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2 March 2021

How Should DTC Brands Engage with Their Customers?

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Key takeaways

  • SMS marketing gives direct-to-consumer (DTC) brands a direct, high-engagement channel to reach customers where they are most active.
  • Combining SMS with other channels like email delivers stronger results than relying on one channel alone.
  • Building and nurturing owned contact lists creates more stable, long-term revenue than paid acquisition.
  • Relevant, personalised content is the key to turning SMS into a powerful tool for engagement and retention.

A modern day hero of SMS marketing for DTC, Arri Bagah, gives us the rundown on how to connect with customers the right way over text. He’s the CEO and Founder of Conversmart, and he also wrote the official Shopify guide to text-based marketing.

5 tips for DTC brands to connect with customers

Here are Bagah’s top five tips on how to use SMS marketing to engage with new and existing customers and generate revenue.

1. Be where your consumers are

Once upon a time that was on the busiest roads. Now, it’s on phones, in messaging apps. You have to be able to reach them where they are naturally giving their attention.

2. Performance on email has dropped

It does still work, and you don’t have to replace one channel with another. However, it pays to be aware that the effectiveness of various touchpoints are in constant flux. Right now text is getting 90%+ open rate while emails are becoming more and more ‘avoidable’. On test, email alone performed worst, better was text alone, best was an integrated combination.

3. Owned lists top paid spend long term

Bagah sights algorithm changes, legal battles over data privacy with tech giants like Meta and Apple, and growing pay-per-click (PPC) costs as three clear reasons why ‘owned’ lists for email and text will benefit genuine audience building and revenue generation in the long term, while spending on ads and social is becoming more of an unpredictable minefield.

4. Content really is king

Lots of brands are venturing into SMS marketing, but the ones who are cashing in are the ones with the most relevant content. This isn’t about mass marketing and corporate ‘faceless’ messaging, this is about forming human connections with exclusive content, content that people actually want to read, watch, enjoy, share, all the while keeping it lowkey and fun.

5. Not just for ‘sales’

The entire customer lifecycle can be made more cohesive with a sharp SMS messaging strategy, including relieving pressures on your support team. Order confirmation messages, requests for reviews, even options to edit your subscription or order details. SMS can influence revenue with existing customers through nurturing and developing the relationship after it has been initially formed through first purchase.

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DTC SMS marketing FAQs

How often should DTC brands send SMS messages to customers?

DTC brands should focus on quality over quantity. Sending one to four messages per week is typical, but it depends on your audience and content value. Too many messages can lead to opt-outs, while too few can reduce engagement.

What types of messages perform best in SMS marketing?

Messages that feel personal and time-sensitive tend to perform best. This includes early access offers, restock alerts, and personalized recommendations. Short, clear messages with a strong call to action usually drive higher engagement.

How can DTC brands stay compliant with SMS marketing regulations?

Brands must obtain clear customer consent before sending messages. They should also provide easy opt-out options and follow regulations like TCPA and GDPR. Using a compliant SMS platform helps manage these requirements and reduces risk.

How do you measure the success of an SMS marketing strategy?

Key metrics include click-through rate, conversion rate, unsubscribe rate, and revenue per message. Tracking these metrics over time helps identify what resonates with your audience and where to improve.

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