What is a Transactional SMS: The Ultimate Guide 2022

Do you recall the random SMS messages from businesses informing you that your order is being delivered?

Maybe an SMS message confirming your hotel reservation? If so, you know more than you think about transactional SMS.

Customers today expect messages that are personalised and interesting. Marketers must create a mobile strategy that enables the most direct message delivery to meet customer expectations. 75% of customers want businesses to contact them via a transactional SMS provider for appointments, payment reminders, promotions, or other information. 

What is Transactional SMS?

A transactional SMS is automatically sent in response to an event or a customer-initiated action. You can observe transactional messaging in action fairly clearly in banks. Customers receive one-time pins, for instance, when they make purchases or try to log into their accounts online. Transactional SMSes are also used for various purposes, including account activations, booking confirmations, order confirmations, account balance notifications, and real-time alerts.

Transactional SMS vs Promotional SMS

Despite the advantages of informing your customers about all the fantastic products you offer and any intriguing bargains you want them to know about, promotional SMS messages have a high opt-out rate. However, because transactional SMS is highly customised and goal-oriented, it provides clients convenience rather than just another marketing message.   

Need for Transactional SMS

Transactional SMS are personalised, topical, and timely based on triggered events. They are therefore well-liked by customers. These messages aim to revive your most valuable customers, remove lapsed ones, and promote brand loyalty.

Activation and Verification of Accounts

Transactional SMS alerts on account activation or verification choices are available to users. Users receive a unique code when they log in or register, which they must verify by clicking an activation link or keying in a verification code on a mobile device. SMS identity confirmation is cheap, dependable, and useful to guarantee security and peace of mind.

Real-Time Alerts

SMS is the most effective approach to inform customers, especially when the information is important. Customers don’t always respond right away to notifications because calls and emails can be easily forgotten. Instead, clients may act immediately by getting urgent information via text notifications in real-time. As a result, customers would feel appreciated and informed, for example, if they receive a real-time SMS telling them of a flight change, a table is ready, their credit card activity, or their data consumption. As an outcome, customers will be happier and more inclined to utilise your services again.

Time-specific Reminders

Missed appointments result in lost sales opportunities. Therefore, fewer no-shows are essential. Using time-triggered text messaging, you can ensure that consumers don’t forget their appointments. For instance, when it’s time to refill, you might get in touch with clients who purchased consumable products immediately.

Benefits of Transactional SMS

Time Sensitive

Since transactional SMSes are automated, they make it possible to transmit urgent information on time. In reaction to a predetermined trigger, SMS messages can be immediately sent without requiring manual input.

Improved Customer Engagement

Transactional SMSes are more than just alerts or notifications; they help businesses establish a reliable line of communication with their clients. A client who uses your services with confidence and a sense of value gets regular updates on a crucial delivery.

Availability

Since SMS is a standard feature on all mobile phones worldwide, it is the perfect method for firms to reach customers who don’t commonly have access to data.

Transactional SMS should be used by businesses that prioritise enhancing the customer experience through cutting-edge communication methods. It is superior to other techniques for connecting with clients in terms of effectiveness, speed, dependability, and utility. Additionally, it offers a well-laid-out client engagement strategy that gives the business an advantage over rivals. By adopting a successful transactional bulk SMS solution, a bulk transactional SMS provider like Mtalkz assists organisations in increasing client engagement and customer retention rates.