Event Software

Top Challenges and Benefits of SMS Communication for Retail Events

Victoria Rudi
September 27, 2023

Table of Contents

In today’s hyper-connected era, amidst multiple solutions for digital communication, the time-tested SMS stands out as a reliable tool, particularly in the ever-changing world of the retail industry. Its directness and ubiquity have made SMS an invaluable asset to modern retailers

According to a Simple Texting survey conducted in 2023, “Consumers are most likely to receive texts in the healthcare space (55%), followed by banking/finance (46%), and e-commerce/retail (45.9%).” 

Research shows that “86% of businesses have used SMS marketing to text their customers in the past year––a 56% increase in SMS adoption from the previous year.” 

Whether setting up a pop-up store or hosting a private sale session, SMS communication is crucial for efficiently engaging customers. Nowadays, SMS is not just a way to send messages—it’s a vital part of achieving success in the retail industry. 

Here are several benefits of using SMS communication for retail events. 

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Benefits of Using SMS for Events and Retail Experiences 

As we explore the distinct advantages of this dynamic communication tool, it will become clear why SMS has become fundamental in boosting retail activations and clienteling:

Benefit 1. Direct Engagement

SMS communication enables brands to interact with customers or attendees instantly. This capability is handy for event-related updates or urgent notifications that must reach people promptly. Moreover, direct communication can help foster stronger customer relationships, enhancing their overall experience.

Benefit 2. High Open Rates

Compared to emails, SMS messages boast a significantly higher open rate. Although there aren’t any recent studies, a 2019 research conducted by CrazyEgg showed that SMS messages get a 98% open rate. 

This makes it a highly effective tool for ensuring crucial information reaches customers. Whether it’s an event update or a simple thank you message, brands can rest assured knowing their communication will likely be seen. 

Benefit 3. Instant Delivery 

SMS communication ensures that time-sensitive information, such as last-minute changes or reminders, reaches customers or attendees in a timely manner. The immediacy of SMS can significantly enhance the customer experience, especially during events or sales that may require quick communication.

Benefit 4. Simple and Personal

SMS messages are typically short, clear, and to the point, characteristics customers usually appreciate. Moreover, they can be personalized based on a person’s preferences and past behavior, making them feel more valued and enhancing their connection with the brand.

Benefit 5. Versatility

SMS can be used for various purposes, from sending invitations and confirmations to issuing reminders and alerts about retail events. This versatility makes it a flexible tool that can be adapted to suit various communication needs, helping to streamline the entire process.

Benefit 6. Integration Capabilities 

SMS can seamlessly integrate with other marketing channels, allowing for a comprehensive, multichannel approach. This integration can enhance the overall effectiveness of a brand’s marketing strategy, creating a cohesive and consistent customer experience across all touchpoints. 

However, like any tool, SMS communication is not without its challenges.

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Challenges of Using SMS Communication for Retail Events

Despite the undeniable impact and reach of SMS communication in retail events, it’s not all smooth sailing. Using SMS as a primary engagement tool presents a unique set of challenges. Here are some of them: 

Challenge 1. User Experience

Balancing engagement, while not overwhelming customers, can be a significant challenge when using SMS for retail events. Every customer is unique, having different thresholds for communication. While some may appreciate frequent updates, others might consider this a privacy invasion. 

For example, some customers only want to receive crucial updates if there’s a special event. On the other hand, others may prefer intense communication, wanting to receive details about every aspect of the event along with brand or product-related updates. 

Solution: To solve this challenge, you can implement a preference management system where customers can specify their desired frequency and type of messages. This approach ensures that they only receive the kind of messages they are genuinely interested in, improving their overall experience.

Challenge 2. Data Integration

SMS communication for retail events facilitates direct engagement with customers while allowing for the collection of valuable data. However, it can be challenging to generate the right metrics, transform data into actionable insights, and implement them successfully into the overall strategy. 

Solution: To solve this challenge, you could use advanced analytics tools to collect and process the data, gaining valuable insights into customer behavior. Additionally, running A/B tests on messages can help businesses understand what type of content resonates most with your audience.

Challenge 3. Technical Issues

Timing and personalization are critical for SMS communication, requiring audience segmentation. This should translate later into different communication strategies for each attendee or customer type. 

However, accurately segmenting your audience and determining which segment would be most receptive to a particular message can be challenging from a technical perspective.

Solution: Use event management solutions with API services to segment your attendees and integrate different communication strategies into your SMS system. To better understand your attendees’ overall experience, you can integrate these elements into your CRM, ensuring accurate customer data. 

Challenge 4. Brand Image and Reputation

Any misstep can significantly harm a brand’s standing in the eyes of consumers. Consumers view SMS as a more personal communication medium, making unsolicited messages or “SMS spam” particularly intrusive and unwelcome.

The reaction to receiving unsolicited SMS messages can be stronger than for unsolicited emails. While consumers have come to expect a certain degree of email spam, they often view their mobile messaging inbox as a more private space, making the intrusion feel more significant.

Solution: To avoid this, always get explicit consent before sending any SMS messages. Ensure there’s an easy and clear opt-out mechanism in every message. Respecting time zones and sending messages at appropriate hours is crucial. Moreover, regular training for the marketing team on best practices and ethical considerations can help maintain a brand’s image.

Most SMS communication challenges for retail events revolve around respecting personal boundaries. By understanding these challenges and actively seeking solutions, your business can effectively leverage SMS communication while ensuring positive customer experiences and maintaining brand integrity. 

As the retail landscape continues to evolve, understanding and leveraging the dynamics of SMS communication becomes imperative for brands aiming for sustained growth and meaningful connections. 

By addressing the challenges head-on and harnessing its undeniable benefits, businesses can truly unlock the potential of SMS, transforming it from a mere communication medium into a powerful conduit for unparalleled customer and attendee experiences.

Key Takeaways

  • In a digitally saturated landscape, SMS is a reliable, time-tested tool, offering unparalleled immediacy and directness in the retail industry.
  • Benefits of SMS in retail events include direct engagement with customers, high open rates, instant delivery of messages, simple and personalized communication, versatility in use cases, and seamless integration with other marketing channels.
  • SMS, while potent, presents challenges such as managing the user experience, effectively harnessing data insights, addressing technical segmentation intricacies, and safeguarding brand reputation.
  • Businesses can leverage SMS innovatively, from managing bookings to fostering engagement through games, emphasizing its pivotal role in modern retail experiences.

Need help with communication at your events? Our experts are here to guide you. Contact us today to explore how Eventtia can transform your retail events.

Discover how Eventtia helps world-leading brands digitize and scale their events

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Discover how Eventtia helps world-leading brands digitize and scale their events

Victoria Rudi
Senior Content Specialist
With a Master’s degree in Event Management and a keen follower of SaaS technologies, Victoria is an event content master, producing insightful and valuable for Eventtia’s blog and beyond

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