30 SMS Marketing Statistics You Need to Know For 2024
Today’s businesses are always looking for new ways to improve their marketing strategies. One method that has proven to be effective is SMS marketing, which sends messages straight to customers’ phones.
To help you fully understand the power of SMS marketing, we’ve put together a detailed list of key statistics for 2024. This guide will answer important questions such as:
- What makes SMS effective for reaching customers?
- Why do people prefer SMS over other communication methods?
- How can businesses get the most value out of SMS marketing?
- How can SMS help reduce online shopping cart abandonment?
- How can businesses offer SMS promotions without annoying customers?
Once you understand these statistics, you’ll gain valuable insights into why SMS should be a key part of your marketing strategy. Let’s get started!
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Why Should Businesses Start Using SMS?
SMS marketing has become important due to the widespread use of mobile devices. With more people relying on their smartphones for communication, shopping, and daily tasks, businesses have a unique chance to connect to customers.
One of SMS’s biggest benefits is its ability to deliver personalized messages. Consumers expect communications that are relevant to their needs.
When businesses use SMS to send personalized offers, like addressing customers by name or tailoring promotions based on past purchases, they see higher engagement.
A personalized approach makes customers feel valued and can lead to greater loyalty and sales.
SMS marketing also has the advantage of automation. Businesses can use automation tools to send timely messages based on customer behavior, like a reminder if a customer leaves items in their cart or a thank-you SMS message after a purchase.
SMS works well when combined with other marketing channels like email and social media.
Using a mix of these channels allows businesses to create a more complete marketing strategy that reaches customers in different ways.
Quick Look at SMS Marketing Stats for 2024
SMS marketing continues to be a powerful tool for businesses. Here’s a rundown of some key SMS marketing statistics for 2024:
- The SMS marketing industry is on track to reach $12.6 billion by 2025.
- Businesses get $71 back for every $1 spent on SMS marketing.
- 85% of Americans own smartphones, with 97% able to receive text messages.
- US adults check their phones 114 times daily, showing the importance of mobile marketing.
- 72% of retailers prioritize SMS and omnichannel for 2024 growth.
- Marketing text messages boast a 98% open rate.
- 95% of SMS messages are read within three minutes.
- 91% of consumers prefer SMS for fast and personal updates.
- SMS campaigns see CTRs between 19% and 36%.
- 53% of marketers rank SMS among their top three revenue sources.
- 77% of consumers appreciate the convenience of SMS for updates and offers.
- Gen Z and millennials prefer texting for communication.
- Nearly 60% of US consumers favor digital over paper coupons.
- 66.5% of online shoppers abandon their carts due to unexpected costs.
- 28% of consumers have stopped using a brand due to excessive SMS marketing.
- 51% of consumers like free gifts, and many also value personalized service.
- 49% of businesses use AI to improve SMS relevance and customer interaction.
- 75% of consumers prefer offers via SMS, but too many texts can lead to opt-outs.
- 48% of consumers are willing to pay more for fast customer service via SMS.
30 General SMS Marketing Statistics for 2024
Below are some of the SMS marketing stats that highlight why text marketing is an essential tool kit for your marketing strategy.
1. SMS Marketing Set to Hit $12.6 Billion by 2025
According to Grand View Research, the SMS marketing market size is expected to be worth over $12.6 billion by 2025. This shows how fast SMS marketing is growing and how much businesses are investing in it.
Companies see that text messages are an effective way to reach customers directly. Text messages are messages that people actually read and act on much more often than other forms of marketing, like emails.
2. SMS Marketing Delivers $71 ROI for Every Dollar Spent
SMS marketers enjoy an impressive return on investment (ROI), generating $71 for every dollar spent on SMS campaigns. This shows how cost-effective and profitable SMS marketing can be for businesses.
3. 85% of Americans Own Smartphones
As of January 2024, a survey by Pew Research indicates that smartphone ownership in the United States has risen to 85%, an increase from 60-65% eight years earlier.
When considering all types of mobile phones, including basic models, this number increases to 97%.
This suggests that while 85% of Americans can access the internet and email via their smartphones, an even wider 97% can receive text messages on their mobile devices.
4. US Adults Check Mobile Phones 114 Times Daily
According to data from Insider Intelligence, US adults check their phones on average 114 times a day, often within the first 10 minutes of waking up. This shows just how central smartphones are in people’s daily routines.
5. SMS and Omnichannel Commerce to Drive 2024 Growth
A December 2023 Bolt survey found that 72% of U.S. digital retailers believe that focusing on omnichannel commerce, including SMS, will have the biggest impact on their business in 2024.
This puts SMS on the same level as AI and ahead of mobile shopping and payment innovations.
6. SMS Marketing Delivers $71 ROI for Every Dollar Spent
For every dollar a business invests in SMS marketing, it can expect to receive $71 in return.
This impressive ROI can be attributed to SMS messaging’s direct and personal nature. It typically has higher open and engagement rates compared to other marketing channels.
7. SMS Marketing Sees 98% Open Rate
The 98% open rate for SMS marketing shows the effectiveness of SMS as a communication channel.
Nearly all SMS messages sent by businesses are opened by recipients, making it one of the most reliable ways to reach their audience.
8. 95% of SMS Read Within Three Minutes
95% of SMS messages are read within just three minutes of being delivered. Quick response time makes SMS a highly effective channel, especially for urgent updates or time-sensitive offers.
9. Customers Favor SMS for Fast, Personal Updates
91% of consumers prefer receiving SMS communication from businesses for quick delivery of important updates, promotions, and personalized messages.
Unlike emails or app notifications, SMS does not require internet access and allows consumers to engage with content on their own terms.
10. SMS Campaigns Hit 19-36% Click-Through Rates
Reports indicate that the average click-through rate (CTR) for text message marketing typically ranges from 19% to 36%.
Such high CTRs indicate SMS’s direct and personal nature, which makes it a powerful strategy to drive specific consumer behaviors.
11. 53% of Marketers Rank SMS Among Top Revenue Channels
In the 2023 Marketing Benchmarks Survey, 53% of marketers consider SMS one of the top three channels driving revenue for their brands.
Moreover, for 22% of these marketers, SMS contributes to over 20% of their total revenue.
12. 77% of Consumers Value SMS for Quick, Trustworthy Updates
77% of consumers appreciate the convenience and immediacy of SMS for receiving updates, offers, and important notifications from businesses they trust.
It suggests that SMS, as a direct and personal form of engagement, can improve a brand’s image.
13. Texting Is Key to Engaging Gen Z And Millennials
Texting has become a powerful way for businesses to engage younger audiences, especially Gen Z, who prefer the quick, convenient nature of SMS for staying informed.
But this trend isn’t new; millennials, those between 27 and 42, have been using texting as their primary form of communication since as early as 2009, according to sociologists.
14. Nearly 60% of US Consumers Prefer Digital Coupons
According to a 2023 report by Statista, nearly 60% of consumers in the United States showed a preference for digital coupons.
The majority of consumers favor the convenience and accessibility that they offer over traditional paper coupons.
SMS loyalty programs are a great way for businesses to keep customers engaged and coming back. These programs work by sending personalized offers, discounts, and rewards directly to customers through text messages.
15. Cart Abandonment Rate of 66.5% Due to Unexpected Checkout Costs
Conversific’s research shows that the average rate at which people leave online shopping sites without buying the items in their carts is 66.5%. That’s like seven out of ten shoppers not finishing their purchase.
A big reason for this—48% to be exact—is that shoppers see extra costs added at checkout that they weren’t expecting. This problem can be fixed if stores make sure all costs are clear from the start.
16. SMS Nuisance Drives Away 28% of Consumers
Validity surveyed over 1,200 people and found that nearly half (47%) often find marketing texts annoying, and 28% have even stopped using a brand because of them. This shows that businesses need to be careful with SMS marketing.
Sending too many texts or messages that aren’t relevant can turn customers away. Businesses must ensure their texts are useful and not too frequent to maintain a good relationship with their customers.
17. 51% of Consumers Value Free Gifts and Personalized Service
In a recent survey, 51% of U.S. consumers showed interest in receiving free gifts from businesses.
Close behind, 49% appreciated personalized recommendations, and 40% valued one-on-one support from companies.
These suggest that businesses should adopt a multifaceted marketing approach. It could be offering free products and providing personalized customer service to meet diverse expectations.
18. AI Boosts Customer Interactions With 49%
More businesses are using AI to improve how they talk to customers. About 36% are using or planning to use AI to handle phone calls, making conversations smoother and quicker.
Nearly half (49%) use AI to make their text messages relevant and timely for customers.
19. Customers Prefer Offers Via Text Messages
75% of consumers prefer getting special offers through text messages.
However, while 60% of them are okay with receiving a text from brands once a week, 71% point out that getting too many texts is the main reason they decide to stop receiving them.
19. Fast, Quality SMS Responses Build Customer Loyalty
Nearly half of consumers (48%) are willing to pay more for good customer service. In SMS marketing, this means businesses need to respond promptly to customer questions, issues, and updates.
Being able to quickly handle problems or provide information through texts shows customers that you value their time.
Fast, helpful responses through SMS can build stronger customer loyalty and even make them willing to spend more for better service.
20. SMS Strategies Drive Engagement and Retention
A carefully crafted SMS plan can lead to great outcomes, such as improved delivery rates, higher customer interaction, better retention, and increased profits.
Most people prefer receiving text messages that offer convenience, like “check-in now” or “skip the line,” or those that help them save money through special deals.
They also value messages that provide useful updates, such as reminders for appointments or tracking shipping.
21. SMS Follow-Ups Boost Email Open Rates
A recent survey on SMS marketing for 2024 found that following up an email with a text can increase the chances of the email being opened by 20-30%.
Using both email and SMS together is effective as the prompt from the SMS can lead people to check out the email they might have initially missed.
22. SMS Drives 6-8x Higher Engagement Than Email
Research shows that SMS generates engagement rates six to eight times higher than what retailers typically achieve with email marketing.
This suggests that SMS is far more effective, especially when used for tasks like data collection, redemption, and brand awareness.
23. SMS CTAs Drive 33% Response and 47% Purchase Rates
Call-to-actions (CTAs) are highly effective in SMS marketing. About 33% of people who receive SMS messages containing a CTA respond to them.
Even more impressive, nearly half of those recipients, 47%, end up making a purchase. This shows that SMS is effective in grabbing attention and driving actual sales.
24. Consumers Prefer Texting for Business Communication
Consumers say that texting is their preferred method for businesses to contact them. Many people find SMS convenient and less disruptive than other forms of communication, like emails or phone calls.
Businesses that use texting can often engage with their customers better, which leads to quicker responses and better interaction.
25. Curiosity Sparks Engagement in SMS Marketing
When consumers get a new text message, they often feel curious first.
The curiosity drives people to read the message, and the positive feelings can make them more engaged with what it says. This works well for businesses using text messages for marketing.
26. 66% Use SMS to Engage with Businesses Worldwide
According to data from Salesforce in July 2023, about 66% of people worldwide use text messaging to interact with companies, while 65% use messenger apps.
Even though other communication channels, such as email (93%), phone calls (88%), and mobile apps (76%), are used more frequently, a majority still engage with businesses via SMS.
The continued relevance of text messaging as a communication tool offers businesses a direct way to engage their audience.
27. SMS Builds Trust in AI Use with Clear Communication
Concerns about AI’s ethical use are growing—74% of people worry about privacy and fairness, and 80% want human oversight—SMS can be a valuable tool for maintaining trust.
Businesses can use text messages to transparently communicate how AI is being used, such as notifications when AI processes customer data or updates services.
28. SMS Boosts Customer Service to Drive Repeat Business
Since 88% of customers say good customer service makes them more likely to buy again, improving customer service is important for businesses.
SMS can be a key tool here because it allows businesses to quickly respond to customer inquiries, send timely updates, and handle concerns.
Prompt and personal approach via text can make customers feel valued and more satisfied with the service.
29. 90% of SMS Responses Occur Within 30 Minutes
The fact that 90% of people reply within 30 minutes of receiving a text shows just how quickly SMS can reach and engage an audience.
Quick response is especially useful for businesses that need fast communication, like customer support or urgent promotional messages.
30. Text Messaging is Preferred by The Majority of Young Adults
A study found that students regularly communicate with many contacts over long periods and often handle conversations with up to nine people at once. This shows that texting is a central part of their communication habits.
Final Thoughts About SMS Marketing
The stats make it clear: SMS marketing can do wonders for your business. To get the most out of it, you need the right platform, and that’s how Textellent can help.
We make it easy to connect with leads and keep them engaged.
With Textellent, you can send personalized messages right when someone shows interest and keep the conversation going with automated follow-up campaigns.
Let us help you boost your marketing efforts and grow your business with effective, timely SMS campaigns. Sign up for a free trial or schedule a demo consultation today.
FAQs About SMS Marketing Statistics
How does SMS marketing integrate with other marketing strategies?
SMS marketing works well in conjunction with other channels like email, social media, and push notifications. For example, a business might send a detailed promotion via email and follow up with a quick reminder through SMS.
This multi-channel approach ensures that customers receive the SMS message across different platforms, which increases the likelihood of engagement.
What are the legal considerations for SMS marketing?
Businesses must comply with regulations such as the Telephone Consumer Protection Act (TCPA) in the U.S., which requires obtaining explicit consent from consumers before sending SMS marketing messages. Non-compliance can result in fines, so you must understand and adhere to legal requirements.
What metrics should businesses track in SMS marketing?
Key metrics to track for a successful SMS marketing strategy include open rates, click-through rates, conversion rates, and unsubscribe rates.
Monitoring these metrics helps businesses understand the effectiveness of their SMS marketing campaigns and make necessary adjustments to improve performance.