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HomeBlogE-commerce SMS Marketing: 12 Proven Strategies to Increase Sales by 40% in 2025
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E-commerce SMS Marketing: 12 Proven Strategies to Increase Sales by 40% in 2025

Amanda Liu, E-commerce Marketing Director
Author
November 10, 2024
Published
16 min read
Read Time

E-commerce is brutally competitive. Customer acquisition costs keep rising, Facebook ads get more expensive, and email open rates keep declining. Meanwhile, your customers' inboxes are overflowing with promotional emails they'll never read.

But their text messages? They read those. All of them. Within 3 minutes.

E-commerce businesses using SMS marketing see remarkable results:

  • 40% increase in sales compared to email-only strategies
  • 25% higher customer retention rates
  • 15-25% cart abandonment recovery (vs. 8-12% for email)
  • ROI of 20-30x on SMS campaigns

SMS marketing isn't just another channel for e-commerce—it's the highest-performing channel when done right.

Why SMS Marketing Works for E-commerce

The math is simple:

Email marketing:

  • 20% open rate
  • 2-3% click-through rate
  • 90-minute average time to open

SMS marketing:

  • 98% open rate
  • 25-35% click-through rate
  • 90-second average time to open

For time-sensitive e-commerce offers, SMS wins every time.

Additional advantages:

  • Mobile-native: 79% of shoppers use mobile devices for online shopping
  • Immediate: Flash sales and limited-time offers work better via SMS
  • Personal: Text messages feel more intimate and urgent
  • High intent: People who opt in for SMS are your most engaged customers
  • Less competition: Average person receives 130 emails/day but only 5-10 texts

Strategy 1: Welcome Series for New Subscribers

The opportunity: First impressions matter. New SMS subscribers are 5x more likely to make a purchase in the first week than after 30 days.

Implementation:

Message 1 (Immediate): Welcome + Discount
"Welcome to [Brand]! Here's 15% off your first order: CODE15. Shop now: [link]. Reply STOP to end."

Message 2 (Day 2): Brand Story + Social Proof
"Thanks for joining [Brand]! We've helped 50,000+ customers [Benefit]. See why they love us: [link]"

Message 3 (Day 5): Bestsellers + Free Shipping
"Our bestsellers just for you: [Product 1], [Product 2], [Product 3]. Plus FREE shipping on orders $50+: [link]"

Message 4 (Day 10): Exclusive VIP Offer
"VIP EXCLUSIVE: Get 20% off + free returns on your first order. Code: VIP20. Shop: [link]"

Performance:

  • 30-40% of new subscribers make a purchase during welcome series
  • 3-5x higher conversion than non-welcomed subscribers
  • Establishes SMS as high-value channel from day one

Optimization tips:

  • A/B test discount amounts (10% vs. 15% vs. 20%)
  • Personalize based on signup source (Instagram vs. website vs. checkout)
  • Segment by browsing behavior (if they visited specific category, feature those products)

Strategy 2: Abandoned Cart Recovery

The opportunity: 70% of e-commerce carts are abandoned. SMS recovers 15-25% of them.

The sequence:

1 hour after abandonment:
"Hi [Name], you left items in your cart! Complete your order before they sell out: [cart-link]"

6 hours after abandonment:
"[Name], items in your cart are selling fast! Only [X] left in stock. Get yours: [cart-link]"

24 hours after abandonment:
"[Name], we'll give you 10% off to complete your order. Code: CART10. Valid for 6 hours: [cart-link]"

72 hours after abandonment:
"LAST CHANCE! Your cart expires tonight. 15% off your order: Code FINAL15 [cart-link]"

Results:

  • 15-25% cart recovery rate
  • Average 10x ROI on abandoned cart campaigns
  • Works especially well for carts over $50

Advanced tactics:

  • Personalize with product names and images (MMS)
  • Show stock levels to create urgency
  • Offer flexible payment options (Klarna, Afterpay mentions)
  • Include customer reviews of abandoned products

Strategy 3: Back-in-Stock Alerts

The opportunity: 30-40% of customers who request back-in-stock notifications convert when notified.

Implementation:

Setup:

  • Add "Notify me when available" button on sold-out product pages
  • Collect phone number + consent
  • Send instant SMS when product restocks

Message template:
"[Product Name] is BACK IN STOCK! Limited quantity available. Order now before it sells out again: [product-link]"

Advanced version:
"[Name], the [Product Name] you wanted in [Size/Color] is back! We have [X] in stock. Get yours: [link]"

Performance:

  • 30-40% conversion rate from back-in-stock SMS
  • Creates urgency (limited quantity)
  • Captures highly-qualified leads (they explicitly requested notification)

Optimization:

  • Send immediately when restocked (don't batch for next day)
  • Include product image (MMS) to remind them what they wanted
  • Add customer reviews or ratings
  • Create urgency with stock count

Strategy 4: Flash Sales and Limited-Time Offers

The opportunity: Flash sales create urgency and FOMO. SMS's immediacy makes it the perfect channel.

Implementation:

2-4 hour flash sale:
"FLASH SALE: 50% off [Category] for the next 3 hours! Shop now: [link]. Ends at [Time]."

One-day sale:
"TODAY ONLY: Buy 2, Get 1 Free on all [Category]. 24 hours only: [link]"

Weekend sale:
"WEEKEND SALE: Extra 30% off sale items! Ends Sunday at midnight: [link]"

Why SMS works for flash sales:

  • 90-second average read time (vs. 90 minutes for email)
  • Creates immediate urgency
  • Higher click-through rates (30-40%)
  • Mobile-friendly (customers can shop immediately on their phone)

Best practices:

  • Clear time limit ("Next 3 hours" or "Ends at 9 PM")
  • Specific offer ("50% off" not "Big sale")
  • Single CTA (one link, one action)
  • Send during high-traffic times (Tue-Thu, 10 AM - 1 PM)

Performance:

  • 5-10x higher conversion than email for same flash sale
  • 30-40% click-through rate
  • Works best for sales under 24 hours

Strategy 5: VIP Customer Loyalty Programs

The opportunity: Your top 20% of customers generate 80% of revenue. Give them VIP treatment.

Implementation:

VIP criteria:

  • 3+ purchases in 6 months
  • Lifetime value over $500
  • High engagement (opens/clicks on SMS)

VIP benefits delivered via SMS:

  • Early access to sales (24 hours before general public)
  • Exclusive discounts (25-30% vs. 15-20% for regular)
  • First dibs on new products
  • Free shipping always
  • Birthday bonuses

Message examples:

VIP welcome:
"Congratulations! You're now a VIP member. Enjoy 25% off all orders + free shipping for life: [link]"

Early sale access:
"VIP EARLY ACCESS: Shop our Black Friday sale 24 hours before everyone else. 40% off sitewide: [link]"

New product preview:
"VIP EXCLUSIVE: See our new [Collection] before it launches tomorrow. Pre-order now: [link]"

Performance:

  • 45% higher repeat purchase rate for VIP members
  • 60% higher customer lifetime value
  • Lower opt-out rates (VIP members value the exclusivity)

Strategy 6: Personalized Product Recommendations

The opportunity: Personalized recommendations convert 3-5x better than generic promotions.

Implementation:

Trigger 1: Browse abandonment
"Still interested in [Product]? Here are similar items you might love: [link]"

Trigger 2: Complementary products
"You bought [Product A]. Customers also love [Product B]: [link]"

Trigger 3: Category interest
"New arrivals in [Category] just for you: [link]"

Trigger 4: Replenishment
"Time to restock [Product]? Reorder with free shipping: [link]"

Advanced personalization:

  • Use purchase history to recommend next logical products
  • Segment by customer preferences and past behavior
  • Include product images (MMS) for visual categories (fashion, home decor)
  • Dynamic pricing based on VIP status

Performance:

  • 25-35% click-through rate
  • 12-20% conversion rate
  • 15-25% increase in average order value

Strategy 7: Post-Purchase Engagement

The opportunity: The sale isn't the end—it's the beginning. Post-purchase engagement builds loyalty and drives repeat purchases.

The sequence:

Order confirmation (Immediate):
"Order #[12345] confirmed! Your [Product] will ship within 24 hours. Track your order: [link]"

Shipping notification (When shipped):
"Your order has shipped! Track your delivery: [tracking-link]. Expected delivery: [Date]"

Delivery confirmation (Upon delivery):
"Your order was delivered! Enjoy your [Product]. Need help? Text HELP."

Review request (3 days post-delivery):
"How's your [Product]? Leave a review and get 10% off your next order: [review-link]"

Cross-sell (7 days post-delivery):
"Love your [Product]? Complete the look with [Complementary Product]: [link]"

Replenishment (30-90 days, product-dependent):
"Running low on [Product]? Reorder now with free 2-day shipping: [link]"

Performance:

  • 25-30% review submission rate (vs. 5-10% via email)
  • 12-18% repurchase rate from replenishment reminders
  • 40% reduction in "where's my order?" customer service inquiries

Strategy 8: Seasonal and Holiday Campaigns

The opportunity: Holiday shopping accounts for 20-30% of annual e-commerce revenue. SMS maximizes this opportunity.

Key shopping dates for SMS:

Q4 (highest revenue quarter):

  • Black Friday / Cyber Monday (multi-message sequence)
  • Christmas shopping (gift guides)
  • Last-minute shipping deadlines
  • New Year sales

Q1:

  • New Year resolution products (fitness, organization, self-improvement)
  • Valentine's Day (2 weeks before + day-of)

Q2:

  • Mother's Day (2 weeks before)
  • Father's Day (2 weeks before)
  • Graduation season

Q3:

  • Back-to-school (July-August)
  • Labor Day sales

Black Friday SMS sequence example:

1 week before:
"BLACK FRIDAY PREVIEW: Get early VIP access to our biggest sale. Save the date: Nov 24th."

3 days before:
"VIP EARLY ACCESS: Shop Black Friday deals now—24 hours before everyone else! [link]"

Black Friday:
"BLACK FRIDAY IS HERE! Up to 60% off sitewide. Shop now: [link]"

Saturday:
"FINAL HOURS: Black Friday deals end tonight at midnight! Shop now: [link]"

Cyber Monday:
"CYBER MONDAY: Extra 20% off Black Friday prices! Last chance: [link]"

Performance:

  • 2-3x normal daily revenue on holiday SMS campaigns
  • Higher engagement during holiday shopping season
  • VIP early access creates urgency and exclusivity

Strategy 9: Referral Program via SMS

The opportunity: Word-of-mouth is the highest-converting acquisition channel. SMS makes referrals easy.

Implementation:

Send to existing customers:
"Love [Brand]? Give your friends 20% off and get 20% off your next order when they buy! Share your link: [referral-link]"

Referral reminder (if they haven't shared):
"Reminder: Share [Brand] with friends and you both get 20%!off! Your referral link: [referral-link]"

When friend makes purchase (notify referrer):
"Great news! [Friend Name] just used your referral code. You earned 20% off your next order! Code: FRIEND20"

To the referee (friend who was referred):
"[Referrer Name] sent you 20% off at [Brand]! Shop now: [link]. Code: WELCOME20"

Performance:

  • 3-5x higher referral participation via SMS vs. email
  • Referred customers have 25% higher LTV
  • Referrers become more loyal (sense of ownership/advocacy)

Optimization:

  • Make sharing effortless (direct link, pre-populated message)
  • Offer two-sided incentives (both referrer and referee benefit)
  • Gamify (leaderboards, special rewards for top referrers)

Strategy 10: Win-Back Campaigns for Dormant Customers

The opportunity: It's 5-25x cheaper to re-engage an existing customer than acquire a new one.

Segmentation:

  • 30 days inactive: Active customers who haven't purchased recently
  • 60 days inactive: At-risk customers
  • 90+ days inactive: Dormant/churned customers

Win-back sequence:

30-day inactive:
"We miss you! See what's new since your last visit: [link]"

60-day inactive:
"Come back! Get 20% off your next order. Code: WELCOME20. Valid 48 hours: [link]"

90-day inactive:
"We want you back! Here's 30% off + free shipping. Code: COMEBACK30. Expires tonight: [link]"

120-day inactive (survey):
"We noticed you haven't shopped in a while. Can you tell us why? 1) Too expensive 2) Not interested 3) Other. Reply with your number."

Performance:

  • 8-15% win-back rate for 30-day inactive
  • 5-10% win-back rate for 60-day inactive
  • 3-7% win-back rate for 90-day inactive
  • Surveys provide valuable feedback for product/service improvements

Strategy 11: SMS-Exclusive Drops and Pre-Orders

The opportunity: Create a sense of exclusivity and community among SMS subscribers.

Implementation:

Limited product drops:
"EXCLUSIVE DROP: New [Product] available ONLY for SMS subscribers. Limited to 100 units. Order now: [link]"

Pre-order early access:
"PRE-ORDER NOW: Be the first to get [New Product] before it launches next week. SMS subscribers only: [link]"

Subscriber-only colorways/variants:
"NEW COLOR ALERT: [Product] in [Exclusive Color]—only available to SMS subscribers. Get yours: [link]"

Why this works:

  • Makes SMS subscription feel valuable (not just promotions)
  • Creates FOMO for non-subscribers (increases opt-ins)
  • Builds community and brand loyalty
  • Generates excitement and word-of-mouth

Best for:

  • Fashion brands (limited drops, exclusive colorways)
  • Sneaker brands (hype releases)
  • Beauty brands (limited edition products)
  • Collectibles and limited-run products

Strategy 12: Dynamic Pricing and Price Drop Alerts

The opportunity: Customers love a deal, especially when it feels personalized.

Implementation:

Price drop alerts:
"Price drop alert! [Product] you viewed is now $[X] (was $[Y]). Save [Z]%: [link]"

Dynamic discounts based on cart value:
"You're $[X] away from free shipping! Add this to your cart: [complementary-product-link]"

Tiered VIP pricing:
"VIP PRICING: Get [Product] for $[VIP Price] (regular $[Regular Price]). VIP exclusive: [link]"

Personalized offers based on browsing:
"Still thinking about [Product]? Here's 15% off to help you decide: [link]. Code: THINK15"

Performance:

  • 20-30% conversion rate on price drop alerts
  • Increases average order value (free shipping threshold tactics)
  • VIP pricing reinforces exclusivity and loyalty

E-commerce SMS Best Practices

1. Build Your List Strategically

Opt-in methods:

  • Checkout opt-in (best converter: 40-60% opt-in rate)
  • Pop-up with incentive ("Get 15% off via text")
  • Text-to-join keyword ("Text SHOP to 12345 for exclusive deals")
  • Post-purchase opt-in ("Get order updates via text")
  • Social media link in bio
  • Email-to-SMS campaigns

Best practice: Offer clear value proposition (discount, exclusive access, early notifications)

2. Segment Your Audience

Key segments:

  • New subscribers (welcome series)
  • VIP customers (exclusive offers)
  • Cart abandoners (recovery sequence)
  • Dormant customers (win-back campaigns)
  • High-intent browsers (product-specific)

Advanced segmentation:

  • Product category interest
  • Average order value
  • Purchase frequency
  • Geographic location
  • Device type (mobile vs. desktop shoppers)

3. Optimize Send Timing

Best times for e-commerce SMS:

  • Tuesday-Thursday, 10 AM - 1 PM: Highest engagement
  • Tuesday-Thursday, 6 PM - 9 PM: Second-best window
  • Avoid: Mondays (work overload), Fridays after 3 PM, weekends (unless flash sale)

Exception: Transactional messages (order updates) can be sent anytime.

4. A/B Test Everything

Variables to test:

  • Discount amount (10% vs. 15% vs. 20%)
  • Message length (short vs. medium)
  • Emoji use (yes vs. no)
  • CTA wording ("Shop now" vs. "Get yours" vs. "Order now")
  • Personalization level (name vs. name + product vs. name + product + past behavior)
  • Send timing

Test one variable at a time for clean results.

5. Monitor Key Metrics

Essential metrics:

  • List growth rate: Are you building your SMS audience?
  • Delivery rate: Should be 98%+ (if lower, check 10DLC compliance)
  • Click-through rate: Industry average 25-35%
  • Conversion rate: Industry average 3-5%
  • Revenue per message: Total revenue / messages sent
  • ROI: (Revenue - SMS costs) / SMS costs
  • Opt-out rate: Should be under 1-2%

If metrics are underperforming:

  • Review message content (too generic? Too frequent?)
  • Check offer strength (is discount compelling?)
  • Verify segmentation (right message to right audience?)
  • Test timing (are you sending at optimal times?)

E-commerce SMS Mistakes to Avoid

1. Sending Too Many Messages

The mistake: Bombarding subscribers with daily texts

The fix: 2-4 promotional messages per month, plus transactional as needed

Rule: Quality over frequency. One great message beats five mediocre ones.

2. Generic, Non-Personalized Messages

The mistake: "Hi, we have a sale"

The fix: "Hi [Name], the [Product] you viewed is 20% off today: [link]"

Impact: Personalization increases conversion by 25-35%

3. No Clear Value Proposition

The mistake: "Sign up for texts"

The fix: "Get 15% off + exclusive SMS-only deals"

Impact: Clear value increases opt-in rates by 40-60%

4. Ignoring Compliance

The mistake: Not getting explicit consent, no opt-out instructions

The fix: Follow TCPA and 10DLC requirements (see our compliance guide)

Risk: $500-$1,500 per message fines

5. Mobile-Unfriendly Landing Pages

The mistake: SMS link goes to desktop-only page

The fix: All links must lead to mobile-optimized pages

Impact: Mobile optimization increases conversion by 50-100%

Getting Started: Your 30-Day E-commerce SMS Launch Plan

Week 1: Setup

  • Choose SMS platform (integration with Shopify, WooCommerce, etc.)
  • Complete 10DLC registration
  • Create opt-in forms (checkout, pop-up, text-to-join)
  • Write Terms & Conditions

Week 2: Build Automations

  • Welcome series (4 messages)
  • Abandoned cart recovery (3-4 messages)
  • Post-purchase sequence (4-5 messages)

Week 3: Create Campaign Templates

  • Flash sale messages
  • New product announcements
  • Back-in-stock alerts
  • VIP exclusive offers

Week 4: Launch and Optimize

  • Send first campaign to small segment (10-20%)
  • Analyze results
  • A/B test messaging
  • Scale to full list

Conclusion: SMS is E-commerce's Secret Weapon

E-commerce businesses that master SMS marketing have a massive competitive advantage:

  • 40% higher sales
  • 25% better retention
  • 20-30x ROI

The brands winning with SMS aren't just broadcasting promotions—they're building relationships, creating urgency, and delivering value at precisely the right moment.

The winning formula:

  • Build your list with clear value
  • Segment based on behavior
  • Automate high-value sequences (welcome, cart recovery, post-purchase)
  • Send strategic campaigns (flash sales, VIP offers, new products)
  • Test and optimize continuously

Ready to transform your e-commerce business with SMS marketing? DMText integrates seamlessly with Shopify, WooCommerce, BigCommerce, and all major e-commerce platforms. Pre-built automation templates, cart recovery tools, and advanced segmentation make it easy to start generating revenue from SMS in minutes.

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