TRANSACTIONAL AND PROMOTIONAL SMS

Many people choose SMS platform to convey various purposes of the message. There are 2 types of SMS that are usually used in SMS business. Transactional SMS and promotional SMS. Some might be familiar with this term and some might never heard about this. So, this article will help you to know more about transactional and promotional SMS and their differences.

The first is transactional SMS. It is the kind of SMS that are sends to your customers to pass information about your services and products. This type of SMS mostly used by businesses to send vital information such as one-time passwords, booking reminders, confirmation, etc. Here is the example for transactional SMS : 


Dear %first_name%. Credit Bank: Your credit card account is past due. Please make a payment today. Visa-xxxx Text STOP to end



Without we realize, this transactional SMS make our daily life more easier either for registration process, shopping, security and many more. These are the benefits of transactional SMS to the users and recipient : 

• Reach large target audience - This message can reach everyone including to DND (do not disturb) numbers.

• Convenience - Since people usually will have their phone close to them, this will make it easier for them to receive the info.

While, promotional SMS it the kind of SMS that you send to promote your product, brand or services it offers. This promotional SMS are including sales and marketing message. To add on, the SMS will be considered as promotional SMS if it has been sent with the purpose to spread about something that is salable, no matter whether the SMS is desired or not by the recipient. This is the example for promotional SMS :


Receive DISCOUNTS on delicious breakfast specials! Text “YUMMY” to 832283 and get a FREE muffin with your next coffee!


The benefits for promotional SMS include :

• Develop customer engagement - This is a good way to enhance the connectivity with your customers by keep updating sales and marketing message to them successfully.

• Fast delivery - many survey proves that SMS is the effective marketing platform as it has open rate as high as 98%. This will help you to promote your business as the message are sent to recipients instantly.

To conclude and make it more clear, here is the main difference between transaction and promotional SMS :

Why are bulk SMS services the most important marketing tools?

Bulk SMS is the technology that helps you to easily send millions of text messages at a time to phone numbers home and abroad with just a click of a button. It is usually used by banks and insurance companies, retails, gaming industries, online services, E-commerce, small and big business. This bulk sms are commonly used for reminders, notifications, congratulations and information. So, it can be said that bulk sms are simple technology with variety of purposes.

Nowadays, we can see that the popularity of bulk SMS in different walks of like is growing exponentially. People around the world believe that SMS services is the most important marketing tools as no social messengers and email can outperform SMS services. In few seconds we can reach as many people as we want, when we want, no matter where they are. 

The reason behind this growing of interest in SMS services are : 

• Staggering Open Rates with Rapid Response 
  
  Survey found that SMS services helps the most in marketing business as it has the highest open rates and response rates. There is 99% average open rate for SMS, with 97.5% opens within 5 seconds of being received on handset. (Nielsen Survey 2014).
  
  When compared with emails, this SMS services still give the best result as it works 5X more effective than email. This is because people tend to open SMS more often and quicker than email when there is new notification. So, the marketing messages can be reach to the customers successfully and can helps to boost our potential customers.
  
  
• High returns, low cost
  
  In business, the cost for marketing can be considered as the most vital issue that need to be discussed carefully. This is due to the function of marketing as the source of income for our business. We believe all businessman would love to avoid spending or invest high capitals just for marketing purpose.
  
  With SMS services, we dont have to worry as the cost is much lower compared to other marketing platform. This is very useful especially to the small business owner where they dont have time or money to waste on marketing techniques and advertising. In addition, the cost of outside promoting, TV publicizing or other such costly marketing can be 'out of spending plan' or 'too high' for private companies. But, with SMS services we just need to invest low cost for marketing and just in the blink of an eye we will able to achieve a large numbers of individuals rapidly and succesfully.
  
  
• Increased use of mobile phones as the source of communications
  
  Year by year, the mobile phone user keep increasing and become individuals most important source of communication. People used smart phones to reach their family,friends and including their customers to convey variety of messaging purposes. Moreover, due to increasing of mobile phone users, the mobile reach also keep developing where it becomes more convenience to sent the message even in the rural area.
  
  
• Customer Convenience
  Customers really love the brands and businesses that value their time. It is possible to ease our customers by choosing SMS services as our marketing tools. One of good examples coming from E-commerce companies where they always sent SMS alert to keep the customers in the loop for their order and delivery status. Another good example can be seen from banks where they fully utilize this SMS platform to update customers account balance, deposits, withdrawals and also any deductions.This is actually a good practice to grow our business and helps customers to build their trust with us.
  

From all these points, we can see more clear why people tends to choose SMS services as their marketing tools. It is proven as the demand for this platform keep growing all around the world. Thus, do not hesitate to choose SMS services for making your business popular on various market and be prepared to reach next level!