SMS marketing success indicators: how to know if your text campaign is effective

There’s nothing like good, raw data to see whether your SMS campaigns are doing something positive for your business. After all, spending on any communications efforts is a costly endeavor. It’s natural to want your investments to pay off. By monitoring your campaign’s performance, you can decide on what actions to take based on what the numbers are indicating. Trends come and go, and what works today may not work tomorrow. Staying on top of key performance indicators (KPIs) is the only way to effectively adapt. Don’t know what metrics to look at? Read on for a quick guide on a few KPIs that dictate SMS marketing success.

Delivery rate

The delivery rate indicates the percentage of delivered messages versus the total size of your messaging list. Though it ultimately depends on the size of your list and frequency of your messages, you’d want this to be reasonably high. A constantly low delivery rate may mean that the numbers in your delivery list need to be updated or purged. Sending out messages to inactive numbers is just a waste of time and effort.

Open rate

The open rate is the measure of how many subscribers read your message after receiving it. Texts have an average open rate of 98%, way ahead of the 20-30% email open rate. If you’re experiencing questionably low open rates that border email performance, then perhaps it’s time to refine your campaign. Create eye-catching opening lines, place your call to action (CTA) closer to the beginning, or maybe even foster existing relationships offline.

Conversion, redemption, and click-through rates

While a high open rate is a good thing, it isn’t the meat of the matter. The conversion, redemption, and click-through rates are. The conversion rate indicates the percentage of recipients who follow through on your CTA, whether that be texting a keyword to a shortcode, visiting your store, or inquiring about your products, among others. If you’re running a mobile coupon campaign or other campaigns in the same vein, then the redemption rate should be what you’re looking at. It indicates how many people redeemed your offer versus the overall delivery rate. Lastly, the click-through rate is the percentage of how many people clicked on your shortlink versus how many people received your text.

Opt-in rate

The opt-in rate is how many new subscribers you’re gaining on a regular basis. It can be measured on a daily, weekly, monthly, quarterly, or even yearly basis. The larger your opt-in rate becomes, the more potential recipients your SMS marketing campaign has.

Opt-out rate

Inversely, the opt-out rate is the percentage of current subscribers who decide that they want to stop hearing from you. They’re the ones who reply “STOP” to your shortcode or business number. Customers usually remove themselves from your texting list if your texts are too frequent as to become spam, your SMS marketing campaign isn’t offering anything valuable or relevant, or they have lost interest entirely. Obviously, you’d want this to be very low.

Customer database growth rate

Lastly, your customer database growth is the opt-in rate versus opt-out rate. A good performance indicator will see your customer database growth growing gradually overtime. Major spikes are a huge plus. On the other hand, long-term dips indicate that subscribers are removing themselves from your texting list faster than you can gain new ones. A flat growth rate means you’re losing them as fast as you are gaining them. In either case, you need to improve your marketing efforts if this number isn’t on the up and up.

Busybee PowerBlast allows you to easily track all of the above indicators and more, ensuring you can take the right actions at the proper time. Know more by visiting and contacting (02) 929-2222 or (63) 917-837-2000.