SMS marketing continues to be one of the most effective ways to reach customers quickly. With extremely high open rates and the ability to deliver messages directly to mobile phones, SMS offers businesses a unique opportunity to connect with their audience. However, sending messages is only part of the equation. To truly improve your results, you need to understand and use SMS analytics.
In this blog post, you’ll learn what SMS analytics are, why they matter, and how to use them to better meet customer needs and boost campaign performance.
What are SMS analytics?
First, let’s define what we mean by SMS analytics.
Every time you send a text message to a customer, you generate data. This data includes how many people received the message, who clicked on links, who replied, and more. When you track and analyse this data, you gain valuable insights into your customers’ behaviour and preferences.
In other words, SMS analytics help you understand what’s working and what’s not.
Why are SMS analytics important?
Now that we know what SMS analytics are, let’s talk about why they’re so important.
When you understand how customers interact with your messages, you can:
- Create more effective campaigns
- Improve customer satisfaction
- Make smarter marketing decisions
- Reduce the number of unsubscribes
- Increase your return on investment
Without analytics, you’re simply guessing. But with data, you can confidently adjust your strategy for better results.
Key SMS analytics metrics to track
Next, let’s look at the most important metrics you should monitor. Each one gives you a different piece of the puzzle.
1. Delivery rate
To begin with, the delivery rate shows how many of your messages actually reached the recipients. If this number is low, it could mean your contact list has invalid or outdated phone numbers.
What to do:
Regularly clean your contact list and make sure phone numbers are entered correctly.
2. Open rate
Although SMS doesn’t always track opens like emails do, some tools offer estimates based on link tracking. A high open rate means your audience is seeing your messages.
What to do:
Use clear, friendly language at the beginning of your message. Make your brand recognisable so people are more likely to read what you send.
3. Click-through rate (CTR)
Next, the click-through rate tells you how many people clicked on a link inside your message. This is a strong sign that your message grabbed their attention.
What to do:
Include clear call-to-action and use shortened links that are easy to track.
4. Response rate
If your campaign asks people to reply, such as with a “YES” or “NO” answer, then the response rate shows how many people are engaging with your message.
What to do:
Make your messages interactive. Ask simple questions and keep instructions clear.
5. Conversion rate
This is one of the most important metrics. It shows how many people completed the action you wanted them to take, such as making a purchase or signing up for a webinar.
What to do:
Make sure your landing page matches your message. Keep the customer journey smooth and easy to follow.
6. Opt-out rate
Finally, the opt-out rate tells you how many people unsubscribed after receiving your message. A high rate could mean your messages are too frequent or not relevant.
What to do:
Send only valuable and timely messages. Segment your audience so each group gets content that fits their interests.
How to use SMS analytics to respond to customer needs
So, now that you know which metrics to track, let’s talk about how to actually use them. This is where your data becomes truly valuable.
Start by segmenting your audience
One of the easiest ways to improve your SMS marketing is to group your audience based on their behavior. For example, people who:
- Always click on your links
- Read but don’t take action
- Rarely engage
By doing this, you can send more relevant messages to each group. For instance, send exclusive offers to your most active users, and re-engagement messages to those who have gone quiet.
Look for patterns in your data
Next, review which campaigns performed the best. What did those messages have in common? Maybe the timing was just right, or the offer was too good to ignore.
On the other hand, look at the messages that didn’t perform well. Were they too long? Was the call-to-action confusing? This information helps you avoid repeating mistakes.
Adjust your timing and frequency
Another key factor is timing. Use your analytics to find out when people are most likely to engage. Some customers may prefer messages in the morning, while others may respond better in the evening.
Also, check how often you’re sending messages. Too many messages can lead to unsubscribes, while too few might make people forget about you.
Best practices for improving SMS campaign effectiveness
Once you’ve interpreted your data, it’s time to put your insights into action. Here are some best practices to follow.
Keep messages short and clear
SMS has a 160-character limit, so get straight to the point. Avoid long explanations and make your message easy to scan.
Personalise when possible
Use your customer’s name and refer to past interactions if relevant. Personalised messages feel more human and increase engagement.
Include strong calls-to-action
Tell your audience exactly what you want them to do next. Use simple phrases like “Shop now,” “Reply YES,” or “Get 20% off.”
A/B test different variations
Try different versions of the same message. Test subject lines, send times, or offers to see which ones perform better.
Review and improve regularly
Don’t just set it and forget it. Use your SMS analytics after each campaign to find out what worked and what needs improvement.
Listen to your data and understand your audience
In summary, SMS analytics give you the tools to understand your audience and improve your marketing. By tracking key metrics like delivery rate, CTR, and conversion rate, you can make smarter decisions and send more effective messages.
The more you listen to your data, the better your results will be. So, take the time to review your SMS analytics regularly. Then, apply what you’ve learned to create campaigns that your customers actually want to receive.
At Text Management, we use analytics to ensure our campaigns consistently hit goals. So, if you want to start using SMS to engage your audience, then this is a great place to start – enquire here.
