Supplement, but Don’t Replace Email

Many brands might ask the importance of multi-channel CRM and why they should include conversational SMS alongside email. Both email and SMS play different but essential roles in marketing communications. Email marketing has many benefits: it can include a high volume and variety of content and information, it’s less intrusive than SMS communications, and users can easily convert from email. However, email has a much lower open rate overall (around 10-20%, depending on the industry).

On the other hand, SMS has a much higher open rate—close to 99%. It’s more urgent than email, but it can be seen as intrusive and has restrictions on the type of content and amount of copy. Text message marketing must be used cautiously and within the right context, or you risk alienating customers.

Sometimes users will activate from SMS because it’s more urgent and can be easier to find, but they might use email to reference product information and offers. Email may have much lower open and click-through rates than SMS, but that does not mean you should stop email communications altogether. You’re likely reaching two different audiences (with some possible overlap) in the way they prefer to be communicated with.

Including both channels in your strategy ensures you’re not missing out on a segment of your consumers who are easier to reach through a specific channel.

Conversational SMS – Bridging the Gap Between Online & Offline Experiences

While traditional SMS communications provide value, conversational SMS takes it a step further. As Alvin Glay, our VP of Growth & Insights, states, “From a CRM perspective, I think it’s a platform a lot of brands can use to bridge the online/offline gap and experiment with. It can drive a lot of innovation, impacting revenue in both point-of-sale as well as digital.”

For example, a brand could sell multiple products in a brick-and-mortar retail location. For a potential customer to understand which product suits their needs, they could text a short-code or scan a QR code from a display in the store and have a conversation through SMS. In this conversation, they could list their needs and preferences and learn which product best suits them. With conversational SMS, users receive information immediately and don’t need to search online. This helps bridge the online and offline gap and reduces customer pain points when looking for product information.

When executed correctly, conversational SMS benefits both brands and their customers and prospects. For brands, it’s a great way to learn more about their audience, respond with answers, and save it all to the user’s profile in the CRM database to help with personalization and driving conversions. Brands can learn more about the users’ preferences and provide more personalized, relevant experiences. Alternatively, it gives consumers a chance to engage with brands and provide them with feedback to personalize and customize their experience. As Streck points out,

“Users are more likely to provide information if marketers are willing to use it to improve their experience by providing more relevant offers, recommending the right products, and reaching them at the right time.

Be Mindful & Add Value

Often as marketers, we would like to add another channel to our communication strategy, but we worry we will repeat ourselves or users will receive too many communication attempts. It’s more important to ensure the messages are timely, relevant, consistent, and provide value.

Since SMS is an invasive channel, brands must ensure they are careful with the types of communication they send to users on their mobile devices. The timing is crucial as it alerts the user at the time of sending, so it’s important to pay close attention to metrics like the number of opt-outs. The messaging and offers need to be consistent among channels. Conversational SMS should provide value for the user. Value doesn’t need to be an offer or a coupon; it could be a piece of content or information. If you’re providing value or personalized content, frequency and redundancy are a little less important.

With the loss of third-party data becoming more prevalent, brands need to explore additional ways to learn about their customers. Reach out to us if you’re interested in leveraging conversational SMS for your brand.