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Short Code Texting for Business Engagement: A Quick Guide

When it comes to marketing and increasing engagement, you need to diversify your efforts. That includes adding short code texting to your arsenal.

97% of American consumers use a cell phone, so it’s not far of a stretch to imagine their cell phones are usually (always!) within reach. If you want to grab your audience’s attention quickly, text messages are the way to go.

In this post, we’ll define short code texting, give you some ideas on how to use it for your business, and go over a few best practices so you can avoid landing your business in the spam folder.

What is Short Code Texting and How Does it Work?

Short code texting, or texting with a five or six number, is a marketing method many businesses use to reach their target audience. Instead of using a ten-digit number to send text messages, businesses can create a memorable number to send and receive high-volume SMS messages.

Think of high-volume messages like sending out a limited-time discount code, texting a keyword to enter a contest, or signing up for a membership or newsletter. These messages are quick and intended to reach as many people as possible.

Short code texting requires your audience to opt in to receive communication from your brand. This is required for compliance reasons, and it typically means your audience will text a keyword to your short code or enter their phone number into a form to opt-in to communication from your brand.

Why would you want to use short code texting when you could just email or call your subscriber lists?

Easy. SMS messages have a high open rate compared to email, and 76% of millennials are more receptive to them, saying texts feel less intrusive—which is good news for your brand, especially if you want to avoid the “spam” label.

It’s helpful to know there are two kinds of short codes:

  • Vanity short codes: These codes are five or six digit numbers you choose for your business, like a recognizable sequence for your brand.
  • Random short codes: A five or six digit sequence that’s generated for you.

Depending on your brand, a vanity short code might be a better option for your business. Vanity codes are memorable and can help create trust with your audience since they’ll see your number and automatically know it’s from you.

Key Use Cases for Short Codes Across Industries

There are tons of ways to make short code texting work for your brand, no matter your industry.

Staffing & Recruitment

It’s no secret that the job market is competitive. For job seekers, it pays to be on top of communication with potential employers. And for employers looking to attract top talent, it matters how you communicate with them.

47% of job seekers say texting is their preferred method of communication. This means if you’re looking to hire, you can use short code texting to engage with candidates quickly, provide alerts for new job openings, confirm interview times, and send application status updates.

Since SMS messages have a higher open rate than emails and are the preferred method of communication, it’s likely you’ll be better able to reach and attract talent.

Retail & ECommerce

If you’re a small business, one of your main goals is to drive lead generation and increase sales. SMS short codes can help you do that. In fact, nearly 20% of customers admit to making a purchase after receiving a text from a small business.

There are plenty of ways you can engage with your customers by text, too. Consider sending promotional texts about new products or services, a quick update for a flash sale, or discount codes to your loyal fans.

Adding SMS marketing to your strategy can help keep your customers coming back for more.

Hospitality & Services

Did you know that 70% of customers prefer receiving updates via text message? If your business relies on customer service, sending text messages to update your customers about various notifications such as car service updates, ETA on arrival for home services, and updates on when an order is ready for pick up can set you apart from competitors.

You can also use short code texting to keep your customers informed about upcoming events for your business. If you manage a dealership, you can message your subscribers about one-day-sales events or upcoming promotions. Or, if you’re in the hospitality industry, you can send updates about bookings, local events and attractions, and discount codes for holiday rates.

Why Short Codes Work

Short code texting is effective. And if you’re been in the marketing world for any length of time, you know there are a couple of metrics that speak to short code messaging’s effectiveness, particularly open and read rates.

SMS messages have a 98% open rate, which is significantly higher than the average email’s open rate, which is about 28%.

One of the reasons for this is that the average American checks their phone 352 times a day—nearly once every two minutes and 43 seconds! So, when a new text comes in, it’s bound to get an instant open.

The other reason is that there are only so many characters you can fit into a text message. Thus, recipients know your text contains only the most relevant information without the fluff.

Instant engagement and high open rates aren’t the only reason short codes work, though. Here are a few more benefits of short code texting.

  1. Brand Recognition: Since short codes are just five or six digits, they’re easy to remember. So, by choosing a vanity short code, your recipients can easily pick out your brand’s messages from their inbox. This helps with brand recognition and trust and can keep your messages out of the spam filter.
  2. Streamlined Opt-In Process: Compared to other opt-in processes, opting in to SMS marketing messages is simple. It just requires your recipients to text a keywords to your short code or enter their number in a form. It’s that easy.
  3. Reach Larger Audiences: With short code messaging, you can send up to 300 messages per second, helping you to reach a larger audience at once compared to ten digit or toll free messaging.

Best Practices for Short Code Texting

Whether you’ve sent your first text message to customers or your hundredth, it’s helpful to keep these best practices for short code texting in mind.

1. Keep Messages Clear and Actionable

A standard text message contains just 160 characters. To stay current with best practices for short code messaging, it’s best to keep your messages short and concise.

Avoid sending lengthy paragraphs. Instead, keep your messages to the point and include a compelling call to action.

2. Time Your Messages for Optimal Engagement

Depending on your audience, the time of day you send an SMS message might play a role in the success of your campaign. Take some time to analyze audience behavior and responses, then time your messages according to your audience’s preferences.

3. Segment and Personalize Your Texts

Just like with email marketing, personalization is crucial for SMS marketing. This means you should segment your audience based on preferences so they only receive information they care about.

When possible, try to include your recipient’s name in your message. This can help your text feel less like a mass text and more personalized.
Leveraging Short Codes for Strategic Engagement

Whether you want to update your customers on new promotions or a new product offering, expanding your marketing and outreach efforts through short code texting has never been easier.

Interested in learning more about how SMS messages can help you reach your audience? Get a demo today!

State of SMS Engagement 2024

Looking to increase engagement with your candidates, prospects, and customers in 2024? Look no further! We conducted a survey paired with usage data to figure out which communication channels are most effective for which industry and size. Discover all of the tips about business communication and download our free report today!

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