscribers want to hear from your brand.
Reach and Accessibility SMS Stats
7. SMS has a great global reach.
Text messaging is a widely accessible and popular means of communication. It has a remarkable global penetration rate, with 7.21 billion people and 90% of the global population having access to mobile phones capable of receiving text messages. This makes it a valuable tool for staying connected and communicating with others, regardless of location or time zone.
8. SMS is a widely adopted communication channel.
Nearly 4 out of 5 Americans own a smartphone. SMS is a widely accepted messaging service that can be used by almost all mobile phones. It is easily accessible to a wide range of users, including those who use basic feature phones.
9. SMS offers a broad demographic reach.
SMS has the potential to reach a wide range of individuals regardless of their demographics, age groups, income levels, and geographical locations. For example, 95% of Americans between the age of 18 and 49 own a smartphone with texting capabilities. This means that SMS is an effective way to connect with people from different backgrounds and locations, making it a versatile tool for businesses and organizations to communicate with their target audience.
10. It also provides reliable communication in remote areas.
Texting has proven to be a reliable communication channel in regions with limited or no internet connectivity. It is particularly crucial in remote or rural areas, where other digital channels may not be accessible.
11. It is complementary to other channels.
SMS marketing can be a great addition to your overall marketing strategy. It can work in conjunction with other channels, such as email, social media, and mobile apps, increasing your marketing efforts' reach and engagement. Combining SMS with other marketing platforms is a key trend for SMS marketing.
Text Marketing Stats about ROI and Conversion Rates
12. Text messages have a 45% response rate.
In an in-depth analysis of 100,000 text messages spanning diverse industries, Mozeo discovered that SMS has a substantial 45% response rate on average.
13. SMS marketing’s return on investment ranges from 18% to 40%.
Several studies show SMS marketing has a high ROI, ranging from 18% to over 40%. These statistics make SMS one of the most cost-effective marketing channels available.
14. 72% of recipients sign-up for perks via text.
In a follow-up internal study targeting 100 small business clients across diverse industries, we discovered that a whopping 72 individuals express a strong likelihood of signing up for coupons, deals, and perks through text messages. This finding proves that SMS is a preferred avenue for delivering promotional offers and incentives.
Industry-Specific SMS Marketing Stats
In addition to the key SMS marketing statistics listed above, industries have their own specific statistics. Here are some valuable text marketing statistics that reflect how different industries benefit from SMS marketing campaigns.
Retail and Ecommerce
- The top industry that customers would opt into SMS for is retail or e-commerce.
- One study showed nearly 3 out 4 customers made an online purchase through a text from a brand.
- 87% of SMS program subscribers in the U.S. are likely to make a purchase.
- In a customer study, 52% of customers said they were influenced to make a purchase from an SMS message.
- Abandoned cart SMS messages have an average conversion rate of 24.6% to 39.4%.
Customer Service
- In a group of surveyed consumers, 88% of them said they would use SMS to learn more about a product.
- Businesses that use SMS see a 20% reduction in customer service calls, giving businesses more time to address customer needs.
- 60% of consumers want two-way texting with businesses to get questions answered.
Healthcare
- 79% of healthcare businesses get SMS conversion rates over 20%.
- 82% of customers read SMS messages from healthcare providers.
- A study showed that over 95% of patients who received text updates felt more connected to their healthcare provider.
Restaurants
- Abandoned checkout texts from restaurants have a 10.1% to 14.2% click-through rate.
- Dominos implemented SMS marketing and saw a 25% coupon redemption rate.
- SMS marketing campaigns in the food and beverage industry increase engagement rates by 25%.
Statistics About the Future of SMS Marketing
What’s next for SMS marketing? Here are some statistics that reflect how SMS marketing will grow over the next few years.
- Spending for SMS marketing is expected to grow by 1.90% between 2025 and 2030, leading to an estimated market volume of $889 million. This means that companies are leaning more into SMS marketing spending more on text marketing campaigns.
- SMS marketing in the U.S. is expected to reach a compound annual growth rate (CAGR) of 20.8% by 2030. This data indicates that SMS marketing will see steady growth over the next 5 years.
- Smartphone use adoption is trending upward as it’s expected to reach 8.064 billion people by 2029. This means more people will use texting and increase the value of SMS marketing.
Facts About Texting
Now that we’ve covered key statistics and indicated the growth of SMS marketing, we’re sharing some more general facts about text messages. Here are some fun and fascinating facts about texting that your business may not know.
- The first text message ever sent was “Merry Christmas” by Neil Papworth in 1992.
- 18.8 million texts are sent per minute.
- Marcel Fernandes Filho set the Guinness World Record for fastest texter in 2014.
- The most used emoji in text messaging is 😂 (the laughing crying emoji).
Best Practices to Leverage SMS Marketing Stats
To effectively leverage SMS marketing statistics, it’s important to understand key insights and implement best practices to optimize your campaigns. Here are some recommended strategies:
Segment Your Audience
- Group your audience based on demographics, behavior, or preferences.
- Tailor SMS content to specific segments to increase relevance and engagement.
Personalize Your Texts
- Make your texts more personal by including recipient names or other personalized details in your messages.
- Reference past interactions or purchases to tailor recommendations and offers.
Leverage Opt-In Strategies
- Ensure your opt-in process is transparent and straightforward to build trust with your subscriber base.
- Offer exclusive deals, discounts, or content to encourage users to subscribe.
Include Compelling Calls-to-Action (CTAs)
- Craft direct and compelling CTAs to prompt immediate action from recipients.
- Create a sense of urgency to drive quick responses and conversions.
To gain more knowledge about sending a mass text, check out our beginner's guide on SMS marketing.
Launch Effective Marketing Campaigns via SMS with Mozeo
When you incorporate the best practices and statistics mentioned above into your SMS marketing strategy, you enhance the effectiveness of your campaigns and establish strong and meaningful connections with your target audience.
Mozeo is dedicated to helping businesses improve through SMS. Book a demo to learn more about how Mozeo can help your business grow!
