Transactional SMS means any text message sent by a company to a consumer that offers useful details about their goods, services, or procedures. Transactional SMS differs from marketing messages and promotional SMS campaigns.

Transactional SMS is the preferable method of communication because it allows you to build more meaningful relationships with your customers. By adding value with timely and relevant communications, businesses can boost brand loyalty.

Transactional text messaging encompasses all forms of automated text messaging and is most commonly automated – reducing the required human resources while delivering a higher level of customer service.

How a Business Brand could use Transactional SMS

1. Allow users to reset passwords via a link sent to their phone.
2. Send delivery tracking details, confirmation emails, and customer satisfaction surveys to customer mobile numbers.
3. You could also use transactional SMS to send order confirmations, product recalls, and issue refunds all via text message.
4. Transactional SMS can be used for automated customer service, allowing your customers to discuss issues with your company via text chat at any time of day or night.

Takeaway: Understanding how this type of SMS marketing works will help you send more effective texts that boost customer engagement and satisfaction.

Difference between Transactional and Promotional SMS

Transactional SMS examples include billing & payments, order confirmation, delivery status, OTPs, etc.

Promotional SMS includes festival sales, flash sales, sale reminders, product announcements, etc.

Benefits of Transactional SMS for a Company

1. Fast and Reliable

Transactional SMS has become a very effective way to communicate with customers. In fact, the average open rate of a text message is about 98%, with 97% of messages getting read within 10 minutes of delivery. This makes SMS messaging a great way to reach out to potential customers.

2. Cost Effective

Sending transactional messages through SMS is a simple, cost-effective, and highly effective method of communicating with customers. The primary benefit of sending these messages is that they allow businesses to send out promotional or transactional messages at no additional cost.

3. Enables Integration

Transactional SMS with a web-based SMS service such as Sparrow SMS provides various advanced features. One can easily integrate Sparrow’s SMS platform into their existing system and build unique campaigns based on the company’s goals using API.

4. 24×7 Service

The transactional SMS service runs 24 hours. The real-time transactional SMS is sent to the customers during a transaction or a product delivery. This helps to build trust and authority of the business among the customers. 

Read this: 8 Important Points Regarding Bulk SMS

Transactional SMS is integrating well with businesses across the globe. It is one of the easiest ways to boost your sales and gain customers’ loyalty.

Transactional SMS marketing is a great way to get your message out there in the competitive digital world. You are sure to reach a large number of people, in comparison to other internet marketing methods.

Sign up for your free Sparrow SMS account now and test transactional SMS with Sparrow’s demo account. If you’d like help setting up transactional SMS for your business, Reach out to our dedicated SMS experts at 9802005007/8.

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