How does push notification success compare to SMS

Comparing SMS and Push Notifications: Strengths and Weaknesses

Both push notifications and SMS are effective mobile communication channels, but they have distinct strengths and weaknesses that influence their success rates. Here's a comparison:

1. Open Rates & Readability

• SMS: Generally boasts incredibly high open rates, often cited as 90-98%, with many messages read within three minutes of receipt. This makes SMS a very reliable way to get a message seen.
• Push Notifications: Open rates vary more widely, but can be significantly lower than SMS, often around 20%. While users are likely to glance at a push notification, they might swipe it away for later or simply dismiss it without opening the associated app. Some sources even report average push notification open rates as low as 4-8%. However, certain industries like business/finance (5.46%) and entertainment (5.04%) see higher open rates for push.

2. Click-Through Rates (CTR)

• SMS: CTRs for SMS marketing campaigns typically range from 6.16% to 36%, with some averages around 8-19%.
• Push Notifications: CTRs for push notifications can vary, with some reports showing averages around 7.8% (4.9% on iOS and 10.7% on Android). Push notifications with images tend to have significantly higher CTRs than plain text.

3. Delivery and Reach

• SMS:
• Universal Reach: Works on all mobile devices, including feature phones, and doesn't require an internet connection. This makes it ideal for reaching a broad audience, even in areas with limited connectivity.
• Reliable Delivery: Sent through mobile networks, ensuring high deliverability (often over 95%).
• Delivery Speed: Generally immediate, though can be affected by network traffic.
• Push Notifications:
• App-Dependent: Requires users to have an app installed and to have opted-in to receive notifications from that app.
• Internet Connection: Needs an internet connection (Wi-Fi or cellular data) to be delivered.
• Delivery Speed: Typically instant.

4. Content and Interactivity

• SMS:
• Limited Content: Primarily text-based with a 160-character limit per message.
• Basic Interactivity: Can include links (URLs) which lead to higher click rates.
• Two-way Communication: Can be used for two-way conversations.
• Push Notifications:
• Rich Media: Can include images, videos, GIFs, and interactive buttons, offering a more engaging and personalized experience.
• Deep Linking: Can directly link users to specific sections within an app.
• Limited Two-way: Generally one-way communication from the brand to the user.

5. Opt-in and Control

• SMS: Requires explicit written consent from the user to opt-in, often by texting a specific word to a number. Opt-in rates for SMS marketing can be quite high (e.g., 70% in some cases, with 91% of consumers interested in or opted into SMS programs).
• Push Notifications: Users must download the app and then grant permission to receive notifications. Opt-in rates vary, but are generally lower than SMS (e.g., 55-60% of app users opt-in, 81% on Android, 51% on iOS). Users also have more granular control over push notification preferences within their device settings.

6. Cost

• SMS: Typically incurs a cost per message sent, or through bulk packages. Costs can add up for large-scale campaigns.
• Push Notifications: After the initial app development cost, sending push notifications is generally free. This makes them more cost-effective for frequent, high-volume messaging once the infrastructure is in place.

When to Use Which:

• SMS is ideal for:
• Urgent and time-sensitive messages: OTPs, fraud alerts, delivery confirmations, appointment reminders, flight status updates.
• Transactional messages: Order confirmations, shipping updates.
• Guaranteed reach: When you need to ensure the message is seen, regardless of internet connection or app usage.
• Wider audience: Reaching users who may not have your app installed or who don't frequently engage with it.
• Two-way communication: Customer support inquiries, quick responses.
• Push notifications are ideal for:
• App engagement and re-engagement: Bringing users back into the app, highlighting new features, personalized content based on in-app behavior.
• Promotional offers and discounts: Especially with rich media.
• Real-time alerts: Relevant updates within an app context (e.g., a new message in a social media app).
• Cost-effective frequent messaging: For ongoing communication once the app is developed.
• Rich, interactive content: When visuals and direct calls to action within the app are important.

Conclusion:

While SMS undeniably has a higher open rate and broader reach, push notifications offer greater flexibility in content, interactivity, and personalization, especially for app-centric businesses.

Many businesses find the most success with a multi-channel approach, using SMS for critical, time-sensitive, and universal messages, and leveraging push notifications for richer, in-app engagement and promotional content. For example, sending a push notification for a flash sale, and if there's no engagement, following up with an SMS reminder.