SMS marketing saw one bike shop get a 600% return, says firm

SMS marketing saw one bike shop get a 600% return, says firm

Bulk SMS provider Text Marketer has seen a growing number of bike shops using SMS as a way of communicating with customers. For many bike shop owners, using SMS is the most effective way of getting an offer into consumer’s hands. SMS enjoys an astonishing open rate of over 98 per cent (see below). Compare that with email open rates of around 20 per cent, and it’s easy to see why so many bike shops are turning to mobile. On top of that, a customer receiving a promotional text message is five times more likely to respond than someone receiving a piece of direct mail. (Source – Mobile Marketing Association.) One  customer, Swinnerton Cycles, used mobile marketing to remarkable effect.

During the winter months many cyclists gear their bikes up for the more challenging cycling conditions. With this in mind Swinnerton Cycles dispatched a simple mobile marketing campaign with a low cost service offer. “Winter Service Check – 1 Week only. Brake & Gear Check only £20.00. Book now on 0178274778. Only 100 Spaces Available. Swinnerton Cycles.” After just two days, the workshop had booked over 42 services, generating revenue of £840. In addition to this, customers also spent considerable sums on cycle accessories such as gloves, batteries, lights, etc.

The text campaign cost just £126, so for every pound spent on the mobile marketing campaign they generated an absolute minimum of six pounds. One of the clear strengths of using bulk SMS is that it is so cost-effective. There are no setup costs or monthly fees. Users simply purchase as many text credits as they need for their campaign. Also there is no minimum order so people that are new to SMS marketing can dip their toe in the water with a very low budget.

SMS stats According to the Mobile Marketing Association, over 95 per cent of text messages delivered are read, the vast majority within five minutes. For emails a 25 per cent open rate is considered high. Estimates that only 30 per cent of businesses in the UK use SMS as a means to get in touch with their customers (or potential customers). So why aren’t we all inundated with vast quantities of SMS like we are with email? The difference is that business SMS messages have to be paid for. Another benefit of SMS marketing is that it works across all platforms and all makes and models of mobile phones. Studies from mobile analyst Portio Research have revealed that in the US, Asia and Europe SMS usage is growing, despite increased competition from Facebook, BlackBerry Messenger, Twitter and other messaging services.