15 best SMS marketing use cases in 2025

In 2025, SMS marketing is still one of the most effective marketing channels. Here’s how your business can use it to connect with customers, boost engagement, and drive sales.

Dan Mekinec Senior Content Marketing Specialist

With more consumers expecting texts from brands, the need for fast, direct communication has never been greater. This is what SMS excels in.

If you’re interested in how to improve your marketing efforts with SMS, today we’re going to cover:

  • Why SMS marketing (still) works
  • 15 SMS marketing use cases
  • How to build a high-converting SMS strategy
  • Comparison of SMS vs. other channels

Why SMS marketing works: Data-driven insights & trends

Even though it may have been surpassed by other channels in terms of rich features, SMS marketing stands out as one of the most effective ways to reach your audience — thanks to its unmatched open rates, real-time delivery, and high response rates.

Unlike traditional marketing channels, SMS is direct, personal, and highly engaging. And while it works incredibly well on its own, it also plays a powerful role as part of a broader omnichannel strategy.

Here’s why SMS is still one of the best engaging channels:

  • Open & response rates: SMS messages have a really high 98% open rate, with 95% of those messages being read within the first three minutes.
  • High consumer engagement: Around 59% of consumers respond to SMS within five minutes, making it ideal for real-time interactions.
  • Strong ROI potential: SMS marketing delivery roughly $71 for every $1 spent, making it one of the highest ROI channels.
  • Projected growth: SMS marketing spend is projected to grow at a 20.3% CAGR, reflecting its increasing importance across industries.

SMS marketing use cases: Tips and examples

Here are 15 common SMS marketing campaigns showing how brands use text messaging to enhance their promotional strategies and customer interactions.

1. Welcome texts

If you don’t make a strong first impression, you might ruin your chances of building a lasting connection with your new customers. As most customers expect a welcome message when they sign up, SMS messages make sure they receive it instantly — helping you set the stage for long-term engagement.

When sending a welcome message, you should:

  • Personalize the message with the customer’s name.
  • Include an exclusive discount or incentive to encourage first-time purchases.
  • Set expectations by explaining what’s next (updates, deals, etc.).

Example:

Welcome! We’re excited to have you. Enjoy 10% off your first order with code WELCOME10. Shop now: example.com/welcome10offer

2. Polls and surveys

SMS surveys are one of the most effective ways you can engage a customer if you’re interested in customer feedback.

When sending polls or surveys, you should:

  • Keep the messages short and simple (1-2 questions).
  • Use an incentive (discount, giveaway entry) to boost responses.
  • Send follow-up SMS based on responses to deepen engagement.

Example of a brand asking for customer feedback using two-way SMS:

We value your opinion! How would you rate your recent experience with our service? Reply 1-5 (1 = Poor, 5 = Excellent).

5

Thank you for your feedback!

3. Contests and giveaways

You can run SMS contests where customers can enter giveaways, participate in promotions, or unlock exclusive rewards by responding via text.

To use these campaigns effectively, you should:

  • Keep the entry method simple (e.g., “Reply WIN”).
  • Use clear deadlines to create urgency.
  • Follow up with a winner announcement to build excitement.

Example:

Want to win a $20 gift card? Reply WIN to enter our exclusive giveaway! Winner announced on Friday!

WIN

Congratulations! You won a $20 gift card in our prize giveaway. Use the code PRIZE20 at check-out: example.com

4. Limited-time offers and flash sales

If you’re offering limited-time discounts or offers, use SMS marketing messages to promote time-sensitive discounts, holiday sales, and flash promotions to drive urgency and boost conversions. 

To create an engaging limited-time offer, you should:

  • Highlight the time limit (e.g., “Only 24 hours left!”).
  • Use short, action-driven CTAs (“Shop Now”).
  • Combine with exclusive VIP offers to drive loyalty.

Example:

Flash Sale Alert! Get 25% off all items for the next 24 hours. Use code FLASH25 at checkout. Shop now: example.com/flash25sale

5. Event reminders and ticket promotions

Use SMS for sending event reminders, early bird ticket sales, and last-minute promotional messages to boost attendance and engagement. In some cases, sending SMS reminders resulted in a 38% less chance of no-shows.

When crafting these types of messages, you should:

  • Send multiple reminders (one week, one day, and one hour before).
  • Include event details & links for easy access.
  • Add a calendar invite for extra convenience.

Don’t forget! Your concert is tomorrow at 7 PM. Need more tickets? Buy now: example.com/tickets

6. Loyalty program updates and exclusive rewards

If your business goal is to drive repeat purchases and engagement, use SMS to notify members about earned points, VIP rewards, and exclusive perks.

Best practices for these messages include:

  • Send monthly updates on point balances.
  • Offer double points days to drive urgency.
  • Personalize messages based on past purchases.

Example:

You’ve earned 50 points with your last purchase! Redeem them for exclusive discounts in-store or online. View rewards: example.com/rewards]

7. New product and service announcements

Your product just launched but you’re not sure how to advertise it? Use SMS to generate buzz and drive early purchases from loyal customers.

Tips:

  • Send messages within an hour of abandonment for best results.
  • Offer an exclusive discount to encourage checkout.
  • Include a direct checkout link for convenience.

Example

Our latest set of cast iron pans is now available. Order today and get free shipping! Shop now: example.com/pans

8. Drip campaigns for lead nurturing

SMS drip campaigns help you automatically follow up with leads or new customers over time. You can use a sequence of timed messages to educate, build trust, and drive action—perfect for onboarding or guiding people through a sales funnel.

When sending drip campaigns, you should:

  • Space out messages over days or weeks to avoid overwhelming users.
  • Include helpful, value-driven content in each message.
  • Guide customers toward one clear goal or next step.

Example:

TO UPDATE: Welcome! Over the next few days, we’ll send you tips to get the most out of your experience. First tip drops tomorrow.

9. Abandoned cart reminders

Recover lost revenue by following up with customers who didn’t complete their purchase. SMS lets you reach them quickly with a gentle nudge or exclusive offer to finish checking out.

You can:

  • Remind users they left items in their cart.
  • Add urgency with limited-time discounts.
  • Include a direct checkout link for convenience.

Example:

Still thinking it over? Your cart’s waiting—and here’s 10% off to help you decide. Use code CART10 today: example.com/checkout

10. Back-in-stock alerts

Bring eager customers back with a timely message when popular products become available again. These alerts work especially well for high-demand or limited-supply items.

When sending back-in-stock alerts, you should:

  • Send the message immediately after inventory is updated
  • Personalize it with the product name or category
  • Include a link to purchase before it sells out again

Example:

Our cast iron pans are finally back in stock! Get yours before they sell out again: example.com/backinstock

11. Personalized customer engagement and celebrations

A personal touch goes a long way. Send birthday wishes, anniversary messages, and exclusive gifts to show customers you value them.

If you’re creating these messages:

  • Use the customer’s name to add a personal touch
  • Send messages on birthdays, anniversaries, and milestones
  • Offer exclusive discounts for special occasions

Example:

Happy birthday, Stacy! Enjoy 20% off your next order as our gift to you. Use code BDAY20 at checkout!

12. Re-engagement campaigns for inactive users

Seeing inactive customers? Bring them back with an exclusive discount or reminder of what they’re missing. A quick, well-timed SMS can reignite interest and boost retention.

When doing this, you should:

  • Offer a personalized discount to bring them back
  • Remind them of what they’ve been missing
  • Make it effortless to return by linking to relevant pages

Example:

We miss you! Here’s 15% off to welcome you back. Use code WELCOME15 today: example.com/welcomeback15

13. Customer retention and churn prevention

Losing customers and not sure what do do about it? SMS can help reduce cancellations by offering special retention deals before they leave.

To prevent churn, you should:

  • Send personalized retention offers
  • Provide a quick opt-in for special perks
  • Follow up with customer support outreach

Example:

Still thinking about canceling? Get 30% off your next 3 months if you stay with us! Click here to claim: example.com/stay30

14. Internal business alerts and team coordination

If you need to send urgent updates to your team, use SMS to keep employees in the loop with real-time notifications for shifts, meetings, or emergency announcements.

With internal business SMS messages, you can:

To prevent churn, you should:

  • Use SMS for urgent announcements
  • Send reminders for shifts, deadlines, and meetings
  • Automate approval requests

Example:

Urgent: Scheduled maintenance will take place at 11 PM tonight. Please complete all tasks and save changes before then.

15. Waitlist and product drop notifications

If you’re launching limited-edition products or timed campaigns, SMS is the perfect way to notify subscribers instantly and build excitement.

When sending product drop alerts, you should:

  • Highlight urgency with countdowns or early-access windows
  • Make the message feel exclusive or VIP-only
  • Include a direct link to shop right away

Example:

Our new collection just dropped. Early access ends at midnight. Shop now: example.com/drop

How to build a high-converting SMS marketing strategy

A successful SMS marketing strategy is not just about sending messages — it requires the right approach to maximize engagement, conversions, and customer satisfaction.

Here’s how you can also build a high-converting SMS marketing strategy by following a few simple steps.

1. Define clear goals and objectives

Before launching an SMS campaign, you need to establish specific goals, such as:

  • Increase sales and conversions
  • Boost customer engagement and retention
  • Drive event attendance or loyalty program participation

2. Segment your audience for personalization

Sending the same message to everyone rarely works. With SMS, personalization drives real results — but it starts with smart segmentation.

Using Infobip, you can segment your audience based on:

  • Purchase history (e.g., loyal customers vs. first-time buyers)
  • Demographics & location (tailor offers by region or time zone)
  • Behavior & engagement (e.g., frequent buyers vs. dormant users)

How Rappi used segmentation to grow fast

Rappi, a leading delivery platform in Latin America, used Infobip’s platform to build targeted SMS campaigns that spoke directly to specific user segments — like customers who hadn’t ordered in a while, or those who regularly responded to deals.

With our powerful segmentation and automation tools, they could:

  • Filter users by purchase activity and location
  • Trigger re-engagement campaigns to win back inactive users
  • Launch hyper-targeted promos for sponsors and restaurant partners

The result? A single, personalized Sunday SMS campaign for a chicken restaurant led to 150 orders in under an hour – on a Sunday!

3. Craft compelling and concise messages

SMS has a 160-character limit, so messages should be:

  • Clear & direct (get to the point immediately)
  • Action-oriented (include a strong CTA)
  • Value-driven (offer a reason to engage)

4. Use automation for efficiency

Automation helps you scale communication without sacrificing personalization or timing.

With Infobip, you can automate SMS campaigns to:

  • Send timely reminders (billing, appointments, order status)
  • Follow up with customers (abandoned carts, re-engagement sequences)
  • Deliver real-time notifications (shipping updates, flash sales)

How Text Global used automation to boost efficiency and revenue

Text Global, one of the UK’s leading SMS marketing platforms for SMEs, needed a way to reduce churn and meet rising client demands for automated, multi-channel engagement.

By integrating Infobip’s modular API and customer engagement solutions, they were able to:

  • Automate complex marketing campaigns across SMS, Email, Voice, and RCS channels
  • Build personalized customer journeys and real-time flows using Moments
  • Streamline onboarding, campaign registration, and resource provisioning with CPaaS X

The result? A 78.98% CAGR and 30–45% YoY revenue growth — all driven by scalable, automated communication.

5. Time your messages strategically

The success of SMS marketing isn’t just about what you say — it’s also about when you say it. Sending messages at the wrong time can result in lower engagement or even unsubscribes.

When planning your campaigns, always consider:

  • Peak engagement times: Avoid early mornings and late nights
  • Time zones: Adjust your send time for global audiences
  • Behavioral triggers: Send based on user actions, like browsing or cart abandonment

How Infobip’s send-time optimization (STO) helps

With Infobip, you can go one step further by enabling send-time optimization (STO) to automatically deliver your message when each recipient is most likely to engage.

STO uses past behavior — like open rates, link clicks, or pickup patterns — to identify the optimal time to send within a 24-hour window.

You can apply STO to channels like:

  • SMS: Based on click rate
  • Email: Based on open and click rates
  • Voice, Push, WhatsApp, Viber, Telegram: Based on relevant channel metrics

6. Track performance and optimize continuously

SMS marketing should be data-driven.

Because of that, track key metrics like:

  • Delivery rate: Are messages reaching customers?
  • Open & response rates: Are people engaging with your texts?
  • Conversion rates: Are messages driving sales or sign-ups?

SMS vs. other marketing channels: Why it’s a must-have

Businesses today have multiple marketing channels to engage their audience. To just name a few, these other channels can include email, social media, push notifications, or paid ads.

While each has its benefits, SMS marketing stands out as a highly effective, direct, and reliable communication tool. Here’s how it compares to other channels:

SMS vs. email marketing

Email marketing is widely used but often suffers from low engagement due to crowded inboxes and spam filters. SMS usually gets higher open and response rates. However, you can use both email and SMS marketing together.

SMS vs. social media

Social media platforms rely on algorithms, meaning only a fraction of your audience sees your content. SMS gets delivered directly to the recipient’s phone, ensuring 100% reach without competing with ads or platform rules.

SMS vs. Push notifications

Push notifications work well for app users, but they require users to have the app installed and notifications enabled. SMS works on any phone, anytime, anywhere, making it more accessible, and reaches users without the need for a dedicated app.

SMS vs. paid ads

Paid ads (Google, Facebook, etc.) require ongoing investment and can get expensive with high competition. SMS is a fraction of the cost and reaches a highly targeted audience who have opted in, increasing engagement and ROI.

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