Are Marketers Ignoring Text Messaging to Better Engage Customers?

Text messaging is a common daily occurrence, yet are marketers leveraging it enough to better engage customers?

According to a new study conducted by Harris Poll on behalf of OneReach, 64% of people with text capability would rather text than talk to companies for various customer service needs.

The study says that 81% of U.S. adults are frustrated with being tied to a phone or computer to wait for customer service help. The types of customer service activities people with text messaging capability would most prefer to handle through the channel include:

Check order status (38%)

Schedule or change appointments (32%)

Make or confirm reservations (31%)

Ask a question (30%)

Find a store location (30%)

Check balances or due dates (30%)

Refill orders (29%)

Reset password (27%)

Nearly half (48%) of the respondents indicated it would be convenient for them if companies offered a text messaging option for customer service, and 44% of those with text capability said they would rather press a button to initiate a text conversation immediately, instead of waiting on hold to speak with a live agent.

“These findings should be eye-opening for every company, in regard to both customer engagement as well as their bottom line,” Rich Weborg, CEO of OneReach, said in the study. “Text messaging has largely been ignored by companies, except as a marketing tool, but these results show that the majority of customers prefer to engage with them via text. This leaves a huge opportunity for companies to serve their customers through the channel they prefer.”

What’s more, the study reveals that 64% of consumers with text capability have at least one of the following positive reactions to a company that offers SMS as a customer service channel:

41% say they feel the company understands their time is important

40% say they believe the company is progressive

28% say they would recommend the company to others

23% say they would stay loyal to the company

21% say they would choose the company over others that do not offer the service

Until now, it has been difficult for businesses to incorporate SMS into their contact centers, the study says.

In recent years, technological advances have made it possible for companies to incorporate SMS in nearly the same way they had incorporated IVRs.

The study found that younger consumers are most likely to embrace text messaging as a customer service option:

76% of adults between the ages of 18-34 with text capability say they would prefer to interact with companies through this channel

Younger adults (aged 18-34) are twice as likely as those 35 and older to stay loyal to a company that offers SMS customer service (34% versus 17%)

The majority of all U.S. adults 18 and older who are students–83%–would prefer to use text messaging for customer service rather than the options usually available

Busy parents with children under age 18 in the household are also more likely to want to perform customer service activities through text messaging (61%) over those without children (43%)

“We often hear that text messaging is just for young people, and that we don’t have to pay attention to it yet, but in the survey, we saw high responses from all different demographics and age groups who would use text messaging for customer service–including those age 55 and over, people with children, and people who are retired,” Weborg added. “People view their time as valuable across the board, and they don’t want to spend it on hold. In order to provide the best customer experience, this is a channel companies need to be addressing.”

This survey was conducted online within the U.S. by Harris Poll on behalf of OneReach from July 1-3, 2014 among 2,063 adults (aged 18 and older).

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