The definition and value of SMS alerts

SMS alerts are instant text messages sent to users to notify them about important updates, reminders, or urgent information. They’re widely used by businesses, service providers, and organizations to keep customers informed in real-time.

Businesses use SMS alerts for a variety of reasons, such as:

✅ Order confirmations and shipping updates

✅ Appointment reminders

✅ Security alerts (like login verifications)

✅ Promotional offers and flash sales

✅ Emergency notifications

Why do SMS alerts matter for businesses?

Quiq.com reports that 58% of businesses find SMS more cost-effective than voice-only communication, while there is a 75% reduction in phone calls through SMS implementation. SMS alerts enhance customer experience, drive sales, reduce costs, and improve operational efficiency. Here’s how:

• Instant & reliable – Deliver time-sensitive messages directly to customers.
• Increased conversions – Timely promotions and reminders lead to more completed purchases.
• Cost-effective & scalable – Automate outreach without spending heavily on ads.
• Stronger customer relationships – Keep customers informed and engaged, building long-term loyalty.
• Enhanced security – Used for OTPs, fraud alerts, and verification.

Effective customer communication is key, and SMS alerts provide a direct and reliable way to engage your audience.

Now, let’s compare SMS alerts with push notifications and understand how they each serve different purposes.

SMS alerts vs. push notifications – What’s the difference?

Both SMS alerts and push notifications keep users informed, but they work differently. Here’s how:

Bottom line? SMS alerts are direct and reliable, while push notifications are app-dependent and best for marketing engagement. Let’s explore some real-world examples to understand how these alerts work.

Examples of SMS alerts

SMS alerts are used across various industries to provide real-time, important updates. Here are some common examples of SMS alerts:‍

1. Order notifications 

 Reduce WISMO (Where Is My Order) queries by keeping customers informed in real time.

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2. Abandoned cart notifications 

 Recover lost sales by reminding customers about their abandoned carts. A timely message can prompt them to return and complete their purchase, increasing conversion rates.

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3. Delivery notifications 

Enhance customer satisfaction with real-time delivery updates. Keeping customers informed about their order's progress—whether it's shipped, out for delivery, or arrived—reduces anxiety and builds trust.

4. Flash sale alerts

Create a sense of urgency with flash sale alerts to drive immediate action. Time-sensitive offers encourage customers to act fast, boosting conversions and making the most of limited-time promotions.

5. Restock alerts 

Re-engage customers by notifying them when popular or out-of-stock items are available again. Restock alerts help capture the interest of those who missed out previously, driving them back to your store to make a purchase.

6. Payment reminders 

Minimize failed payments by sending timely reminders to customers about upcoming payments or expiring subscriptions. These alerts help ensure customers take action before payments are missed.

How do SMS alerts work?

SMS alerts are a simple way to communicate with customers. Here’s how they work:

Step 1: Customer opt-in: Customers opt in through a simple action, like texting a keyword or submitting their phone number online. This ensures compliance and respects customer preferences.

Step 2: Message creation: Businesses can now send personalized or automated SMS alerts based on triggers

Step 3: Message delivery: The SMS goes through an SMS gateway and reaches the customer’s phone directly.

To make sure your SMS alerts are compliant with the law, it’s essential to understand the regulations involved. Here's what you need to know.

• Opt-in requirement: Customers must provide clear consent before receiving messages. This is usually done by confirming their phone number or texting a keyword (e.g., “JOIN”).
• Unsubscribe option: Every SMS alert must include an opt-out option, allowing customers to easily stop receiving messages by texting “STOP.”
• Privacy compliance: Businesses must ensure they handle customer data securely and comply with privacy laws like GDPR or TCPA.

By following these steps and regulations, businesses can use SMS alerts to communicate with customers while maintaining trust and legal compliance effectively. 

Benefits of using SMS alerts in e-commerce

SMS alerts drive engagement for e-commerce businesses, improving customer satisfaction and boosting sales. Let’s explore some of the key benefits:

Improved customer engagement

Instant updates keep customers informed, preventing frustration and the need to reach out for support. For example, sending real-time order tracking updates ensures customers are always in the loop and engaged.

Increased conversions

By sending targeted cart abandonment reminders or exclusive offers at the right time, businesses can recover lost sales. This timely communication encourages customers to take immediate action, increasing the chances of completing the purchase.

In fact, cart abandonment messages via SMS have been shown to recover 30% of abandoned carts.

Enhanced customer satisfaction

70% of consumers expect businesses to provide updates on orders, deliveries, and appointments via SMS. Personalized messages build trust and increase satisfaction.

Improved retention and loyalty

By consistently updating customers with timely information, businesses build trust and increase customer loyalty. Small gestures like "thank you" messages, delivery updates, or exclusive deals encourage repeat purchases.

Now, let’s explore some practical examples of how SMS alerts are being used to make a real difference in the e-commerce world.

Use cases of SMS alerts in e-commerce

SMS alerts are incredibly versatile and can be used across various touchpoints in the customer journey. Here are some top use cases in e-commerce:

1. Promotional alerts

Delivering time-sensitive promotions directly to your customers’ phones ensures your message is seen and acted upon quickly. Whether it's a flash sale, seasonal discount, or exclusive offer, SMS makes sure your promotion reaches your audience in time.

2. Abandoned cart reminders

Cart abandonment is a major hurdle in e-commerce, but a simple text message notification helps recover lost sales. Gently nudging customers who’ve left items behind increases the likelihood of them completing their purchase.

3. Order updates

Keep customers informed at every stage of their order journey. Real-time shipping confirmations and delivery updates provide transparency and improve customer satisfaction.

These updates enhance customer satisfaction by providing transparency and reducing customer support inquiries.‍

4. Customer support

Text message notifications provide instant communication to address concerns, from resolving order issues to answering questions or handling complaints. This real-time communication helps build trust and ensures a quicker resolution to customer concerns.

5. Subscription reminders

Use SMS to remind customers about subscription renewals or expiring memberships, ensuring they don’t miss out on continuing their service.

These timely reminders help increase subscription renewal rates and reduce churn.

Plivo CX, an omnichannel customer engagement platform, makes it easy to send personalized SMS alerts, track performance, and keep your audience connected every step of the way. 

With intelligent segmentation and AI-powered messaging, businesses can optimize customer communication effortlessly.

Simplify customer engagement with SMS alerts powered by Plivo CX 

Many businesses struggle with sending restock updates, subscription renewal reminders, and replenishment alerts, especially for frequently ordered items like supplements and personal care products. These delays can lead to missed opportunities and decreased customer satisfaction.

With Plivo CX, it’s easy to keep customers in the loop. Whether it’s updating them on product availability, reminding them about upcoming renewals, or letting them know when it’s time to restock, you can keep them satisfied with minimal effort.

Here’s why you should choose Plivo CX for SMS alerts:

• Seamless customer notifications: Automate alerts for restocks, renewals, and replenishments. Use manual/automated segmentation and behavioral triggers to send timely, relevant updates.
• Flexible customer segmentation: Use manual segmentation to group audience based on purchase behavior and product interest, ensuring your messages are highly relevant and drive engagement.
• Timely engagement: Send instant, delayed, or event-based alerts. Schedule messages at optimal times across time zones.

• Flexible campaign setup: Set up customized, event-driven SMS campaigns with pre-built templates and AI-powered message personalization.
• Craft engaging alerts: Use AI-driven suggestions and pre-designed templates to create personalized messages. Create using Copywriter AI and deliver them instantly to reach customers on time.

• E-commerce integration: Plivo CX seamlessly integrates with e-commerce stores like Shopify, BigCommerce, WooCommerce, Magento, and more, allowing businesses to send alerts directly from their e-commerce platforms.

Businesses leveraging SMS marketing with Plivo CX see an average of $71 generated for every $1 spent, along with 20% conversion rates from both back-in-stock alerts and subscription reminders.

Powered by Plivo’s premium carrier network with coverage in 220+ countries, Plivo CX also helps businesses cut SMS marketing costs by up to 70% while tripling ROI. 

Book a free demo and see how Plivo CX can help you deliver timely, automated alerts that drive customer engagement and sales!