10| Minute Read – Written by Kimberley

The Ultimate SMS Marketing Guide

SMS marketing in Australia. What are the benefits? What are the laws?

It’s estimated that 5 billion people around the world have access to sending and receiving SMS communications. On top of that, the average person checks their phone 80 times every single day and Australians are no exceptions.

If SMS message marketing to Australians isn’t part of your overall strategy, you should be asking yourself why.

When we’re talking about vying for attention in the busy digital marketing world, there is no more attention spent than the attention spent on a mobile device. In almost every pocket of every person in Australia is a communication device

-> Download Now -> Free SMS Marketing Campaign Checklist

 

But is SMS marketing really as good as they say? And what are the laws in SMS marketing in Australia?

We will look at what SMS marketing is, its benefits, types of SMS marketing, and examples of the messaging used in SMS marketing services. We round off by investigating laws surrounding Australian SMS marketing.

Contents of SMS Guide

SMS Marketing Campaign Checklist

1. Use our checklist to make sure you don’t miss a thing
2. Ideas for successful SMS campaigns
3. Find out how SMS and Email work hand in hand
sms marketing campaign checklist
Download Checklist

What is SMS Message Marketing?

SMS marketing (short message service marketing) is a digital technique that uses text messaging to spread promotional material and messages. It is a marketing channel, similar to email marketing, that gives organisations the ability to message customers to their mobile device with marketing messages.

SMS marketing (short message service marketing) is a digital technique that uses text messaging to spread promotional material and messages. It is a marketing channel, similar to email marketing, that gives organisations the ability to message customers to their mobile devices with marketing messages.

By capitalising on a powerful SMS message marketing strategy, you can reach more people in more places at pretty much any time of day. No matter whether your target audience is commuting to or from work, spending time with friends and family, or taking a short coffee break at the office, they are undoubtedly checking their phone. 

If SMS marketing isn’t a foundational part of your marketing strategy mix, it’s time to change that.

How Does SMS Marketing Work?

SMS marketing (short message service marketing) is a digital technique that uses text messaging to spread promotional material and messages. It is a marketing channel, similar to email marketing, that gives organisations the ability to message customers to their mobile device with marketing messages.

SMS marketing is a direct and highly effective way for organisations to connect with customers through text messages. It involves sending promotional or transactional messages to users who have agreed to receive them. These messages can feature special offers, appointment reminders, event updates, or personalised promotions, all delivered right to the customer’s mobile phone.

Here’s how SMS marketing works:

Customers sign up for a subscription list.
Users give their consent to receive SMS messages, often by texting a keyword to a shortcode or signing up through a website or form.

Organisations utilise an SMS marketing platform.
A platform that can help marketers create, schedule, and send bulk SMS messages to their subscriber lists.

Messages are personalised and targeted.
By using customer data, organisations can customise messages based on preferences, behaviour, or past purchases, boosting engagement and conversion.

SMS is sent and delivered instantly.
Messages are usually delivered within seconds, providing immediate reach and impressive open rates — often exceeding 90%.

Analytics and reporting offer valuable insights.
Marketers can track delivery rates, click-throughs, and responses to improve future SMS campaigns for better results.

SMS marketing in Australia is straightforward, quick, and effective — making it a powerful asset in any digital strategy.

Types of SMS Marketing

SMS marketing (short message service marketing) is a digital technique that uses text messaging to spread promotional material and messages. It is a marketing channel, similar to email marketing, that gives organisations the ability to message customers to their mobile device with marketing messages.

SMS marketing is not one-size-fits-all. It can be divided into different types, each with a distinct purpose in how businesses connect with their audience. Knowing how each type functions is crucial for creating a well-rounded SMS campaign that truly benefits your customers.

Promotional

Promotional SMS aims to inspire action. These messages announce special offers, flash sales, product launches, and seasonal promotions. The objective is to raise awareness and drive conversions by creating urgency or excitement. For example, “25% off this weekend only – show this text in-store!” It’s a strong way to engage customers and prompt immediate responses.

Transactional

Transactional SMS messages deliver timely, relevant information about a customer’s interaction with your organisation. This includes order confirmations, shipping updates, appointment reminders, and two-factor authentication codes. Because they provide value through updates or confirmations, transactional messages enjoy high open rates and are vital for customer service and trust.

Conversational

Conversational SMS emphasises building two-way communication with your audience. These messages invite replies and interactions, such as customer feedback, appointment scheduling, or live support. It fosters a more personal, engaging experience and helps organisations to nurture relationships, rather than just sending messages.

What Are The Benefits of SMS Marketing?

Australian SMS marketing is one of the best ways for organisations to connect with their audience — and it’s easy to see why. Here’s why SMS should be part of your marketing plan:

Direct and to the point

SMS messages are short, which means your audience gets the message quickly — no fluff. This makes it perfect for promotions, reminders, and urgent updates that need immediate attention. With limited characters, there’s no confusion — just clear, actionable content.

It’s Instant and can provide bulk SMS marketing solutions

One of the biggest advantages of SMS marketing is its speed. Messages are sent and delivered in seconds, even when sent in bulk. Whether you’re letting thousands of customers know about a flash sale or confirming individual appointments, it provides you with bulk SMS marketing solutions that get your message out fast and efficiently.

Excellent open rates (98% open rate) because majority Australians have a mobile phone

With nearly 90% of Australians owning a mobile phone and SMS enjoying an impressive 98% open rate, your message is almost guaranteed to be seen. Compared to email, SMS cuts through the noise and grabs attention instantly.

Affordable and high ROI

SMS marketing is cost-effective, especially when compared to traditional advertising or digital channels. With low costs per message and high engagement rates, organisations often see strong returns on even modest SMS campaign investments.

How to Plan an SMS Marketing Campaign

Decide on the goal of your SMS marketing campaign

Every successful campaign starts with a clear, measurable objective. Think about what you want your SMS campaign to achieve. Do you want to drive traffic to your website, boost event attendance, increase sales with a limited-time offer, or gather feedback through a quick survey? For example, aim for a 50% click-through rate on a flash sale voucher. Defining this early helps keep you focused and measure success accurately. A clear goal will shape your messaging tone, timing, and call-to-action — ensuring every part of your campaign is on point.

Build a target persona to represent your audience

After defining your goal, identify the audience that can help you achieve it. Creating a Target Persona — a fictional character that represents your ideal customer — can help you understand who you’re talking to and how to craft a message that resonates. Consider their age, job, interests, buying habits, and preferred ways to receive information. Are they busy professionals who appreciate quick updates or savvy shoppers looking for exclusive deals? This exercise ensures your SMS campaign is personalised, relevant, and more likely to succeed.

Assess if SMS fits your goals and audience

SMS is a powerful tool, but it needs to be used wisely. Ask yourself if SMS fits your campaign goals and audience expectations. SMS marketing works best for urgent messages like time-sensitive offers, event updates, or important reminders. Sending too many messages or overly promotional content can lead to high unsubscribe rates. Think about whether your message adds value or just adds to the noise. If you’re announcing a short-term deal or last-minute change, SMS is perfect. But for long messages or detailed announcements, email might be a better choice. Always consider your audience’s perspective.

Invest in a bulk SMS marketing platform

Sending text messages manually to hundreds — or thousands — of people is simply not practical. A bulk SMS marketing platform can simplify managing and automating your campaign. These platforms let you segment your audience, schedule messages, personalise content, and track delivery and engagement metrics. Most importantly, they ensure your messages are sent reliably and comply with anti-spam laws. Choosing the right platform means fewer mistakes, more control, and better results.

Design the content of your SMS messages

Your SMS needs to be clear, concise, and compliant with the law. Start with a strong opening line to grab attention, include your offer or value proposition, and finish with a clear call-to-action. Don’t forget to add opt-out instructions as required by the Spam Act 2003 (Australia). Keep your tone consistent with your brand and focus on the recipient’s benefit. Remember — SMS has a 160-character limit, so every word matters. Need more help? Check out our guide on keeping your SMS communications legal for compliance and best practices.

Bulk SMS Marketing Tips: Planning a Great SMS Campaign

  • Decide on the goal of your SMS marketing campaign
    • As with any other marketing campaign strategy, your SMS campaign needs a measurable goal in order to guide your efforts. For example, your goal might be to have 50% of your audience click through to claim a voucher.
  • Build a Target Persona to represent your target audience
    • Now that you know your goal, consider who the best audience for your SMS campaign would be in order to reach that goal. Create a Target Persona to help yourself and your team fully understand the kind of person you’re talking to in your SMS.
  • Ask yourself: “Is SMS the best channel to reach this goal and audience?”
    • Whilst SMS is an effective channel, you run the risk of a high unsubscription rate if your audience does not appreciate receiving your campaign over SMS. Receiving promotional material over the phone can feel like an invasion of privacy to some. However, when the SMS content is valuable and timely – your audience is more likely to receive your SMS positively. Whilst a purely promotional campaign would do better sending via email, any extremely valuable information is best sent over SMS. Like exclusive offers with expiration dates, and last minute information about event changes.
  • Implement a bulk SMS marketing platform
    • You’re not going to send an SMS manually to hundreds of people, are you? That’s a recipe for thumb strain. Use a bulk SMS marketing platform to get your SMS campaign out quickly and smoothly to as many recipients as you like.
  • Design the content of your SMS (more on how to create engaging SMS content, below)
  • Ensure your SMS content is compliant with local SPAM laws (we’ve written about keeping your SMS communications legal, here)

-> Download Now -> Free SMS Marketing Campaign Checklist

What are the Laws of SMS Marketing in Australia?

As SMS marketing grows in popularity, businesses must ensure their campaigns are not only effective but also compliant (including WCAG standards). Australian SMS marketing laws have been put in place to promote ethical and transparent communication, protecting consumers.

Understanding these legal requirements is crucial for any business running SMS campaigns, helping you avoid hefty fines and maintain the trust of your audience.

The Spam Act of 2003

The Spam Act 2003 is the key legislation for electronic communications in Australia, including SMS marketing. It sets clear rules for sending commercial messages to shield recipients from unwanted and misleading communications.

Under the Spam Act, organisations must follow three main principles to remain compliant. First, you must have clear consent from the recipient before sending any marketing SMS. This can be expressed or inferred, but it must be genuine and documented. Second, every message must include clear identification of the sender. For SMS, this typically means displaying your business name either as the sender ID or at the beginning of the message content. Finally, you must offer a functional and accessible unsubscribe option, such as allowing recipients to reply “STOP” to opt out—and these requests must be actioned promptly.

Not complying with the Spam Act can lead to serious financial penalties, with fines reaching into the hundreds of thousands. Stay safe by using compliant SMS marketing platforms and regularly reviewing your message content against the Spam Act guidelines.

SMS Rules From ACMA

n addition to the Spam Act, the Australian Communications and Media Authority (ACMA) enforces further rules to protect consumers, especially from SMS scams and malicious messages. These rules were developed with input from the Communications Alliance and major telecommunications providers.

Under ACMA rules, telecommunications providers are required to trace and block SMS scams, proactively detecting suspicious traffic before it reaches consumers. They must also share educational content to help customers identify, report, and avoid potential SMS scams. Additionally, there is a strong emphasis on information-sharing, with providers encouraged to collaborate with other networks and report known scam activity to the relevant authorities.

These efforts not only protect the public but also support the integrity of SMS as a marketing channel. By aligning with both the Spam Act 2003 and ACMA guidelines, your SMS marketing strategy remains compliant, trustworthy, and effective.

Need help staying compliant? Check out our guide to legal SMS marketing in Australia or get in touch for advice on setting up your next campaign the right way.

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Best Practices for SMS Marketing in Australia

Once your SMS marketing strategy is set, it’s time to enhance the quality and delivery of your messages. Getting the technical side right is just the start — the way you communicate is crucial for ensuring your messages are read, clicked, and acted upon. To make your SMS campaigns engaging, relevant, and well-received, follow these best practice tips. Each one builds trust, boosts response rates, and improves the experience for your audience.

Keep your text messages concise

With a 160-character limit, being brief is key in SMS marketing. Your message should be clear, focused, easy to read, and get straight to the point. Use simple language, break up long ideas, and highlight what matters most to your audience. A short, sharp message increases engagement and respects your recipient’s time.

Don’t include URLs in your cold outreach

Adding links in your first outreach messages can seem spammy, especially to new contacts. Many recipients are cautious about clicking on unknown links, which can damage your brand’s credibility. Instead, focus your initial message on starting a conversation or encouraging a simple reply. Once trust is built, you can follow up with more details and links as needed. Keeping your first message clean improves deliverability and lowers opt-out rates.

Personalise your cold outreach with the candidate’s first name

Personalisation is powerful in SMS marketing — especially with cold contacts. Using the recipient’s first name makes the message feel more human and tailored, increasing the chances of a response. Most SMS platforms allow for dynamic fields to auto-insert names. A simple “Hi Sarah,” at the start can make a message stand out and build rapport

Avoid aggressive, salesy, or pushy messaging communication

People are more likely to opt out of or ignore SMS messages that feel too aggressive or “salesy.” Steer clear of ALL CAPS, excessive exclamation marks, or pressure-heavy phrases like “ACT NOW!!!” Instead, adopt a conversational tone that’s informative, helpful, and genuine. Build value before making a pitch — remember, SMS is personal and should be handled with care. Your goal is to connect, not overwhelm.

SMS Marketing Examples: 3 Examples of Popular SMS Marketing Campaigns

1. Include a strong call to action

A clear, simple call to action (CTA) guides your audience on what to do next. Whether it’s clicking a link, replying with a keyword, or calling a number, your CTA should be easy to follow. Avoid overwhelming your recipient with multiple actions — stick to one or two options max. See the example below gives the recipient two easy options. It directs the user to either click on the link or call the number to get their bonus SMS credits. A strong CTA boosts response rates and helps you measure campaign success effectivel

SMS Marketing Australia

Agile and timely communication

SMS marketing shines when it’s relevant and timely. Use real-time triggers like location, time of day, or recent behaviour to send messages that feel immediate and useful. For instance, sending a message as someone approaches a university campus for an open day grabs attention at just the right moment.

The SMS marketing example below is an example of targeting people with an SMS as they approach within a select location. This example is the University open day. It notifies people in real-time that an event is happening right now near them and encourages them to attend. This agile messaging drives action and increases conversion rates by meeting people where they are — literally and figuratively.

SMS Marketing Australia

In this example, an SMS is sent contacting people informing them of a special offer that is available at a specific location near them. This type of SMS marketing is in real time and allows for flexibility.

SMS Marketing Australia

3. Keep the Coversation Flowing

SMS is a two-way channel — treat it like a conversation, not a broadcast. Encourage replies and make it easy for your audience to engage.

Ask a simple question; invite them to respond with a keyword, or use automated responses for an interactive experience. Integrate SMS into your broader marketing strategy, linking it with email campaigns or CRM tools for a seamless customer journey. For example, start by sending an SMS that requires your audience to reply; again, make the replying very easy and be crystal clear about what you want them to do.

You could even automate your SMS as part of a wider email marketing campaign using software for SMS marketing and marketing automation software.

SMS Marketing Australia

The recipient replies ‘SWIFTFRIDAY’ within 5 minutes and they then receive another SMS with a code to redeem the offer. Use this SMS to also upsell or inform about other offers or discounts you may have.

SMS Marketing Australia

5 Reasons Why SMS Marketing is The Future (And Present)

1. SMS marketing in Australia has an engagement rate that outdoes most other channels

Whilst email and social media are integral channels for marketing, they are left in the dust when it comes to SMS engagement stats such as open and response rates.

SMS messages can boast a jaw-dropping 98% open rate, and 90% of marketing SMS campaigns receive a direct response. That’s an engagement rate that traditional marketers of the past would absolutely kill for.

2. People trust SMS messages more than other communications

SMS is seen as a trustworthy mode of communication, possibly because only 10% of SMS campaigns are considered SPAM (Source: DSIM); a low rate in comparison to email (where nearly 50% of campaigns raise a red flag).

The trusted nature of the channel might explain why 9 out of 10 of people surveyed said they prefer receiving branded messaging via SMS over other marketing channels.

3. The potential reach of SMS as a channel is pretty much… everyone

There are 7 billion subscriptions for SMS communications on this planet (Source: Mobile Marketing Watch); that’s one subscription for every human being. With a potential reach of – well, everybody – you’d be a fool not to capitalise on SMS marketing as part of your overarching marketing strategy.

4. Consumers make purchasing decisions on their phone

“Nearly half (48%) of people say they begin shopping by using their smartphone to do a search with a search engine… An astonishing 78% of mobile searches for local business information results in a purchase.” – Aviaro

It’s estimated that, worldwide, people spend over a trillion dollars every day on purchases influenced by mobile shopping. By driving traffic to your business’ site using SMS, you could leverage an increasingly important channel for on-the-go decision making. People are more likely to purchase from your business when making their decision on their phones. 

Mobile users have increased intention to purchase when searching for products on their phone versus other devices. 92% who search for a product on mobile will make a purchase.

5. Don’t get left behind - everyone’s texting

Whether you’re a consumer, or a brand representative, 80% of all people are using SMS software for business (Source: Rebrandly). This might explain other trends, such as 71% of marketers saying that SMS is the core of their strategy (Source: Aviaro). 

With consumers preferring SMS communications and using their mobile device to research brands and make purchases, it’s important that your company meets them where they’re at. 

Your potential customers want to experience your brand on their mobile device. Not only should SMS be a major part of your marketing mix, but it’s also important to make the online experience of your brand completely optimised for mobile. 

What are the SMS Marketing Providers?

A quick search on the internet will reveal that there are countless SMS marketing providers and software for SMS marketing out there. Here are some of the better known software for SMS marketing, including a couple based in Australia.

Name Features Based In
Twilio Offering SMS, voice, email and messenger communication solutions, Twilio also boasts plenty of intelligent automation and sequencing tools to make your SMS marketing smarter. USA
ClickSend A global cloud-based communications platform as a service offering SMS at its core. Also offers Facebook messenger / WhatsApp, email, voice, fax and post communication features. USA
Swift Digital Multi-channel marketing automation platform with SMS, email, events, landing pages and surveys. If you’re looking for the full package, then Swift’s platform could be for you. Data is stored in Australia making it a public sector favourite. Australia
Amio SMS is just one instant-messaging channel that Amio can facilitate. Built for enterprise sized businesses looking to connect with their audience across web chats and SMS, Amio offers plenty of integrations if you’re wanting to sync up your efforts. USA
SMS Solutions Australia Built specifically for bulk SMS broadcast, this application concentrates solely on SMS marketing capability. Includes automated sequencing and detailed reporting. Australia

Harness the Power of Automation Software for your SMS Campaigns

SMS Marketing isn’t just the future, it’s the present day. Without SMS as a core part of your marketing strategy, your brand runs the risk of lagging behind and failing to reap the benefits of the wider reach, and better engagement rates of catering to mobile devices.

Is your business currently using SMS and email as part of your wider strategy? Do you need help with the creation, automation, or increasing engagement?

Here at Swift Digital, we can help you with your email and SMS campaigns by providing tips on email and SMS best practices to make your next campaign a success! Start collecting SMS subscriptions today, and see how your ideal ROI is only a couple of text messages away.

To find out how your business can get the best out of Swift Digital’s SMS module, contact our team today.

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