When it comes to messaging, businesses continually seek faster and more reliable ways to reach customers. SMS provides that, but not with the old-school tech you may be used to.
Now, businesses are increasingly migrating to cloud-based SMS gateways, leveraging the power of the web to launch more effective campaigns. Here’s why web texting is the new standard, and how it can help your business.
Rise of Cloud-Based SMS Infrastructure
Traditional methods for SMS-based messaging rely on hardware-based gateways. And they’re fading, with their high requirements serving as a barrier to entry for many small to medium-sized businesses (SMBs). SIM cards, modems, telecom integration, all slow, manual, prone to outages, and costly.
However, even in the digital age, SMS is still an effective marketing strategy and something businesses want. Why? SMS marketing simply works. Compared to email, which has an open rate of approximately 20%, an SMS will be opened 98%+ of the time.
Today, with omnichannel communication crucial to compete, cloud-based solutions are becoming the go-to, offering greater scalability, reliability, and the advantage of instant deployment.
So what’s an SMS gateway, anyway? Simply put, gateways act as bridges between the Internet and mobile networks. SaaS solutions route web messages into telecom systems, doing the heavy lifting for you. Users have the option to send messages via API, web dashboard, or email-to-SMS format, and the gateway does the actual message delivery.
Cloud gateways effectively allow marketers to send bulk SMS without having to invest in physical hardware. And if you suddenly need to increase your usage, no problem. You can do that with just a few clicks, and there’s no wait time, either.
They’re also incredibly easy to use (depending on the provider, at least!). Using third-party SaaS, all it takes is a browser. Some platforms like ClickSend are now also facilitating email to SMS integration, enabling seamless conversion from email workflows to text messaging without the requirement of a technical overhead.
And these are just some of the other advantages of web texting:
- Speed. SMS is usually delivered and read within 3 minutes on average, meaning it significantly outperforms emails in this regard. Plus, the read rate is far higher, too.
- Simplicity. Online platforms give marketers a simple and accessible dashboard, with features like message tracking and automation improving campaign performance.
- Flexibility. SMS, your way. You can integrate, use APIs, and combine with third-party tools to enhance campaigns. It’s up to you and what works best for your business.
- Cost efficiency. If you’re just sending a small number of messages, it’s super cost-effective. It opens up cost-efficient options to businesses of all sizes.
- Scalability. Whether you’re sending 10 or 10’000 messages, cloud-based platforms make it super easy to scale. If your business experiences sudden growth or if a unique marketing opportunity comes out of nowhere, you can scale to mass SMS campaigns without any lag.
Compliance, Security, and Reliability
Cloud-based SMS gateways are not only an advantage in the implementation of campaigns, they also provide the peace of mind you need when sending potentially thousands of messages.
Gateways come with built-in compliance for TCPA, GDPR, and other carrier guidelines. With features like opt-in management, audit logs, and permission-based access, you can be sure that you’re ticking the compliance boxes.
It’s not just a ‘nice to have’, either; these are strict privacy laws you have to abide by. For example, the UK GDPR mirrors the EU GDPR in most respects, with enforcement handled by the Information Commissioner’s Office (ICO). In the U.S., on the other hand, there is no single federal equivalent. Data privacy is regulated through a patchwork of state laws (like California’s CCPA). It can be a bit of a minefield, but luckily, most platforms will take all of this into account for you.
Further, cloud-based services offer increased security compared to in-house solutions. Two-factor authentication and encrypted message routing, just as two examples, they’re both standard with most SaaS setups.
Real-World Use Cases That Are Driving Adoption
Let’s go beyond the theoretical; here, we discuss the real-world applications of SMS solutions, hopefully giving you an idea of just how much you can achieve with your campaigns:
- Healthcare: Appointment reminders, lab result alerts, and patient follow-ups. With SMS, providers can send crucial information through the most-read messaging platform.
- Retail: Flash sales, abandoned cart reminders, and order tracking. These messages can be short, snappy, and right to the point. No one wants to miss a sale, right? Just look at what Temu is doing and what is driving their success
Finance: OTPs, fraud alerts, and billing notifications. There’s a reason banks and credit companies use SMS: people read them. When you’re a potential victim of fraud, timing really matters. Major banks cite SMS as a key benefit. - Logistics: Real-time delivery updates and driver dispatch coordination, helping you keep your company running smoothly.
- Hospitality: Booking confirmations, check-in alerts, feedback surveys, SMS is the preferred method of communication. Quick, easily delivered, and people just read messages more than emails.
These are just a handful of applications of SMS gateways currently employed in industry. Whether you’re a large government organization, a multinational, or even a small e-commerce operation, using SMS as a core part of your communication strategy can help you drive business and keep your existing customers satisfied.
