Three SMS Marketing Sins That Could Kill Your Business

Let’s confront the harsh truth: integrating a call-to-action (CTA) or mobile compliance language beneath a user information collection form might impact your conversion rates negatively.

However, if your lead-generation business leverages outbound calls or SMS text marketing, adhering to the Telephone Consumer Protection Act (TCPA) isn’t a choice, it’s a necessity. On the bright side, it’s entirely possible to devise compelling express consent language that still motivates users to hit the “Submit” button.

Ignoring the implications of non-compliant practices can be a perilous gamble. Depending on the nature and the intent of your marketing, infringing upon TCPA can levy mandatory damages on your firm, ranging from $500 to $1500 per message. To put that into perspective, dispatching a mere 100 unsolicited text messages might cost you a staggering $150,000, and that’s excluding legal fees. In 2022, about 2,000 U.S. companies found themselves embroiled in TCPA litigation, with some businesses having to settle TCPA claims for payouts running into millions.

To sidestep TCPA-related pitfalls and protect your revenue, steer clear of these three common yet fatal SMS marketing mistakes:

  1. Sending an SMS without securing “express consent”, or your customers’ explicit permission to receive texts. As a key player in the lead-generation industry, understanding compliance and collecting phone numbers within TCPA guidelines is essential.
  2. Neglecting to maintain express consent records for at least 4 years. Whether it’s an individual or a collective group (in a class-action scenario), they can file a lawsuit up to 4 years from the date of receiving an unsolicited text message. Therefore, keeping these records for a minimum of 4 years is critical should litigation arise.
  3. Failing to retain transaction records when migrating SMS traffic from one short code or long code to another. This encompasses opt-outs, replies, and date/time stamps. Additionally, these transaction records need to be imported from your chosen SMS gateway service provider.

Despite these hurdles, there’s a silver lining.

Properly executed SMS marketing can be exceptionally effective. With the right strategies and access to high-quality data, we’ve seen SMS marketing campaigns in the lead-generation industry yield an astounding 5,000% ROI.

If you’re accumulating mobile phone numbers without utilizing the immense potential of SMS marketing, conducting SMS marketing campaigns, and wishing to boost your ROI, or if you’re unsure about the TCPA compliance of your express consent language, we’re here to offer our assistance.

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