What's UR txt msg Str@tegy?

Credit Union Magazine
May 22, 2009 | COMMENTS

Two years ago my daughter, Anna, sent me her first text message. She borrowed her older brother's mobile phone and composed this question: "Where R U?" When the message arrived, I was happy to know she was thinking about me. My initial thought was to reply, "@ wrk." Before sending a response, however, I considered the real meaning of my daughter's question.

I knew my daughter wasn't actually interested in my physical location. She didn't care if I was at my office, a client's office, or a restaurant. She really wanted to know when I would be home. She wanted to know when she would see me. She cared about timing, not location. I replied, "@ wrk, b home in 30."

As I meet with people in large enterprises throughout the U.S. , I often ask, "Where R U?" My question, like my daughter's, is context-sensitive. The broader meaning of the question is, "Where is your text message strategy?" Or more pointedly, when will your organization begin using text messaging and other mobile messaging services in your marketing, customer care, and collections processes?

Like my daughter, I'm not asking about geography or political positioning. Rather, I'm asking about timing. And I've found that few organizations in 2008 can answer this basic text messaging question. No longer do American consumers lag the rest of the world in text message adoption. Text messaging has become the preferred communications channel for millions of people—and not just teenagers. Many Americans consider text messaging indispensable.

The Rise of Mobile Messaging

Eighty percent of Americans currently carry mobile phones. There are more mobile-only households than landline-only households. The volume of text messages sent in America doubles each year. As of mid-2007, Americans send more than one billion text messages per day. While U.S. consumers fully embrace text messaging, few enterprises have followed suit. It's true some organizations have begun adoption, but others continue to overlook the mobile data phenomenon entirely.

If enterprises don't adapt to this channel they will, eventually and certainly, suffer a disadvantage to those organizations that catch the vision of mobile data communications and take full advantage of the channel.

I've spent many years helping large enterprises define and implement a text messaging strategy. There are five critical considerations to consider when implementing mobile data communications.

1. Get started. Establish a presence in the text messaging channel. It would be foolish for any company to operate without a Web site. Similarly, the time soon will come when consumers expect basic text messaging services from the companies they know and trust.

Consumers will expect visibility into account information, order status, store locators, FAQs, and more. Far too many companies don't support text messaging at all. The key ingredient for most companies is simply to get started.

2. Demonstrate proficiency early. Text messaging can be effective at all stages of the customer life cycle, such as marketing, customer care, and collections. By demonstrating to consumers that your organization has text messaging proficiency early in the customer relationship, you can fully leverage the channel throughout all the subprocesses of customer acquisition, support, and retention.

Customers must understand early on that your organization speaks the language of text messaging. This will increase the opt-in rate your organization needs for the channel. Early proficiency enhances the usefulness and value of the channel in all downstream processes.

3. Keep it short. Text messaging is well-suited for sending and receiving information that's relevant, timely, and brief. Consumers expect text messages to be highly relevant to their needs and interests. Unwanted or unnecessary text messages will damage customer relationships.

Timely delivery of information increases its value. No other communication channel can elicit an immediate response like text messaging. Consequently, people expect information in the text channel to be timely. By definition, text messages must be short and concise. If you can't convey the message in 160 characters, then the message probably isn't well-suited for text messaging.

4. No need to remember. Text messages often are stored for an extended period on the mobile device. So when you send a text message containing detailed information, it's easy to retain and forward to another person. In contrast, detailed voice messages are cumbersome and time-consuming.

5. Integrate all channels. Text messaging rarely stands on its own. A text messaging program may produce revenue or reduce costs independent of other communication channels, but those programs are rare. In most cases, text messaging augments other communications.

A great example of blended and integrated channels can be found on cellular 411 calls. When directory assistance finds the telephone number you requested, it provides the option of receiving the information as a text message. The text message allows you to record detailed information without writing it down. It's automatically stored in the memory of the mobile phone.

Soon consumers will ask your organization, "Where R U?" When that time comes, it will be important to have fully considered the positioning of this important new channel in your organization. Text messaging will provide many profound benefits in marketing, customer care, collections, and more.

Alan Berrey is vice president of SoundBite Communications Inc. From Credit Union Magazine.com and reprinted with permission.