What is SMS marketing?
A 2026 guide for ecommerce brands

SMS marketing is the best way for businesses to communicate urgent messages that have a high chance of being opened and read. According to Omnisend’s data, text messages hold a 98% open rate, and 90% of the messages are opened in the first three minutes. As you can see, the channel’s value is undeniable.

You may not have known this, but SMS marketing is one of the highest-ROI channels available. The problem is, many brands either don’t know where to start or are not using it to its full potential. Many people think that receiving promotional content via SMS is annoying, which may stop businesses from trying the channel altogether, but it’s only so when you overstep the boundaries.

We’ll explain to you how text campaigns work, share some real-world examples, and provide best practices so you can get the benefits without annoying your customer base.

What is SMS marketing?

If you’re wondering “what is text marketing?”, the concept is pretty straightforward. SMS marketing is a direct digital channel that allows you to send promotional, transactional, and conversational text messages to opted-in subscribers.

The acronym SMS stands for Short Message Service, meaning these messages only consist of plain text. This distinguishes it from MMS (Multimedia Messaging Service), which allows you to send media like images, GIFs, and videos.

When you’re building a text message marketing strategy, the golden rule is consent. SMS is strictly a permission-based channel, so you can only send campaigns to those contacts who have explicitly opted in to receive them from your brand.

The greatest advantage of SMS is that it’s an owned marketing channel, unlike most social media. You don’t have to worry about a sudden algorithm update hiding your content from your audience. Instead, you have complete control over your timing, targeting, and messaging.

It sits right alongside email as one of the few marketing channels your brand owns outright, which gives a reliable and direct line to your customers.

How does SMS marketing work?

If you’re new to the channel, you might be wondering: how does SMS marketing work? At its core, the mechanics are quite simple: a brand signs up with an SMS marketing platform (like Omnisend, for example), builds a list of opted-in subscribers, and uses that platform to send text messages from a dedicated phone number.

All of that is easy as pie, but when you set up your account, you’ll need to choose the type of phone number you want to send from, which could be a little more complicated for SMS rookies. There are three main options available:

• Short codes: These are 5-6 digit numbers typically used for high-volume sends, like mass promotional campaigns. They’re well recognized by mobile carriers, so you don’t need to worry about deliverability rates, as they will be high for large lists.
• Long codes (10DLC): These are standard 10-digit phone numbers registered specifically for business use. They’re usually better suited for conversational messaging and lower-volume sends.
• Toll-free numbers: These are 1-800-style numbers that can be enabled for text messaging. They serve as a great middle ground between the high volume of short codes and the conversational nature of long codes.

Once you get all that sorted out and finally hit “Send” on a campaign, your messages travel through SMS gateways. There’s no magic or shady operations going on behind the curtain. SMS gateways are the technology that connects your marketing platform directly to mobile carriers.

The messages are then delivered straight to your subscribers’ native messages app, which means your recipients don’t need to download any apps to get your texts.

Because this technology is so direct, most SMS messages are delivered within seconds of sending, which makes it an incredibly effective tool for time-sensitive offers and updates.

Types of SMS marketing

SMS marketing is not a single format. There are distinct types of text messages, each suited to different moments of the customer journey.

1. Promotional SMS

Promotional SMS refers to messages sent specifically to drive a commercial action. You’ll typically use these for regular sales, product launches, flash sales, exclusive offers, and more. They can be sent out as one-off campaign blasts to your list, or set up as behavior-triggered automations.

Here are a few common promotional use cases:

• Flash sales
• Abandoned cart reminders
• Back-in-stock alerts
• Anniversary offers
• Birthday discounts
• VIP early access

Behavior-triggered texts are incredibly effective for ecommerce brands. According to the Omnisend 2026 Ecommerce Marketing Report, automated SMS messages generate an average of $0.74 per send, compared to just $0.15 for standard campaigns, which is five times the difference.

2. Transactional SMS

Transactional SMS messages are triggered by a customer’s own action to inform them about the status of their transaction. In simpler terms, this basically includes things like order confirmation, shipping update, or a delivery notification.

There’s a crucial legal distinction to remember with these texts: just because you can send transactional SMS does not automatically mean you have consent for promotional SMS.

A few examples of transactional SMS use cases include:

• Order confirmation
• Shipping updates
• Delivery notifications
• Password reset links
• Payment receipts

Following up on the consent part, if a customer has explicitly opted in for promotional messages, you can successfully pair these transactional texts with a post-purchase cross-sell or upsell.

3. Conversational SMS

Conversational SMS is designed as an ongoing dialogue where messages actively adapt based on customer responses. This approach goes way beyond simple confirmation messages or basic keyword-triggered replies.

In the image below, you can see the difference between regular “two-way” messages and a true conversational SMS:

This kind of responsive, back-and-forth experience can be powered by automation, AI, human agents, or a combination of all three.

SMS marketing examples

Seeing real examples from actual ecommerce brands makes it easier to understand what effective text messaging looks like in practice, not just theory. The examples below cover the most common campaign types you’ll use to engage your audience.

1. Welcome SMS

Brand name: Draper James

Why this works:

• The copy is friendly and immediately delivers on the promise made during the opt-in process
• It includes a clear $10 off discount code to encourage the first purchase
• The auto-apply function makes it even easier for the recipient to use the discount code

Key takeaway: Always deliver your promised incentive immediately in your very first welcome text, and make the discount code as easy to use as possible.

2. Abandoned cart SMS

Brand name: Knix

Why this works:

• The copy communicates right away that the item in the user’s cart is popular and is at risk of selling out: it’s short, sweet, and actionable
• The thought of the item selling out creates a sense of urgency in the shopper’s mind, which could make them go back and get it before it’s gone
• A direct link takes the customer straight back to their checkout page for a frictionless experience

Key takeaway: Make your abandoned cart reminder SMS as easy as possible, preferably with a link that takes the user directly to the checkout page.

3. Flash sale SMS

Brand name: Lovesac

Why it works:

• It’s super short, says everything that needs to be said in 13 words, and there’s absolutely no confusion about what’s going on
• The end-of-day time limit drives high urgency and prompts immediate action from the subscriber
• The use of emojis is not always the best option, but in this case, it works perfectly, as without them, the text would look choppy, robotic, and dull

Key takeaway: Use strict time limits to drive immediate action for your promotional messages, and be as concise as possible.

4. Back-in-stock SMS

Brand name: Parks Project

Why this works:

• Instead of being a generic “back-in-stock” SMS, it adds marketing copy to it by outlining the main selling points of the product
• The offer is quite unique because it reminds the user of what it was that they once wanted to buy, instead of expecting them to remember
• The link drops the shopper directly onto the specific product page and removes unnecessary navigation steps

Key takeaway: Capitalize on high-intent shoppers by notifying them the second their desired item is available, but also consider reminding them about the item itself.

5. Opt-in SMS + promotion

Brand name: Forever 21

Why this works:

• The SMS communicates clear instructions and rewards, while also setting expectations for the frequency of the messages
• In exchange for the confirmation, the user receives a 20% off of their next purchase, which makes the extra effort worth it
• It provides not only the opt-out keyword, but also allows the user to get help, which could potentially save you a contact

Key takeaway: When asking for opt-in verifications, make sure you communicate everything clearly and give the recipient something extra for their effort.

6. Birthday SMS

Brand name: Meet Blume

Why this works:

• Instead of focusing on the user’s birthday, they focus on their own, which comes off as more honest and authentic
• The offer is strong for both parties: you increase your average order value by prompting people to buy more, and the user gets a third one for free
• The link is placed at the bottom conveniently, so the user can click and start shopping

Key takeaway: You don’t have to focus on users’ birthdays alone, as your own birthday can be just as effective.

How to build an SMS subscriber list

Building a high-quality SMS list is all about getting genuine opt-ins from your audience, not partaking in lazy list buying. You should never rely on imported phone numbers or coerced sign-ups, because the quality of your list directly affects the success of your campaigns. 

To make it as simple as possible: if you send a promotional SMS to someone who doesn’t know you, you’ll get blocked. Or worse, reported.

Here are the best methods to grow your audience naturally:

• Website popups: This is arguably the most common entry point for new subscribers, and Omnisend’s popup builder makes this easy by supporting TCPA-compliant double opt-in. Just make sure that you create an attractive offer like a discount, free item, etc., and use as few fields as possible to make the process quick.
• Checkout opt-in: You can also add a phone number opt-in field at checkout, but make sure you use double opt-in with this one, because people often check those fields blindly, thinking they’re Terms & Conditions and Privacy Policies.
• Keyword opt-in: If you have a physical store or you’re often at live events, you can use specific keywords like “JOIN” and instruct the reader to text it to a dedicated number if they want to join the list.
• Cross-channel promotion: You can email your existing subscribers to invite them to join the SMS list, for, let’s say, VIP access. Omnisend makes this process straightforward since you can manage both your email and text channels within the exact same platform.
• Post-purchase SMS: Include a clear SMS opt-in invitation inside your post-purchase transactional emails. Customers who just bought from you are already highly engaged, which makes it the perfect time to ask them to subscribe to SMS.

If you want to learn more specifically about growing your SMS list, check out this video on it:

On another note, maintaining list hygiene is just as important as gathering new contacts. Regularly removing inactive subscribers and honoring opt-outs protects your deliverability and sender reputation. You don’t want to harm them, as it can take a long time to get back where you were.

SMS marketing compliance and legal requirements

When it comes to texting your customers, SMS compliance is non-negotiable. Non-compliant SMS campaigns face heavy fines and severe carrier filtering that can quickly destroy your deliverability.

While specific laws vary by country, there are universal best practices for compliance that apply across regions. Keep these rules in mind to ensure your text marketing stays on the right side of the law:

• Always obtain explicit opt-in before texting, and never buy SMS lists
• Always include an opt-out instruction in every message (e.g., “Reply STOP to unsubscribe”)
• Honor opt-outs immediately, and remove unsubscribed contacts from all future sends
• Clearly identify your brand in every message
• Respect sending hours (8 AM–9 PM local time in the US)
• Keep records of consent in case of disputes

Manual management of SMS compliance is prone to error and could be overwhelming, so relying on platforms that do this automatically is your best option. Omnisend, for example, includes TCPA-compliant opt-in flows and automatically handles opt-out processing. It significantly reduces the compliance risk for ecommerce brands and makes life easier for you.

SMS marketing best practices

If you think that effective SMS marketing is just about sending messages to your list, think again. The more important part is sending the right message to the right person at the exact right moment. It’s not very easy, but it’s definitely doable.

Here are the key best practices you should follow:

• Lead with the value: You only have 160 characters to capture your subscriber’s attention, so put your strongest offer upfront. If you’re offering a major discount, place it in the first few words rather than burying it at the end of the text.
• Send at the right time: Respect your subscribers’ local time zones. Only send promotional campaigns when people are actually awake and ready to engage, which is typically between 8 AM and 9 PM, especially in the US.
• Prioritize automation over blasts: Triggered messages are highly relevant because they respond directly to customer behavior. In fact, the click-to-conversion rates for manual SMS campaigns averaged 0.97% in 2025 globally, whereas automated messages averaged 3.81%.

• Keep frequency in check: Sending too many texts is the fastest way to lose your audience. Research suggests that 49% of subscribers don’t mind getting one text a week, but if you start spamming them relentlessly, 53% will unsubscribe.
• Combine SMS with email: Don’t treat text messaging as a standalone strategy. Use email for long-form content and visual storytelling, and leverage SMS for when you want to communicate immediate urgency and quick conversions.

• Make opt-out easy: Always provide a clear, simple way to unsubscribe in every message (“Reply STOP”, for example). This protects your deliverability and ensures your list stays filled with engaged shoppers instead of dummy contacts.

How to measure SMS marketing performance

Most platforms are great at showing you basic engagement metrics like clicks and opens, but they rarely connect those numbers to actual revenue. And closing that loop is essential because it shows you exactly how much money your text campaigns are generating for your business.

Different metrics answer different questions. Some tell you if a message successfully reached and engaged your audience, while others reveal if that engagement actually drove tangible business results.

Here are the key metrics you need to track:

• Delivery rate: It shows you the percentage of your SMS messages that actually reached your subscribers’ phones. If you notice a sudden drop in this metric, there’s probably an issue with carrier filtering or an outdated list filled with inactive numbers. A healthy delivery rate you should aim for is 98% or more. Anything below 90% signals a damaged sender reputation.
• Click-through rate (CTR): It’s the percentage of recipients who not only opened the message, but also clicked the link inside the SMS. If your CTR is low, you need to revisit your offer and your CTA, as it may either be irrelevant or not strong enough. In 2025, the average CTR rates varied between 12% for campaigns and 20% for automations.
• Conversion rate: This is one of the most important metrics for revenue, as it shows how many people completed a purchase after clicking on the link. If you have a high CTR but a very low conversion rate, you need to check if your message reflects the contents of the landing page. On average, 21% to 30% of recipients complete a purchase after visiting your store via SMS.
• Revenue-per-send: It shows you exactly how much money each message generates on average. It helps you compare your costs and allows you to see how much ROI SMS marketing actually generates. Our 2026 report shows that automated SMS usually generates $0.74 per message, while manual campaigns stand at $0.15 per SMS.
• Opt-out rate: It shows the subscribers who no longer want to receive your messages. If you start noticing higher opt-out rates than usual, double-check your sending frequency rates and consider whether the messages are relevant to the audience. For a healthy SMS marketing strategy, your unsubscribe rates should be lower than 3.5%.
• List growth rate: This measures how quickly your total number of SMS contacts increases over a specified period of time. If you notice that the metric is stalling, you may need to rethink your opt-in strategies and offer stronger sign-up incentives. If you’ve been offering free shipping up until now, you may want to consider throwing in a discount instead and see how it goes.

If you want a platform that allows you to see all these numbers in action, Omnisend’s reporting dashboard tracks all of the above per campaign and per automation flow. Revenue attribution is also built-in, so you can see how much money each campaign generates.

How to get started with SMS marketing

Getting started with text messaging on Shopify or other platforms doesn’t require a massive contact list or a highly complex technical setup. On the contrary, you can have the basics running within just a few hours. The key is to take it step-by-step to build a solid foundation.

Here’s exactly how to launch your text message strategy:

1. Choose an SMS marketing platform: Look for an intuitive tool that handles both email and text messaging in one place, like Omnisend. This makes it much easier to coordinate your campaigns and track your overall revenue without juggling multiple tabs and bills.
2. Get a compliant phone number: Your platform should help you secure a dedicated number, be it a short code, long code, or toll-free. Make sure it supports local compliance rules right out of the box.
3. Set up opt-in collection: Add a phone number field to your website popups or checkout flow. Clearly state what subscribers can expect to receive and provide a compelling enough reason to sign up, like a discount.
4. Build your first automation: Start with the tried-and-tested basics like a welcome flow or abandoned cart reminder. These workflows work quietly behind the scenes, so they don’t require any additional input once you launch them.
5. Send your first campaign: Now for the fun part. Prepare a time-sensitive promotional blast to your opted-in audience. Keep the copy short, include a clear CTA, and link directly to the product page. Don’t forget to add opt-out options, as well.
6. Review and optimize: After a few hours, check your delivery, click-through, and conversion rates. Then, use it to refine your sending times, update your copy, improve CTAs, and more. Use the data to your benefit.

If you want to see a video of how it all works in reality, check out our quick guide on setting up SMS marketing campaigns:

The most important thing is to avoid configuration fatigue. Don’t feel pressured to do everything at once. Start small with a single automated flow, focus on delivering quality messages over sheer volume, and steadily grow your strategy from there. Time is on your side here, so don’t rush it.

Put SMS marketing to work for your business

SMS marketing offers a direct line of communication to a highly engaged, opted-in audience. If you pair text messages with email marketing, it can become a serious engine of ROI for your business.

The best part about it is that you don’t need to implement a complicated strategy right from the start to see results. The brands that get the most out of text messaging are the ones that start simple with a basic welcome flow or an abandoned cart reminder, and steadily build from there. As cliche as it sounds, Rome wasn’t built in a day.

If you’re looking for the right platform, Omnisend is built specifically for ecommerce email and SMS marketing. It offers global SMS coverage, behavior-triggered automations, and TCPA-compliant list-building tools. 

What’s more, because email and SMS live under one roof, you don’t need to sign up for different tools and handle different tabs and bills. And if you missed it, keep in mind that Omnisend customers earn $79 back for every $1 spent, which is one of the strongest documented ROI figures in the industry.

FAQs