Messaging
How SMS enhances customer engagement
Learn how SMS drives customer engagement through tailored messages, behavior-based strategies, and improved customer interactions.
SMS is a reliable communication channel for businesses, offering exceptional open rates of up to 98%, according to SMS Comparison. Its direct nature makes it ideal for delivering timely, relevant messages that engage customers.
By prioritizing SMS customer engagement, businesses can create meaningful connections, improve satisfaction, and build loyalty.
Why SMS works for customer engagement
Modern customers expect communication tailored to their preferences and behaviors. SMS customer engagement enables businesses to deliver messages that feel personal and relevant. Tailored messaging builds trust and drives interaction, making it a valuable tool for customer-focused businesses.
According to recent research from SimpleTexting's 2025 SMS Marketing Report, 84% of consumers have opted in to receive SMS messages from businesses, a 35% increase since 2021. This growing acceptance makes SMS one of the most effective channels for direct customer communication.
"A strong early response is often an indicator that the message resonated with the audience, while low early engagement signals a need for adjustments. In one campaign targeting repeat customers, personalized messages improved conversion rates by 23% compared to generic texts."
— Tracie Crites, CMO, HEAVY Equipment Appraisal
SMS vs. email engagement: A comparison
Understanding how SMS stacks up against email helps businesses allocate resources effectively. Here's how the two channels compare:
| Metric | SMS | |
|---|---|---|
| Open rate | 98% | 20-21% |
| Response rate | 45% | 6% |
| Average read time | Within 3 minutes | 90+ minutes |
| Click-through rate | 28% | 2.6% |
| Spam rate | 3% | ~85% |
| Preferred for urgent updates | Yes | No |
Sources: Forbes, Gartner, Business.com, RedEye
These metrics demonstrate why SMS continues to outperform email for time-sensitive communications and customer engagement campaigns.
Effective strategies for SMS customer engagement
Engaging customers through SMS requires a thoughtful approach. From personalization to timing, the right strategies can turn simple messages into meaningful connections.
Personalized promotions and offers
SMS allows businesses to tailor promotional messages based on customer data. For example, a retail store might send a special discount for a customer's favorite product, boosting the likelihood of engagement and conversions. This same principle works in many other fields. For auto repair businesses, a dedicated CRM tool for auto shops can power these personalized messages. It tracks customer history, allowing shops to send timely reminders about services like an oil change to improve customer satisfaction and retention.
With Telnyx's MMS API, businesses can enhance these promotions with rich media like images and videos, creating even more engaging customer experiences.
Timely updates and reminders
Real-time SMS notifications keep customers informed about order statuses, appointment reminders, or event changes. This kind of immediate communication improves the customer experience by ensuring they're always up to date.
For businesses looking to automate these touchpoints, the automated appointment reminders use case demonstrates how to reduce no-shows and improve customer satisfaction.
Behavior-driven messaging
Using customer actions to trigger SMS messages creates a highly relevant experience. For instance, sending a follow-up SMS after a cart abandonment can encourage customers to complete their purchases.
The customer notifications system use case shows how businesses can set up triggers to send account-related notifications at specific times or based on specific events.
Localized messaging
Tailoring SMS messages to a customer's location or language increases engagement. Whether it's a region-specific promotion or content in the customer's preferred language, localized messaging makes communication feel more personal.
Feedback and surveys
SMS is a great way to gather customer feedback. Businesses can personalize survey requests by referencing recent purchases or interactions, encouraging higher response rates and actionable insights. To make this process smoother, many teams integrate customer feedback software that automates survey collection and analysis, turning raw feedback into insights for improving engagement, retention, and product decisions.
Building on these strategies, here are some best practices that can ensure your SMS campaigns drive meaningful results.
Key SMS engagement tips
Here's a quick reference guide for maximizing your SMS customer engagement efforts:
| Tip | Description | Impact |
|---|---|---|
| Personalize every message | Use customer data to include names, preferences, and purchase history | Increases conversion rates by up to 23% |
| Optimize send timing | Send messages when customers are most likely to engage (often evenings) | 45% of consumers make purchases via SMS during evening hours |
| Keep messages concise | Limit messages to 160 characters when possible for maximum readability | Higher completion rates and clearer calls to action |
| Enable two-way communication | Allow customers to reply and engage in conversation | Builds trust and increases response rates by 295% vs. phone calls |
| Segment your audience | Group customers by behavior, demographics, or purchase history | More relevant messages lead to higher engagement |
| Respect frequency limits | Avoid over-messaging to prevent opt-outs | 61% unsubscribe due to receiving too many messages |
| Include clear CTAs | Use actionable phrases like "Shop Now" or "Confirm Appointment" | Drives immediate customer action |
| Ensure compliance | Obtain proper consent and provide opt-out options | Maintains trust and meets TCPA requirements |
Best practices for successful SMS engagement
Mastering SMS engagement means following proven practices. These five tips will help you craft messages that resonate, build trust, and drive customer action.
- Segment your audience: Divide your customer base into groups based on demographics, behaviors, or purchase history to ensure your messages are relevant and valuable.
- Use automation tools: Automation platforms, like Telnyx's SMS API, enable businesses to send personalized messages efficiently and at scale.
- Include clear calls to action: Use actionable phrases like "Redeem Offer" or "Share Feedback" to guide customers toward their next steps.
- Respect customer preferences: Always provide opt-out options and honor communication preferences to maintain trust and compliance.
- Leverage two-way SMS: Enable customers to respond and engage in conversations. Learn more about two-way SMS communication to build stronger relationships.
With these tips in mind, you're ready to maximize your SMS efforts.
Industry applications
SMS customer engagement works across multiple industries. Healthcare providers use it for patient engagement and appointment reminders, while logistics companies leverage it for dispatch, bookings, and real-time updates. Retailers can explore retail SMS strategies to drive sales and customer loyalty.
For businesses looking to combine SMS with broader customer experience initiatives, the sales and marketing solutions page offers comprehensive guidance on building conversational AI into your applications.
Building stronger customer relationships with SMS
SMS customer engagement is about more than sending messages. It's about delivering value to your loyal customers. By focusing on personalization, timing, and relevance, businesses can create lasting customer connections. Investing in strategies like behavior-driven messaging, localized content, and feedback collection ensures every SMS delivers a meaningful impact.
As you refine your SMS approach, remember that success lies in balancing clear communication with genuine value. Whether you're sending personalized offers, transactional updates, or service reminders, your messages should resonate with your audience and meet their needs. With the right tools and a customer engagement platform, SMS can become a useful part of your overall strategy, driving results that go beyond simple interactions.
Getting started with Telnyx SMS
Ready to implement these strategies? Telnyx provides comprehensive resources to help you get started:
- Developer documentation: The Telnyx Messaging API quickstart guide walks you through sending your first SMS in about 5 minutes.
- Scheduling messages: Learn how to schedule SMS and MMS messages for optimal timing.
- Support resources: The Telnyx SMS Guide covers everything from setup to advanced configurations.
- Toll-free messaging: Understand toll-free messaging best practices for compliance and deliverability.
Telnyx is an industry leader in communications technology. Our SMS API empowers businesses to send reliable, high-quality messages globally, all backed by robust features like two-way messaging, detailed analytics, and enterprise-grade deliverability. With Telnyx, you get a developer-friendly platform, 24/7 expert support, and competitive pricing that ensures you're always ahead of the curve.
Contact our team of experts to strengthen your customer engagement strategies with Telnyx SMS API.
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