Email vs. SMS – what do your customers prefer?

As a marketer, it’s essential to adapt your communication methods to meet your customers’ needs. Two popular options for communication are email and SMS, both of which have distinct advantages and serve different purposes. But which one is more effective for your audience?

In this blog, we will dive into email and SMS, investigate customer preferences, and offer tips on using these channels effectively to enhance engagement and improve customer satisfaction. Understanding what your customers prefer can help you develop a more effective communication strategy and achieve better results. Let’s get started.

What is the meaning of SMS marketing?

SMS marketing involves sending promotional messages or alerts directly to customers’ mobile phones via text messages. It’s personal, it’s fast, and it gets right to the point. Marketers love it because it’s a super direct way to talk to customers.

Key benefits of SMS marketing

So, why is SMS marketing so effective? Here are some key reasons:

Cost-effective

Sending a text message is generally cheaper than making a phone call. This cost efficiency allows you to handle a higher volume of inquiries and communications without significantly increasing your expenses. It’s an affordable way to reach a large or global audience quickly.

Universal

Almost everyone has a mobile phone, making SMS a highly accessible communication channel. Unlike other forms of digital marketing that require internet access or social media accounts, SMS can reach people regardless of their data plan or online presence. This universality ensures that your message can be delivered to a broad audience.

Convenience 

Text messages are convenient for both you and your customers. Recipients can read and respond to texts at their convenience, without needing to interrupt their activities to take a call. This flexibility makes SMS a preferred method of communication for many people.

Less email overload

Email inboxes are often cluttered with promotional messages, newsletters, and spam. SMS provides a refreshing alternative, allowing your message to stand out without getting lost in the noise of an overcrowded inbox. This can lead to higher engagement rates.

Higher customer satisfaction

If customers are already accustomed to receiving customer service via SMS, they are more likely to respond positively to marketing messages sent through the same channel. SMS marketing can be highly effective for promoting time-sensitive offers, flash sales, and personalized updates.

Ideal for time-sensitive alerts

SMS is perfect for sending time-sensitive alerts, such as appointment reminders, delivery notifications, and urgent updates. The 94% high open rate of text messages ensures that important information is seen promptly by recipients.

Personalized updates

SMS allows for personalized communication, which can be tailored to individual customer preferences and behaviors. Personalized messages can increase engagement and drive better results, as customers are more likely to respond to content that is relevant to them.

These benefits make SMS ideal for time-sensitive alerts, appointment reminders, and personalized updates. Its universal reach ensures your message gets delivered, even to customers without internet access.

Disadvantages of SMS marketing

While SMS offers many advantages, it’s important to be aware of certain considerations. Due to character limits, SMS is best suited for concise messages rather than in-depth content. Additionally, the format offers less design flexibility compared to email. It’s also wise to be mindful of message frequency to ensure a positive customer experience.

By understanding the pros and cons of both channels, you can make informed decisions about when to use email or SMS. In many cases, combining the two can help you maximize their strengths and minimize their weaknesses.

What is the meaning of email marketing?

Email marketing, on the other hand, involves sending promotional messages, newsletters, and targeted campaigns to a group of individuals via email. It’s versatile, budget-friendly, and perfect for sharing more in-depth information and beautiful designs.

Key benefits of email marketing

So, why is email marketing useful? Here are some key reasons:

Detailed content

Email marketing allows you to share comprehensive information with your audience. Unlike social media platforms or SMS messages that have character limits, emails can include detailed text, images, and links. This makes it easier to convey complex messages, provide thorough explanations, and include multiple calls to action.

Cost-effective

Email marketing is generally more affordable compared to other marketing channels. The costs are primarily associated with subscription plans for email marketing services and any additional features you might need. This makes it an attractive option for businesses of all sizes, especially small businesses and startups with limited marketing budgets. 

Also, email marketing delivers impressive returns. For every dollar spent, businesses earn an average of $42 in return, making it a cost-effective choice for reaching a broad audience. This high ROI is a key reason why 30% of CMOs, according to the Dotdigital CMO tracker, identify email as their top channel for ROI.

Design flexibility

Emails support a variety of rich media, including images, videos, and interactive elements. This flexibility allows you to design visually appealing and engaging emails that can capture the audience’s attention. Whether it’s a promotional campaign, a newsletter, or an announcement, the design possibilities are vast.

Long-term relationships

Regular communication through email helps build and maintain long-term relationships with your audience. By consistently providing valuable content, updates, and personalized messages, you can foster trust and loyalty. This ongoing engagement keeps your brand top-of-mind and encourages repeat business.

Measurable results

One of the significant advantages of email marketing is the ability to track and measure results. Most email marketing platforms offer analytics tools that provide insights into open rates, click-through rates, conversion rates, and more. This data helps you understand the effectiveness of your campaigns and make data-driven decisions to improve future efforts.

Targeted marketing

Email marketing allows for precise targeting and segmentation. You can tailor your messages to specific groups within your audience based on their preferences, behaviors, and demographics. This targeted approach increases the relevance of your content, leading to higher engagement and conversion rates.

Automation capabilities

Email marketing platforms often come with automation features that streamline your marketing efforts. You can set up automated email sequences for onboarding new subscribers, nurturing leads, or re-engaging inactive customers. Automation saves time and ensures that your audience receives timely and relevant messages.

Personalization

Personalized emails tend to perform better than generic ones. With email marketing, you can personalize your messages by addressing recipients by their names, recommending products based on their past purchases, and sending tailored content that matches their interests. Personalization enhances the customer experience and drives better results.

Disadvantages of email marketing

Email marketing is a powerful tool, but today, marketers face some challenges, especially regarding consumer privacy. Changes like Apple’s Mail Privacy Protection (MPP) and stricter data protection laws have changed how we measure and run campaigns. However, these challenges can be managed with the right tools.

One major issue is deliverability. Sometimes, emails get blocked by spam filters, which means fewer people see your messages. To combat this, it’s essential to choose an Email Service Provider (ESP) with a strong reputation for deliverability, such as Dotdigital. Our platform has features that improve deliverability, making it more likely that your emails will reach your intended recipients.

Another challenge is email fatigue, which happens when people receive content that isn’t relevant to them, leading to disengagement. The key to preventing email fatigue is personalization. By effectively utilizing personalization tools, such as those offered by Dotdigital, you can make sure that your emails are relevant and engaging for each recipient. This can reduce the chances of people unsubscribing or marking your emails as spam. 

Best use cases for email vs. SMS

Understanding when to use email and SMS can refine your communication strategy and increase engagement. Let’s explore some use cases.

When to use email

Long-form content

Email is an excellent tool for sharing detailed and informative content. Whether you’re providing product updates in a detailed newsletter, introducing new collections, or sharing loyalty program information, email allows you the space and flexibility to communicate effectively.

You can send welcome emails to make a strong first impression and begin building relationships. Sharing educational resources provides valuable information that helps nurture these relationships over time. Additionally, staying in touch with your audience keeps them engaged and builds trust through consistent updates.

Promotions and newsletters

Email is highly effective for promotions and newsletters. It enables you to showcase offers, discounts, and updates in an attractive format. Unlike SMS, email can incorporate rich media such as images and videos, making it particularly well-suited for marketing campaigns. 

You can also use email to attract new leads by offering exclusive deals or free resources. This strategy not only boosts conversions but also helps to strengthen long-term customer relationships.

When to use SMS

Time-sensitive alerts

SMS is unmatched for urgent communications. Its near-instant delivery ensures your message reaches customers when it matters most. Whether you’re announcing a flash sale or sending appointment reminders, SMS grabs attention with its 98% open rate.

The character limit forces concise messaging, making it perfect for quick updates. Additionally, SMS bypasses spam filters, ensuring your message gets delivered directly to mobile phones.

Personalized updates

SMS is highly effective at creating personalized experiences. For instance, if a customer has left a product in their cart, you can send a customized message prompting them to complete their purchase. 

This message could be a multimedia message (MMS) that visually showcases the items left in their cart. MMS messages have a conversion rate of 30%, which is significantly higher than that of standard SMS, making them a powerful tool for driving conversions.

Combining email and SMS for a stronger marketing strategy

Why choose just one? Think of email and SMS as a dynamic duo, working together to make your marketing even stronger.

Why a multi-channel strategy works

Reaching customers across platforms

Adopting a multi-channel strategy allows you to connect with your audience wherever they are. By combining email and SMS, you can leverage the strengths of both platforms to ensure your message reaches a wider audience. SMS excels in immediacy, while email provides depth and detail. Together, they create a seamless communication experience that caters to diverse customer preferences.

Boosting engagement with complementary channels

When you combine email and SMS, you amplify engagement. Email offers the space for detailed storytelling, while SMS grabs attention with its high open rates. This synergy boosts response rates and strengthens customer relationships. For example, you can send a promotional email and follow up with an SMS reminder to drive conversions.

How to integrate email and SMS

Integrating email and SMS marketing isn’t just about using both channels; it’s about creating a cohesive, customer-centric experience. Here’s a deeper dive into how you can effectively combine these powerful channels:

Define your target audience

Before you begin any integrated campaign, you must have a crystal-clear understanding of your audience. Go beyond basic demographics. Delve into their psychographics: what are their interests, pain points, and preferred communication styles? Analyze their online behavior, purchase history, and engagement patterns across your existing channels. 

This data will inform not only who you’re reaching but how you’re reaching them. For example, younger audiences might prefer quick, direct SMS updates, while older demographics might appreciate the detail and context of email.

Set clear marketing goals

Integrated campaigns should have specific, measurable, achievable, relevant, and time-bound goals. Define what success looks like. Are you aiming to increase immediate sales with flash sales via SMS, or are you nurturing long-term relationships with detailed email newsletters? 

Perhaps you want to reduce abandoned carts or improve customer retention. Each goal will dictate the appropriate channel and messaging. For instance, an abandoned cart campaign might start with an immediate SMS reminder, followed by a personalized email with product details and a discount code.

Segment your audience

Segmentation is the cornerstone of effective integrated marketing. Don’t just segment based on demographics; segment based on behavior, preferences, and engagement levels. Use customer data from your CRM, website analytics, and past campaign performance. For example, segment customers who have recently made a purchase for personalized follow-up messages via SMS, or target inactive subscribers with re-engagement emails.

Choose an email and SMS marketing platform 

Selecting the right email and SMS marketing platform is important for a seamless and effective integrated marketing strategy. It’s not just about finding a tool that handles both email and SMS; it’s about choosing a solution that empowers you to create cohesive, personalized, and high-performing campaigns. Here’s what to look for, and why Dotdigital stands out:

• Native integration: Our platform is built with native email and SMS capabilities, ensuring seamless communication and data flow. This eliminates the need for clunky integrations and reduces the risk of data silos.
• Advanced automation and personalization: Dotdigital’s robust automation tools empower you to create multi-channel customer journeys. Trigger SMS alerts based on email interactions, or initiate personalized email sequences following SMS engagement. Deliver the right message at the right time, every time.
• One-click email to SMS: You can use tools like Dotdigital’s WinstonAI to make it easy to convert email campaigns into SMS messages with just one click. WinstonAI does the hard work for you, suggesting SMS campaigns with 160 characters or fewer that align perfectly with your email content.
• Global reach and compliance: You can reach your customers wherever they are. Dotdigital’s global SMS capabilities, coupled with stringent compliance with regulations like GDPR and TCPA, provide peace of mind. Deliver your messages with confidence, knowing you’re adhering to international standards.
• Exceptional Support: Dotdigital’s dedicated support team provides expert guidance and resources to help you maximize the platform’s potential. From onboarding to ongoing optimization, we’re committed to your success.
• Scalability: Whether you’re a startup or a global enterprise, Dotdigital scales with your ambitions. Our platform is designed to handle your evolving marketing needs, ensuring consistent performance and reliability as your business grows.

By choosing Dotdigital, you’re not just selecting an email and sms platform; you’re partnering with a company that’s committed to your success. Dotdigital provides the tools, expertise, and support you need to create integrated email and SMS marketing campaigns that drive results.

Create a consistent brand message

Consistency is key to building brand trust and recognition. Ensure your brand voice, tone, and visual identity are consistent across both email and SMS. While the format may differ, the core message should remain the same. Use consistent language, imagery, and branding elements to create a seamless customer experience. For example, if you use a casual, conversational tone in your emails, maintain that tone in your SMS messages.

Test and optimize

Testing is not a one-time activity; it’s an ongoing process. Conduct A/B tests to determine the most effective messaging, timing, and channel combinations. Test different:

• Subject lines and message copy: See which versions resonate best with your audience.
• Send times: Determine the best times to send emails and SMS messages.
• Channel combinations: Experiment with different sequences of email and SMS messages.
• Call-to-action buttons: Test different CTAs to see which ones drive the most conversions.

Use the data you collect to refine your strategy and continuously improve your campaign performance. Regularly analyze key metrics like open rates, click-through rates, and conversion rates to identify areas for improvement.

Start using both email and SMS today

Choosing between email and SMS isn’t about picking one over the other; it’s about using both to your advantage. By matching your messages to what your customers like and how they interact, you can keep them engaged and build better relationships.

Keep an eye on your results, try different things, and adjust your strategy as needed. The best campaigns focus on making the customer experience great by sending relevant and timely messages through the channels they prefer.