Messages that Matter | Text-Em-All Blog

SMS vs Email Marketing: What Is Best for Your Business?

Written by Kaitlyn Orred | Aug 1, 2024

New digital marketing strategies might make waves every now and then, but few have the staying power of SMS and email.

Both are considered gold standards of modern marketing. Each has proven their ability to improve customer engagement and are cost-effective methods for driving conversions and fueling sales. 

But is one better than the other, and which one should you choose? 

In this blog post, we’ll explore the SMS vs email marketing debate so that you can put together an impactful campaign.

What Is SMS Marketing?

SMS marketing is a form of digital marketing that involves sending promotional content to customers via text messages. These messages can include information about special offers, promotions, updates, reminders, and other marketing communications.

SMS marketing allows businesses to communicate directly with their customers or clients on their mobile devices about:

  • Promotions and discounts
  • Product launches
  • Time-sensitive info (like that 48-hour flash sale)
  • Upcoming appointments and events
  • Shipping notifications
  • Delivery confirmations

A large part of SMS marketing’s appeal is the direct, two-way conversation it offers. Unlike an email, texts encourage and allow for a dialogue. This results in a personalized experience that feels both casual and intimate — and paves the way for a strong relationship.

Advantages of SMS Marketing

Research shows that SMS is the most popular form of communication around the globe.

48% of consumers say they’d prefer to hear from businesses via text. A recent survey also indicates that 7 out of 10 consumers signed up to receive texts from companies in 2022 alone. 

The widespread popularity of texting plays into the outstanding advantages SMS marketing provides. These include:

  • High open and response rates – It’s estimated that we check our phones up to 140 times per day. And while email is easy to overlook and many of us let phone calls go straight to voicemail, texts are often impossible to ignore. This translates to the fact that SMS marketing messages boast a 98% open rate, while 45% of consumers respond to marketing texts.
  • Immediate reach and engagement – That notification you send to a customer via IG might linger in their inbox for days, weeks, or months (if opened at all). Meanwhile, 62% of consumers read and reply to texts within minutes. This opens the possibility of a conversation with a consumer in real-time, driving meaningful engagement.
  • Simplified content creation – The maximum length of an SMS is 160 characters. It’s the ultimate task of simplification, making the content creation process quick and focused. 
  • Direct and personal communication – Text messages can be tailored to individual customers based on their preferences and behavior, making communication more relevant.

Disadvantages of SMS Marketing

In our increasingly mobile world, the convenience and quickness of SMS marketing simply makes sense. There are drawbacks to it as well, however, such as:

  • Limited character count – Those 160 characters or less may streamline content creation, yet it can also restrict your creative marketing muscles. Plus, unless you use MMS, SMS marketing messages are limited to text and links. This gets your message across swiftly and succinctly but in a less dynamic, visual way. However, there are SMS marketing platforms, like Text-Em-All, allowing for up to 1,600 characters that leave more room for creativity, including rich media.
  • Higher cost per message – Reaching your target audience via text may cost anywhere between $0.01 to $0.05 per message. Nonetheless, SMS marketing can have an ROI of up to $71 for every dollar spent.
  • Restrictions and regulations – You must comply with SMS rules and regulations. Set forth by the Telephone Consumer Protection Act (TCPA) and the Cellular Telecommunications Industry Association (CTIA), they include consent, time restrictions, identification, opt-out options, and transparency.

All of that said, SMS marketing is considered one of the most effective methods for turning a profit. In fact, more than half of customers purchase items after receiving a promotional text message (if ever there’s a reason to weave SMS into your marketing campaign).

What Is Email Marketing?

Email has been a cornerstone of successful marketing for more than three decades. Characterized as a type of digital marketing that uses email to communicate with existing and prospective customers, it’s leveraged to:

  • Welcome new customers
  • Generate leads
  • Promote products and services
  • Establish brand awareness and increase loyalty
  • Gather feedback

Rumors might imply that email marketing has gone the way of flyers and banners trailing behind blimps. 81% of companies have implemented it into their overall strategy, leading to email fatigue in consumers.

Advantages of Email Marketing

Sure, we all delete marketing emails without reading them. It’s a natural response to the fact that we receive 121 emails per day on average. But a brilliantly executed email campaign may deliver a host of benefits, such as:

  • Impressive ROI – Email marketing has proven its worth as a cost-effective tool for increasing revenue. On average, it may generate $36 for every dollar invested.
  • Personalization options – Emails offer various opportunities for personalization. Depending on the data you have on your recipient, you can customize your emails to connect with your customers at key points on their purchasing journey, upsell products, or persuade them to sign up for an event or loyalty program.
  • Easy tracking and analysis – Monitoring your marketing campaigns is essential to your success. Email marketing is a cinch to track, allowing you to make adjustments in real time and when they’re needed most (such as during a sale). 

Disadvantages of Email Marketing

On the flip side, email marketing has its own collection of cons, including:

  • Lower open and response rates – The general open rate for emails varies across industries, but averages  around 17%—20%. In other words, there’s an 80% chance your content won’t be viewed or acted upon.
  • Possibility of landing in a SPAM folder – Landing in the dreaded SPAM folder is a leading concern for email marketers across the board. And for a good reason: Slightly older data demonstrates that roughly 6% of marketing emails worldwide get blocked by SPAM.
  • More resource needed to create effective emails. Crafting compelling email content can be time-intensive, requiring careful planning, writing, and editing — thus bringing up the cost per email.
  • Inbox clutter and fatigue. With many businesses using email marketing, standing out in a crowded inbox can be challenging. Recipients become desensitized to promotional emails when they receive too many, leading to lower engagement.

SMS Marketing vs Email Marketing

With this knowledge in hand, the question remains: How does SMS via email marketing compare?

Let’s  take a look at the differences first:

 

SMS Marketing

Email Marketing

Delivery Method

Text messages to mobile phones

Emails to email addresses

Content Length

Limited to 160 characters

(Platforms like Text-Em-All allow up to 1,600 characters)

Allows for longer, detailed content

Engagement Rates

Higher open and response rates

Lower open and response rates

Delivery Speed

Almost instant

Can take longer, affected by server delays

Cost

More expensive per message due to carrier fees

Generally cheaper, especially for high-volume sending

Personalization

Limited personalization due to character constraints

Greater scope for personalization and customization

Visuals and Design

Mostly text-based, limited visuals (emojis or MMS for images)

Rich media including images, videos, and interactive elements

Regulatory Compliance

Strict regulations (e.g., TCPA in the US)

Regulated but with different rules (e.g., CAN-SPAM Act, GDPR)

Permission-Based

Requires opt-in

Requires opt-in

While SMS and email marketing differ in lots of ways, they also share similarities. Both channels:

  • Allow for targeted and segmented campaigns
  • Can be automated based on triggers, schedules, or user actions
  • Provide metrics
  • Can be integrated into broader marketing strategies
  • Aim to engage customers and drive actions

When to Use SMS

SMS marketing is most effective when you need to deliver urgent and time-sensitive information. Its strengths lie in its high open rates and instant delivery, making it ideal for capturing attention and prompting immediate action from recipients.

SMS marketing is ideal for:

  • Time-sensitive updates
  • Promotions and offers
  • Appointment or event reminders
  • Two-way communication
  • Transactional updates

When to Use Email

Email marketing, on the other hand, may be a savvier choice when you require more detailed and comprehensive communication with your customers. It is suitable for delivering rich content such as detailed newsletters, in-depth product information, extensive event details, and personalized recommendations.

  • Newsletters
  • Product launches and announcements
  • Educational content
  • Rich media campaigns
 

SMS Marketing

Email Marketing

Time-Sensitive Offers

Ideal

Less effective

Event Reminders

Effective

Detailed information

Order Confirmations

Quick delivery

Detailed summaries

Customer Surveys

Short feedback

In-depth surveys

Newsletters

Not suitable

Ideal

Account Alerts

Immediate notifications

Detailed information

Abandoned Cart Reminders

Quick reminders

Detailed recommendations

Loyalty Program Updates

Instant updates

Detailed benefits

Service Notifications

Immediate alerts

Detailed explanations

Transactional Messages

Two-factor authentication

Detailed receipts

Customer Support

Quick issue resolution

Detailed support

Product Launches

Quick announcements

Detailed information

Enhance Your SMS Game With Text-Em-All

The choice between SMS marketing and email marketing depends on your unique goals, audience, and budget. Ultimately, a combination of both may help you reach your customers authentically in both short- and long-form ways.