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The Power of SMS

Background

SMS (Text Messaging) is a breakthrough in communications, giving mobile users the ability to send and receive short messages to and from mobile telephones. Handy and inexpensive, SMS allows users to easily send text or numerical messages to each other. It does not require special equipment as it is already available on 95% of all cell phones and 79% of Americans already own a mobile phone.

Today, large wireless networks have nationwide and international coverage of mobile technology. These services provide new products and solutions, which are easy to operate, reliable, and can handle the growing number of wireless users.

There are more than 68 million SMS users in the U.S. and that number has been growing by 250% a year, for the last two years. This has quickly changed the way people communicate and access information. Currently over 8 million text messages are being sent each month and experts project it to grow to 80 million a month by 2008.

Statistics on SMS in the U.S. and around the world.

  • Over 8 Billion Text Messages are sent every month in the U.S.
  • SMS has twice the reach of the Internet.
  • 41% of European adults use SMS.
  • 44% of worldwide mobile users are willing to pay for content via mobile phone.
  • Average age of SMS user is 38, in the same age bracket as the home buyer.
  • 50% of 25-34 year olds use mobile SMS.
  • 57% of 18 - 25 year old mobile owners are SMS users
  • Response rates for mobile marketing campaigns are 40% compared to 3% for direct mail and 1% for Internet banner ads.

Text messaging technology can come in handy with marketing campaigns, advertising, real estate leads, customer assistance, and even in daily uses such as public entertainment, including contests, vouchers, coupons, voting and polls on TV. Mobile messaging can also help businesses worldwide to save time, reduce costs communicating with clients, staff and consumers.

SMS growth in the United States

Every 6 months since the launch of the CSCA (June 2003) SMS traffic volumes have increased at least 37% in the U.S. It has quickly changed the way people communicate and access information. Currently over 8mm text messages are being sent each month and experts project it to grow to 80 billion a month in 2008.

SMS Statistics Chart - CSCA

 

References:
  1. GSM Association Membership and Market Statistics Feb 2004
  2. Computer Industry Alamanac
  3. Gartner as reported in Intellect Report Dec 2003
  4. NOP World
  5. ATKearney
  6. Mobile Marketing: The message revolution. Kogan Page
  7. (Analysts Frost and Sullivan 2003)
  8. MDA UK Business Survey