Is SMS outdated? What businesses need to know

When apps crash and internet connections drop, SMS keeps businesses connected. It remains reliable, simple, and available to all.

Discover why SMS is still critical for B2B and B2C communication. Learn how it strengthens omnichannel strategies and helps businesses reach customers when it matters most.

A quick look at SMS history

More than 30 years ago, the first text message launched a new era of communication. Since then, it has played a key role in transforming the way we communicate. First between individuals, and later, between businesses and their customers. Even today, it continues to fill important gaps where other channels fall short.

Early days of SMS

In its early days, short messaging faced several limitations. Even with these challenges, businesses adopted SMS because it was simple, fast, and could reach users directly. As mobile networks improved and restrictions disappeared, SMS became a standard part of everyday communication.

Continued popularity and cultural influence of SMS

In 2020, users in the United States exchanged approximately 2.1 trillion text messages, according to the CTIA.

We can see SMS continues to thrive globally. Apps like WhatsApp and Facebook Messenger may dominate in some regions,but traditional texting remains relevant worldwide. It was the original driver of real-time, mobile-first interaction—and it is still widely used today.

The role of SMS in business communication: Reliability, reach, and consistency

Nostalgia does not keep SMS relevant; its value in critical areas of communication does.

Businesses still deliver most one-time passcodes (OTPs) through SMS. Text messages are fast, reliable, work on any device, and do not need an internet connection. This guarantees that critical information reaches customers wherever they are.

When other channels fail, texting acts as a dependable fallback channel. In regions with weak internet coverage or during Wi-Fi outages, a simple message still gets through.

Traditional messaging has high open rates and does not depend on internet access. SMS is especially effective for delivering time-sensitive notifications, such as fraud alerts, delivery updates, and transaction confirmations.

SMS remains a key channel for B2B and B2C communication because it is reliable, widely available, and highly effective.

Why SMS remains important for B2B and B2C communication

We’ve now skimmed its role in business. Now, let’s look at how SMS performs in practice through real-world use cases.

SMS as a failover channel

If a business is using modern messaging apps, they should still see value in SMS. Why? SMS serves as a reliable fallback (also known as failover) channel. This ensures less worry as your message will still reach the customer even if the primary app is unavailable or fails to deliver.

Take DPD, for example: they use Viber as their primary communication channel. However, if a customer cannot access Viber at a given moment, DPD automatically switches to texting to ensure that delivery updates reach the customer.

SMS as a safety feature

Strava uses short messaging for its Beacon safety feature for athletes. This enables real-time location sharing, enhancing user safety and increasing overall app value and end customer satisfaction.

SMS in customer engagement

Eat’N’Go used text messaging to stay connected with customers and drive engagement during promotions. This improved campaign reach and boosted sales across their food franchises.

These cases prove the value of SMS in enhancing customer experience and improving marketing strategies.

SMS in emergency and government services

Text messaging is the most reliable way for emergency and government services to reach people. It does not need an internet connection and works on almost every mobile phone. This ensures that critical alerts are delivered and read. During a crisis, when other channels can fail, SMS stays dependable.

Critical role of SMS in developing regions

In areas with poor internet access, mobile networks often stay available. This makes texting the more reliable option. For example, Branch used SMS to send urgent loan notifications and OTPs in regions with few smartphones. They achieved a 97% delivery rate, built customer trust, and grew in emerging markets.

Challenges SMS faces today

Although traditional texting has come a long way and remains unmatched in several areas, it still faces important limitations.

Competition from messaging apps

Feature limitations compared to messaging apps

Modern messaging apps offer more enhanced features. Text messages have character limits and do not support rich media. While simplicity is a strength, it also brings restrictions.

Unlike apps, SMS does not show read receipts or typing indicators. It also cannot include interactive tools like buttons or quick replies. This can reduce engagement and limit the user experience.

Modern messaging apps: A challenge to SMS?

Leading messaging apps include WhatsApp, Viber, and Telegram.
These apps dominate in certain regions. But traditional messaging keeps its global reach by using basic mobile networks without needing internet access.

Messaging apps offer more features and a richer experience. However, these extras do not replace what SMS does best: simple, reliable communication.

Key advantages of modern messaging apps for business communication

Messaging platforms like WhatsApp and Viber offer a rich set of features that enhance customer engagement. They support interactive elements, in-chat product catalogs, chatbots, and the ability to share media, creating immersive, branded experiences.

However, these benefits come with requirements: reliable internet, compatible apps, and user friendliness.

Top SMS alternatives for businesses in 2025

Modern apps have changed communication by offering personalization, automation, and convenience. However, short messaging still thrives—and in some cases, it outperforms newer alternatives.

Businesses continue to deliver most two-factor authentication (2FA) codes and one-time passwords (OTPs) through texting. Why? Because it does not require an app, internet access, or user onboarding. It just works instantly and universally.

Messaging apps may provide richer interfaces, but traditional messages guarantee delivery when it matters most.

SMS spam and user experience issues

Despite leading delivery rates, short messaging is sometimes associated with spam, causing some users to overlook communications. Still, high engagement rates and strong returns prove that SMS remains powerful. With the right strategy and platform, businesses can keep campaigns effective and trusted.

Security and privacy concerns

Unlike modern apps that often offer encryption, traditional texting lacks this protection by default. This can raise privacy concerns for businesses focused on customer trust and brand reputation.

Ooredoo used Infobip’s SMS Firewall to block fraud, protect its network, and secure proper billing. This helped the company build customer trust, grow SMS traffic, and increase revenue.

While risks exist, taking the right precautions can greatly reduce privacy threats in short messaging strategies.

Where SMS still thrives compared to messaging apps

To really understand why SMS continues to hold its ground, let’s compare it directly to modern messaging tools:

So while modern apps offer advanced features and branded experiences, texting still wins in key areas:

• Works without internet access
• Requires no app downloads
• Universally compatible with any mobile device
• Reliable offline communication
• High open rates

For businesses needing guaranteed delivery and immediate visibility, SMS remains the MVP of communication channels.

Future outlook: Will SMS stay relevant?

It has stayed relevant for over 30 years—what’s another 30? But in today’s fast-paced digital world, it’s a fair question: will short messaging continue to evolve?

In a broader omnichannel strategy, SMS holds a key position. Email, push notifications, and chat apps offer advanced features—but SMS delivers where they can’t. It works without internet access, reaches every mobile device, and gets messages through fast. This makes it a dependable choice for urgent or time-sensitive communication, especially in regions with limited connectivity.

When used alongside other channels, SMS adds reliability to the mix. It helps businesses maintain consistent, real-time communication across the customer journey.

Its continued relevance also reflects how the technology has evolved.

Evolving SMS technologies: Beyond basic texting

Advances in technology have expanded the capabilities of text messaging. Integrations like MMS (Multimedia Messaging Service), allow businesses to send images, videos, and longer messages. This makes the channel more dynamic while keeping its core strengths of reliability and simplicity.

Potential of RCS and integration with apps

Since Apple adopted RCS last year, interest in Rich Communication Services has grown. RCS enhances many features—rich media, brand verification, two-way conversations—but still depends on internet access, unlike SMS.

Though labeled “next-gen SMS,” RCS operates separately. Texting continues to shine when reliability and offline reach are non-negotiable.

AI and automation in SMS

New innovations like AI agents and SMS chatbots are giving traditional messaging a conversational upgrade. These tools enhance customer engagement while maintaining high delivery rates.

User preferences & messaging habits

Understanding your audience is crucial. While short messages offer the highest delivery rates, customer preferences vary by generation and region.

Generational messaging preferences

Different age groups approach texting differently. Even simple emoji usage can shift meaning across generations. Infobip’s generational research highlights how subtle differences impact engagement.

Regional variations

Cultural norms shape how people communicate. Beyond tone and language, legal and technical factors also influence how messaging solutions are deployed globally.

For example, sender ID registration is mandatory in countries like Brazil, Indonesia, Mexico, and the Philippines. This step helps prevent fraud and unauthorized use. In some markets, businesses also face setup or recurring fees tied to registration, which can impact budget planning—especially at scale.

Approval processes vary: in some countries, registration is fast and straightforward; in others, it requires advance documentation and longer review cycles. There are also differences in message content, timing rules, and delivery regulations, meaning a compliant campaign in one country may not meet legal standards in another.

Environmental implications of SMS vs messaging apps

Every digital communication has an environmental impact. Short messages are lightweight and data-efficient. Each one producing about 0.8 grams of CO₂ per message according to Mike Berners-Lee’s research.

In comparison, more complex messaging apps can produce up to 50 grams of CO₂ per message. For businesses concerned with sustainability, traditional texting remains the greener option

Conclusion: Is SMS still relevant for business communication?

Is SMS outdated? Despite the rise of newer messaging apps, traditional texting continues to excel where it matters most. Its core strengths being reliability, accessibility, and universal reach.

For businesses, it remains an essential tool, especially when speed and guaranteed delivery are critical. Whether you need to reach customers in areas with limited internet or ensure urgent notifications are seen immediately, short messaging provides a dependable solution.

Looking ahead, SMS will stay relevant by integrating with new technologies and adapting to changing user needs. Its simplicity and broad compatibility make it a critical part of any B2B or B2C communication strategy.

How to start using SMS effectively for your business today

• Identify key customer touchpoints where speed and reliability are vital (order updates, security alerts, appointment reminders).
• Integrate texting into your omnichannel strategy as a primary or failover channel.
• Use a trusted messaging platform that ensures high deliverability and compliance with regional regulations.
• Monitor engagement metrics like delivery rates, open rates, and response times to optimize your messaging campaigns.

By taking a strategic approach, businesses can continue to leverage SMS to improve communication, increase customer satisfaction, and drive better results.

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