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Learn how to use SMS messaging to reach customers on their mobile devices.
Short Message Service (SMS) has been around for decades, but it’s no longer just for personal chats. Today, businesses rely on texting to reach customers directly, promote products and share important updates. With nearly everyone carrying a mobile device, SMS is one of the fastest, most reliable and most accessible ways for companies to communicate.
We’ll take a closer look at SMS business messaging, how it works and why it remains such an important tool for modern communication.
SMS business messaging is the use of Short Message Service (SMS) technology to connect with customers through short, text-only messages. Companies use it to share promotions, send reminders, confirm orders, provide updates and even handle support conversations.
At its core, SMS is limited to 160 characters and doesn’t support images or videos (those fall under Multimedia Messaging Service, or MMS). Developed in the 1980s, it remains one of the most widely used messaging technologies despite the rise of newer tools. 
Its staying power is clear. According to 2025 SimpleTexting research, 67 percent of marketers plan to boost their SMS budgets — more than any other paid channel — and many now rank it among their top revenue drivers. On the consumer side, 84 percent have opted in to receive business texts, showing just how valuable texting has become for both engagement and the customer experience.
Here’s an overview of various communication modes compared to SMS to help you better understand the technology. 
Businesses can send several types of SMS messages, each with its own purpose and requirements:
SMS has become one of the simplest ways for businesses to market products and stay connected with customers, but using it thoughtfully is key.
Jamal Miller, VP of brand and product marketing at Calendly, noted that the most successful businesses send short, relevant texts that keep customers engaged without spamming them.
“SMS marketing should primarily be used to alert customers to promotional and transactional information in a quick, simple, time-sensitive and personal way,” Miller advised, pointing to flash sales, special offers, appointment reminders, order confirmations and shipping updates as effective examples.
Here are the main ways companies use SMS today — and the best text message marketing services can support them all.
Organizations can increase sales with business texting by sending promotions, sales alerts, coupons and other offers straight to customers’ phones. Many platforms also support various text message marketing content, such as contests, and help you gather survey data, giving companies more ways to engage their audience.
Because texts are opened so quickly and consistently, SMS marketing tends to deliver higher visibility and stronger engagement than most other channels, which can translate directly into more revenue.
SMS is a reliable way to keep customers updated with alerts and reminders. For example, an order confirmation can be followed by a delivery notice, or an appointment booking can trigger a reminder.
Because texts are opened almost instantly, businesses can be confident customers will see important updates on time. Customers appreciate the convenience, and companies benefit from fewer missed appointments, lower cancellation rates and less time spent answering calls.
SMS is a simple way to deliver digital coupons, discounts and exclusive deals. Customers appreciate the convenience of getting offers directly on their phones without needing a paper coupon.
Promotional texts also encourage signups, since discounts are one of the biggest reasons consumers opt in to business texting. In fact, according to a Klaviyo study, 63 percent of U.S. consumers subscribe to a brand’s texts specifically to receive discounts and special offers. 
More businesses are turning to text messaging for customer service because it’s fast and efficient. SMS lets representatives handle multiple queries at once, which improves response times without adding staff. And if an issue gets more complex, customers can always switch to a voice call.
In fact, according to the SimpleTexting survey cited earlier, 51 percent of businesses say customer service is the top reason for sending texts. On the consumer side, most people now prefer texting over email or phone calls for support, with 71 percent wanting the ability to text a business back. Together, these numbers show just how valuable two-way communication has become.
Many SMS platforms also support group messaging, allowing businesses to text multiple customers at once or set up small group chats. This can be especially useful for coordinating time-sensitive updates, such as real estate showings, event logistics or service teams in the field.
Because SMS goes straight to consumers’ phones, it’s one of the most heavily regulated marketing channels. Businesses must understand the rules — and the risks — before launching a texting program.
It’s crucial to be aware of and abide by the following text message laws and regulatory requirements:
To help your business ensure compliance, keep detailed consent records, use double opt-in when possible, regularly clean your contact lists, and invest in employee training to ensure you stay current on regulatory changes.
Like email, SMS can be vulnerable to fraud and misuse. Businesses should watch for:
Businesses can improve security by taking a proactive approach to cybersecurity and risk management in SMS:
Even though SMS is one of the most effective communication channels, it isn’t without its challenges. 
Fortunately, there are proven ways to improve deliverability and keep customers engaged:
By treating SMS as an ongoing strategy rather than a one-and-done campaign, businesses can sidestep these pitfalls and build stronger, more reliable connections with their customers.
Getting started with SMS doesn’t have to be overly technical, but there are a few setup steps every business should follow to ensure smooth delivery and compliance.
SMS has become a staple in business communication because it combines reach, speed and impact in ways few other channels can match. Here are some top advantages to consider:
All of this makes SMS a versatile, affordable and high-ROI tool that businesses can use to connect with customers quickly and meaningfully.
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