How to Choose the Incentive for Your SMS Marketing Opt-In Campaign
When you’re just starting out an SMS campaign, the main dilemma is what to use for an opt in. If it’s too “small” an offer, no one will bother. If it’s too “big”, then you might get lots of people who opt in, then opt out.
It reminds me of Goldilocks and the Three Bears. Daddy’s things were way too big and didn’t suit the child. While Mummy’s things weren’t quite right either. What you want to do for your offer is to find the “just right” size. The trouble is your customer is Goldilocks, and you won’t know what offer they like until you give them one, or a few, to try.
You may think it’s incredibly difficult and expensive to test out multiple offers. But it doesn’t have to be. Let’s say you go big (like Daddy’s bed). Your offer generates lots of opt ins, and then people opt out. That might not be so bad. I’ve found some evidence that says that the large incentive opt out rates only run 2-6%. That equates to just a few per hundred opt ins. While I’m not convinced that number holds true for most campaigns (as the source used a limited data set), it is a good starting place.
At the very least, it offers some evidence that going with an incredible (e.g. “Big”) initial opt in offer could be what Goldilocks, I mean your customer, wants.
Try It and See
Assuming you want to grow your list fast, create an amazing offer and see what happens. If your unsubscribe rate is too high, then you know it was Daddy size and not right for your customers (or rather, great for your customers, but not great for growing your list). But at least you hopefully made some money on that single promotion, even if your list size didn’t stay as big as you wanted it to.
Next, try something a little “smaller” like Mummy’s chair or bed (am I taking the analogy too far yet?). If you hit the sweet spot, you’ll likely get people on your list who will stick around and love your brand, product or service. And they’ll also be more likely take action on future messages.
Ideas To Get You Started
If you’re convinced you should start with a big incentive, you might still be wondering what that will be. So here are some ideas to help you narrow down your choices:
- What was the best promotion you ever ran? Could you use that exact offer again, just for people who sign up to your SMS list? If that’s not possible, maybe you can offer something that’s similar enough to draw people in.
- Make a list of the most popular offers you already run in other channels. You can take one of those directly, but consider tweaking it to be just a little better and more exclusive to your SMS list.
- Ask your customers. Send a survey out via other channels – email, or social media – and simply ask them what they’d expect in exchange for their mobile number. This is the best place to start if you have no idea what your customers actually like, or measurements on your other promotion’s performance. The bonus here is you might find out more information that you can use across in other aspects of your business, such as customer service or product development.
Once you decide on your offer and have it advertised anywhere and everywhere you can (but nowhere it can’t be easily changed), don’t get too complacent. Make sure you get right in there and check redemption rates, click through rates, and the unsubscribe rate. Make adjustments based on the results and keep on going. SMS marketing offers one of the highest ROIs you’ll find in mobile marketing – once you find what Goldilocks likes best.
Related Articles
Can You Use SMS for “Cold Calling”?
Does the thought of cold calling fill you with dread? You might think it would be easier to use SMS messaging instead. And though it’s legal to do so in some circumstances, you might want to rethink using it that way. Read the full blog to find out why.
15 fascinating facts about text message marketing
What’s in a Keyword? Three Rules to Using Keywords in SMS Marketing
Keywords are single words that can be used within two way SMS marketing campaigns. They can be used in conjunction with SMS shortcodes or with Virtual Mobile Numbers. Learn three basic rules for the use of SMS keywords that will increase click-through rates and conversions.
SMS Marketing and Shopify – a Perfect Partnership
With its out-of-the-box functionality, powerful designs and endless opportunities for customisation, it is no surprise that Shopify has become one of the most popular platforms for online stores. However, the key to success for any online store is getting customers to visit your website - and SMS Marketing is a simple and highly effective way to do this. Read on to learn how you can take advantage of SMS Marketing to help build your Shopify business and increase your profits.
7 Channels for “Free Promotion” of Your Opt In Campaigns
While there are many ways you can probably think of to promote your SMS opt in campaign, there may be some “free” channels you’re neglecting. Thanks to Google, I can point out seven of them. At the mCommerce Summit Google gave a presentation about app promotion and optimising. I can’t even convey how exasperated the presenter was when he talked about how many opportunities companies just let slip by.
6 SMS Marketing Faux Pas To Avoid
SMS marketing can be an incredibly useful tool for successful mobile marketing campaigns. However, it is not without its pitfalls. We have compiled a list of six of the worst SMS mobile marketing faux pas, so that you can avoid them and text your way to marketing success.
5 Reasons SMS Marketing Rocks for Bank Holiday Weekends [Infographic]
How to build up your mailing list after GDPR
Getting a Reply: Should You Choose a VMN or Shortcode? Part 2
Part two of a two part article explaining the differences between SMS Shortcodes and Virtual Mobile Numbers. Here we explain in detail the costs and characteristics of Dedicated Shortcodes and Shared Shortcodes. You can also get advice on how to choose between shortcodes and VMNs.
Is Your SMS Marketing Keeping Customers Loyal by Being Fun?
When you think about your SMS marketing campaigns would you label them as fun? Is there any aspect of your SMS marketing or loyalty program that you think customers would call fun? If so, you're going to love what you read in this blog. If not, then you need to read this blog. It turns out that a little bit of fun and games can keep your customers more engaged – and more loyal.