SMS chatbots capabilities in marketing and communication strategy

Mobile Messaging Platform

Messaging is the new platform, and bots are the new apps. 2017 is hosting an explosion of growth in the popularity of chatbots (short for chat robot), fuelled by recent actions taken by giants like Microsoft, Facebook and Google.

A chatbot is a computer program that maintains a conversation with a user in natural language, understands the intent of the user, and sends a response based on business rules and data of the organisation.

On a very basic level, a computer programme is coded to recognise keywords and sentences that are sent to it and then uses this information to respond with a scripted message. The purpose of subsequent messages is to either gather further information from you, reply with the information requested or to act on the request if it can’t help any further i.e. pass you to a human.

A user interacts with a chatbot via a mobile messenger (like Facebook Messenger, Skype or Whatsapp), SMS, or a website, and Artificial Intelligence (AI) is normally embedded in a chatbot in order to help it better understand the context of the conversation.

Text message marketing has not only been proven and consistent, but it has actually evolved over the years to compliment customer's expectations of good quality service.

What’s the main benefit of SMS-powered chatbots?

The key benefit to SMS-powered chatbots is quite simply, efficiency. It’s also hugely adaptable to a large number of customer touch points, and it has a unique ability to improve the self-service customer experience, or CX, whilst simultaneously lowering business costs.

Customers want timely, hassle-free and relevant interactions with their preferred businesses, and those companies with SMS-powered chatbot services will be able to not only boost their bottom line, but they’ll be able to deliver on conversational SMS requests, which ultimately puts them head and shoulders above the competition.

Being able to use just one messaging app, i.e. their native SMS app, users can message their personal stylist, text their bank informing them of a lost PIN, whilst at the same time order a pizza. All without having to go between apps, channels or technology.

For users, this massively improves the time it takes to carry out these tasks and provides a personal and friendly feel.

Why are SMS-powered chatbots on the rise?

In the next few years, chatbots will rise up as the next big CRM tool, especially chatbots via SMS. There are two main reasons for this; SMS is much easier to build a bot around than ‘Over The Top’ (OTT) messaging apps and every smartphone has SMS capabilities.

The key thing to remember is that not everyone uses Whatsapp, Facebook Messenger, Skype etc, but every smartphone has a native SMS app and functionality, and is accessible to all, at all times.

Who is already harnessing this technology?

If you want to retain customer engagement, it is hugely important that you consider leveraging the power of chatbots. Smartphone app popularity is on the decline, and messaging apps are on the rise, and businesses should harness this current trend to their advantage.

There are many development companies that specialise in the building of chatbots and with the use of API feeding into other applications, it is relatively easy to implement into your marketing and communication strategy.

Large brands like Sephora and H&M have already built chatbots to act as personal stylists. The Royal Bank of Scotland have created a bot called “Luvo” which helps with small issues such as forgotten pins and lost cards.

How would it work for your business?

If your business is in a sector which serves everyday needs, such as travel, hospitality, retail and finance, the simplicity and quickness of SMS-powered chatbots are an ideal form of self-service communication technology. Here’s some suggestions as to how you could integrate chatbots into your day to day offering;

Travel - Chatbots can send SMS messages to customers ahead of check-in to alert them of their room number, inviting them to reply via text with questions they have throughout their stay.

Hospitality - Customers can send an SMS message to the hotel’s chatbot line asking for the Wi-Fi access information, request additional bedding, enquire where the hairdryer is kept, or even order room service.

Retail - Customers can receive sale alerts, new stock-in notifications and discount codes straight to their smartphone for use at checkout.

Finance - Banks are able to deliver fraud notifications, account balances on request, and allow customers to self-serve in real-time when they receive account status or transaction notifications.

Source