It’s a familiar story for any e-commerce brand: a customer adds items to their cart, browses your site, maybe even starts the checkout process—and then disappears. This is cart abandonment, and it’s a major challenge for online retailers, with studies showing nearly 70% of shopping carts are left behind. While email has long been the go-to tool for recovering these potential sales, there’s a more direct and often more effective channel: SMS retargeting.
Text message marketing allows you to connect with customers on a platform they check constantly. The average person looks at their phone dozens of times a day, and SMS messages have an open rate of up to 98%. This incredible visibility makes SMS an powerful tool for re-engaging customers who have shown interest but haven’t completed a purchase. It’s a direct line to their pocket, offering a personal and immediate way to remind them of what they left behind.
This guide will explain what SMS retargeting is, why it’s so effective, and how you can implement it in your business. We’ll cover the essential strategies, from crafting the perfect message to segmenting your audience for maximum impact. By the end, you’ll have a clear roadmap for using SMS to turn lost opportunities into loyal customers.
What is SMS Retargeting?
SMS retargeting is a marketing strategy that involves sending targeted text messages to customers who have previously interacted with your brand but did not make a purchase. These interactions can include abandoning a shopping cart, browsing specific product pages, or signing up for a newsletter without buying anything. The goal is to re-engage these potential customers and gently guide them back to your website to complete their purchase.
Unlike broad SMS marketing campaigns sent to your entire subscriber list, retargeting is highly personalized. The messages are triggered by specific user actions (or inactions), making them incredibly relevant to the recipient. For example, a customer who leaves a pair of running shoes in their cart might receive a text message an hour later with a direct link back to that specific cart.
This strategy capitalizes on existing interest. These aren’t cold leads; they are individuals who have already demonstrated a desire for your products. A timely, helpful text message can be the final nudge they need to overcome any hesitation and finalize their purchase.
Why SMS is the Ultimate Retargeting Channel
While retargeting can be done through email, social media ads, and display ads, SMS offers unique advantages that make it particularly powerful for recovering lost customers.
Unbeatable Open and Engagement Rates
The statistics for SMS marketing speak for themselves. With open rates soaring as high as 98% and click-through rates averaging between 19% and 35%, text messages cut through the noise in a way no other channel can. Compare this to email, where the average open rate across industries is around 21%. When you send a retargeting message via SMS, you can be almost certain that your customer will see it, and see it quickly—most texts are read within three minutes of being received. This immediacy is crucial for abandoned cart recovery, as it allows you to re-engage the customer while the product is still fresh in their mind.
A Direct and Personal Connection
Mobile phones are deeply personal devices. By communicating with customers via text, you’re meeting them in a space they reserve for friends and family. This creates a sense of intimacy and directness that feels more personal than an email sitting in a crowded inbox or a display ad on a website. When done respectfully and with the customer’s permission, SMS retargeting can feel less like marketing and more like a helpful reminder from a brand that understands their needs.
High Conversion Potential
The combination of high visibility and personal connection translates into impressive conversion rates. Because the messages are timely and highly relevant to the customer’s recent activity, they are more likely to take action. A simple text offering a small discount, free shipping, or just a direct link back to their cart can be incredibly effective at overcoming last-minute purchase barriers. This targeted approach ensures that your marketing efforts are focused on shoppers who are already close to converting, maximizing your return on investment.
Cost-Effective at Scale
While there are costs associated with SMS platforms, the high return on investment often makes it one of the most cost-effective marketing channels available. The expense of sending a text message is minimal compared to the potential revenue recovered from a single abandoned cart. As you scale your efforts, the cost per message often decreases, allowing you to reach a larger audience without a proportional increase in budget. When you consider the value of a recovered customer—who may go on to make repeat purchases—the long-term value of SMS retargeting becomes even more apparent.
How to Set Up a Winning SMS Retargeting Campaign
Building an effective SMS retargeting strategy requires careful planning and execution. Here’s a step-by-step guide to get you started.
1. Choose the Right SMS Marketing Platform
The foundation of your strategy is a robust SMS marketing platform. Look for a service that integrates seamlessly with your e-commerce platform (like Shopify, BigCommerce, or WooCommerce). Key features to look for include:
- Automation and Workflows: The ability to create automated sequences triggered by specific actions, such as cart abandonment.
- Segmentation: Tools to segment your audience based on behavior, purchase history, and demographics.
- Compliance Tools: Built-in features to help you manage consent and comply with regulations like the TCPA in the United States.
- Analytics and Reporting: Dashboards to track key metrics like open rates, click-through rates, conversion rates, and ROI.
- Two-Way Messaging: The option for customers to reply to your texts, allowing for customer service interactions.
Popular platforms that offer these features include Postscript, Attentive, and Klaviyo.
2. Build Your Subscriber List (The Right Way)
You cannot send marketing texts to anyone without their explicit consent. This is not just a best practice; it’s a legal requirement. Make sure your opt-in methods are clear and compliant.
- Checkout Opt-In: Add a checkbox during the checkout process where customers can agree to receive marketing text messages. Make the language clear and separate from your terms and conditions.
- Pop-ups and Forms: Use website pop-ups to invite visitors to subscribe to your SMS list, often in exchange for a discount or exclusive content.
- Keywords to Opt-In: Promote a keyword (e.g., text JOIN to 12345) on your website, social media, and in-store signage.
3. Segment Your Audience for Personalization
Not all lost customers are the same. Segmenting your audience allows you to send more relevant and effective messages. Consider these segments for your retargeting efforts:
- Cart Abandoners: The most common group. These customers have added items to their cart but didn’t check out.
- Browse Abandoners: Visitors who viewed specific product or category pages but didn’t add anything to their cart.
- High-Value Cart Abandoners: Customers who abandoned a cart with a total value above a certain threshold.
- First-Time vs. Repeat Customers: A returning customer who abandons a cart might respond to a different message than a brand-new visitor.
4. Craft Compelling and Compliant Messages
Your message needs to be concise, valuable, and clear. Every text should include:
- Your Brand Name: Always identify who is sending the message.
- A Clear Value Proposition: Why should they come back? Is it a reminder, a discount, or free shipping?
- A Direct Link: Make it easy for them to return. Use a shortened link to their specific cart or the product they were viewing.
- A Clear Call to Action (CTA): Tell them exactly what to do (e.g., “Complete your order,” “View your cart”).
- Opt-Out Instructions: You must include a way for them to unsubscribe, such as “Reply STOP to opt out.”
Example Message for Cart Abandonment:
Hey [Customer Name], it’s [Brand Name]. You left some great items in your cart! Complete your purchase before they’re gone: [Link]. Reply STOP to opt out.
5. Create an Automated Retargeting Flow
Timing is everything. Set up an automated sequence of messages that triggers after a customer abandons their cart. A typical flow might look like this:
- Message 1 (1-2 hours after abandonment): A simple reminder. “Forgot something? Your cart is waiting for you.”
- Message 2 (24 hours after abandonment): Add a sense of urgency or address a potential concern. “Items in your cart are selling fast! Worried about shipping? It’s on us.”
- Message 3 (3-5 days after abandonment): Introduce an incentive. “Still thinking it over? Here’s 10% off to help you decide. Use code COMEBACK10 at checkout.”
Test different timings and incentives to see what works best for your audience. Avoid sending too many messages, as this can lead to frustration and unsubscribes.
Frequently Asked Questions About SMS Retargeting
Is SMS retargeting legal?
Yes, as long as you comply with regulations like the Telephone Consumer Protection Act (TCPA). This means you must obtain express written consent from individuals before sending them marketing text messages. You also need to provide a clear way for them to opt out of future messages. Most reputable SMS marketing platforms have built-in compliance tools to help you with this.
How is SMS different from email for retargeting?
The main differences are immediacy and visibility. SMS messages are almost always read within minutes of receipt, making them ideal for time-sensitive reminders. Email inboxes are often cluttered, and messages can be easily overlooked or filtered into spam. However, email allows for longer, more visual content, so the two channels can be used together effectively.
What kind of results can I expect?
Results vary by industry and execution, but many e-commerce brands see significant returns. It’s not uncommon for SMS cart abandonment campaigns to achieve conversion rates of 20-30% or even higher. The key is to track your performance and continuously optimize your strategy.
From Lost Leads to Loyal Customers
SMS retargeting is more than just a tool for recovering lost sales. It’s an opportunity to build stronger relationships with your customers by providing timely, helpful, and personal interactions. By meeting them on a channel they use every day, you show that you value their interest and are committed to providing a great experience.
Start by implementing a simple cart abandonment flow. Test your messaging, analyze your results, and gradually expand your strategy to include other segments like browse abandoners. With a thoughtful approach, you can transform SMS from a simple marketing channel into a powerful engine for customer recovery and long-term growth.
SMS marketing is one of the most direct ways to re-engage customers. Sending timely, personalized messages can recover abandoned carts and increase conversions. Similar to how effective retargeting improves overall campaign performance, Twilio’s SMS marketing best practices provide practical guidance, and ProTexting shares tips on crafting messages that encourage customers to return. For a broader view on growing your online store, E‑commerce Marketing Management offers useful strategies on targeting the right audience and optimizing marketing channels for better results.
