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Mr. Smith ran a small neighborhood gym. People came in for trials, but few returned. So, he offered a free fitness consultation in exchange for mobile numbers and opt-ins. He used text message marketing for his small business to send SMS tips, workout videos via MMS, and motivational nudges. Members began returning, referring friends, and upgrading their accounts.

To grow further, he launched a local text campaign with “Join with a Friend & Get 2 Months Free” offers. It was a simple move with a big impact

Mr. Smith isn’t alone — thousands of small business owners are embracing text message marketing, which is why the industry is projected to grow at a CAGR of 20.8% from 2024 to 2030.

If you’re a small business owner looking to start implementing SMS in your business, here’s a guide to help you through.

This guide walks you through:

  • Why should businesses use SMS marketing
  • The top text marketing platforms to consider
  • The key features that matter most
  • Some practical tips to help you

Let’s get started. 

Why does text message marketing for small businesses work?

Text message marketing for small businesses stands out because it’s immediate, personal, and always right on your customers’ phones. No wonder SMS marketing consistently achieves high open and conversion rates — people see and engage with your messages quickly.

This immediacy and personal touch make text messaging far more effective than many other marketing channels, delivering results that small businesses can count on repeatedly.

Let’s break down a few key sms marketing benefits for small businesses:

  1. Drives high revenue: SMS is the major contributor to online sales. Many businesses attribute around 20% of their revenue to text campaigns, proving that a well-crafted message can directly lead to real conversions.
  1. Encourages higher spending: SMS doesn’t just drive small purchases — research shows that 68% of people spend more than $50, and 2% have spent up to $500. This makes it a trusted channel for high-value transactions as well.
  1. Lower Cost, higher value: SMS marketing is far more affordable than emails, calls, or traditional methods, with messages costing just $0.015–$0.05 each (depending on the platform business chooses). In contrast, email marketing plans can range from $9 to $1,000 per month based on features and list sizeAnd with higher open rates, it often delivers better ROI and long-term customer value.
  1. High opt-in rates: More and more people want to hear from businesses via SMS. Over 48 million U.S. consumers have opted in to receive SMS messages from multiple companies. That’s a clear sign that shows SMS isn’t an interruption anymore.
  1. Reach most people—all at once: SMS helps businesses connect with a broad audience instantly, and it drives action. Across age groups, 84–90% of consumers say they’re likely to purchase after signing up for texts from a brand. That makes SMS one of the most effective ways to turn promotions into conversions.
text-message-marketing-for-small-business-bar-graph

Let’s see a marketing sms example of how this salon chain generated.  $196K in 30 days using sms in marketing

Seattle Sun Tan

text-message-marketing-for-small-business-seattle-sun

Source: LinkedIn

Challenge:
Seattle Sun Tan had no database of customers, i.e., phone numbers, but wanted a faster, more direct way to promote offers.

The move:
They launched a text marketing opt-in campaign from scratch, promoting it in-store, via email, and on their website. New subscribers received $20 off their next purchase.

Results:

  • Gained 4,774 subscribers in 30 days
  • 57% redeemed the offer
  • Earned $196,100 in sales
  • SMS customers spent $500 more than non-SMS customers

Why it worked:
The immediacy of SMS, combined with a high-value offer, gave it instant reach and action. Even without a list to start, they utilized text messaging to grow their audience and revenue rapidly.

Considering all these benefits, it’s clear that text message marketing is a go-to option for small businesses. However, not all messages sent by businesses are the same. Let’s take a closer look at the different types of text messages available and see which one best suits various business situations. 

SMS vs RCS vs MMS: Which should SMBs use?

When it comes to text message marketing for small businesses, the format of the message you choose —be it SMS, MMS, or RCS —will shape how your message is acted upon. Let’s see how each type of this message can help you in business at different stages: 

  1. SMS (Short Message Service) for Small Businesses: 

It’s hard to imagine a day without SMS—whether it’s a bank alert, a delivery update, or a promotional offer. The average person receives over 40 SMS messages per week, making it one of the most consistent touchpoints in our digital lives. 

Imagine a local boutique wants to notify customers about a special flash sale or restocked popular items. They can send an SMS like this:

text-message-marketing-for-small-business-sms

This simple, timely SMS keeps your customers informed about the current active promotions—no app or internet connection required. But SMS has both pros and cons as listed below:

ProsCons
Universal reach—works on any mobile phone, making it a powerful tool for marketing on mobile.160-character limit restricts message detail
Very low cost per messageNo support for media (images, videos, or GIFs)
Fast delivery and high reliabilityLimited branding and engagement options
Simple setup 
  1. MMS (Multimedia Messaging Service) for small businesses:

MMS (Multimedia Messaging Service) elevates your text marketing by enabling you to include rich media, such as images, videos, and audio clips, directly in your messages. While regular SMS is limited to text (and links), MMS allows you to create more engaging, visually appealing content that grabs attention instantly.

That’s why 73% of consumers say MMS creates a better brand experience. It’s especially popular in industries that rely on visual storytelling, such as retail, restaurants, and event planning, where showcasing a product or sharing a video has a better impact than text alone.

Imagine a local restaurant launching a new seasonal menu with this message:

text-message-marketing-for-small-business-mms

ProsCons
Supports images, videos, and audio for more engaging messagingHigher cost per message than SMS
Allows longer text than SMS (up to 1,600 characters)Not all devices or carriers support MMS reliably
Great for branding and promotionsBoth sender and receiver need an internet connection.
  1.  RCS (Rich Communication Services) or SMS 2.0 for Small Businesses:

Over 50.7% of marketers say their SMS marketing is just “average,” leaving room to stand out. That’s where RCS (Rich Communication Services), or SMS 2.0, comes in.

Think of it as a WhatsApp or Facebook Messenger built into your texting app. With RCS, you can send high-quality videos (up to 10MB), and with verified branding, quick reply buttons, and more, it’s a smarter, more engaging way for small businesses to connect with their customers. 

text-message-marketing-for-small-business-marketers
Source: Electro IQ

Imagine you run a real estate agency and want to share newly listed properties with your clients. Instead of sending a plain text, you send an RCS message—a mini brochure right along with a CTA.

text-message-marketing-for-small-business-rcs

ProsCons
Supports rich media (images, videos, carousels)Not supported by all phones or carriers
Enables branded messaging with logos, colors, and verified sender informationNeeds internet or mobile data to work
Two way texting with read receipts and typing indicatorsPricing and availability may vary by region and provider
Interactive features like buttons for quick repliesFalls back to SMS/MMS if RCS isn’t supported

If you want a deeper comparison to help you decide what’s best for your business, please read our blog: SMS vs MMS vs RCS differences explained

So far, so good, but what features should a business look for while finalizing with a texting platform? Let’s find out! 

Choosing the right text marketing platform – What to look for? 

When selecting a text message marketing platform, it’s essential to consider features that enhance the business’s overall campaign. Here’s what to prioritize:

1. Automation: 

As Benjamin Franklin advised traders in his essay”Advice to a Young Tradesman,”

“Time is money.”

This is especially true for small teams, where Automation helps businesses send the right message at the right time without manual effort. So, look for platforms that offer: 

  • Drip campaigns
  • Message scheduling
  • Auto-replies
  • Retry options for failed messages
  • Saved replies for FAQs
text-message-marketing-for-small-business-automation 

Gaglers lets you automate had no database of customers, i.e., phone numbers, but wanted a faster, more direct way to promote offers.

2. Two way texting: 

Communication can not always be one-sided. There are situations where you need to interact with people via text messaging. Some situations where two-way texting is necessary: 

  • Confirm or reschedule an appointment
  • Answer product or service queries
  • Collect feedback with quick surveys
  • Handle support requests in real time

With Gagler’s two way SMS software, you can run conversational campaigns easily and keep your campaign responsive. 

3. SMS compliance: 

Compliance guardrails are non-negotiable in text message marketing for small businesses. Texting customers without their consent or messaging them at the wrong time isn’t just risky—it can seriously damage your brand’s reputation. That’s why Warren Buffett said

“It takes 20 years to build a reputation and five minutes to ruin it.”

That’s why SMS compliance matters. The right platform should help you:

  • Get clear, documented opt-ins
  • Include easy opt-out options 
  • Keep records of consent and opt-outs
  • Stay aligned with regulations like TCPA, GDPR, and ISO standards
text-message-marketing-for-small-business-complaint 

Gaglers is built with compliance at its core, offering tools to automate consent tracking and timing rules, while being fully TCPA, GDPR, and ISO certified.

4. Integrations: 

Nobody wants to spend their day jumping between tools or manually syncing data. It slows you down and leaves too much room for error.

That’s why choosing a text message marketing platform for small businesses with solid integration is crucial, because 91% of business owners and marketers said it gives them better conversion rates

For small businesses, this means:

  • Your contacts and messages always stay in sync
  • You can send texts triggered by actions like sign-ups or purchases

Gaglers makes it easy to connect with popular CRMs like NGPVan, NationBuilder, Salesforce, Blackbaud, and more.

5. Analytics dashboard: 

Of course, you can’t just run the campaign and leave it. You need to measure the KPIs. So choose a platform that offers an analytics dashboard and reporting that tells: 

  • Number of messages sent and received
  • Outbound error rate (how many messages failed to send)
  • Opt-out rate
  • Average times reached, etc.

This helps you track what’s going wrong, identify areas for improvement, and get your campaign back on track.

6. Pricing: 

This is something that cannot be taught. We all know and follow the universal business rule: 

“Cut costs wherever you can.” 

Every business should look for a platform that offers: 

  • Clear, pay-as-you-go plans
  • No surprise fees for delivery, retries, or opt-outs
  • Flexible packages that scale with your needs

Gaglers provides a pay-as-you-go model. Know more about Gaglers pricing here

7. Other features: 

Beyond the essentials, there are a few more features that can make a real difference in your SMS marketing efforts. Look for tools that offer:

  • 10DLC numbers that send messages from the local number and build trust with customers
  • AI tools like a built-in profanity filter to keep conversations clean and brand-safe
  • Link shorteners to save space, track clicks, and keep messages looking clean and professional
  • Personalize using dynamic fields like first_name or last_name, and you can make messages more personal

Now that the key features to look for in a platform are identified, let’s move on to some of the top platforms on the market today and examine what each offers.

Read Also: The Complete Guide to Text Messaging Software for Business

Top SMS platforms for text message marketing for small business

Choosing the right SMS marketing platform is crucial for maximizing engagement, ensuring SMS compliance, and achieving a positive ROI. But before diving into the top tools, it’s important to understand what makes a platform the right fit. As per the research, most businesses choose their SMS marketing platform based on these criteria:

text-message-marketing-for-small-business-criteria

With that in mind, here’s how the leading platforms stack up—each with unique strengths for small and mid-sized businesses.

1. Twillo

text-message-marketing-for-small-business-twillo
Source: Twillio

                         

Twilio is a developer-friendly messaging powerhouse trusted by enterprises and tech-driven teams worldwide. Its advanced setup offers excellent flexibility, ideal for businesses with developer resources or those willing to hire one. 

Key features:

  • Multi-channel messaging (SMS, MMS, RCS, WhatsApp)
  • Real-time analytics
  • Advanced automation and scheduling
  • Verified messaging
  • Template builder

Ideal for: Tech, SaaS, healthcare, e-commerce, and large enterprises needing robust APIs and global delivery. 

Pricing: Twillo provides a pay-as-you-go model

  • SMS: ~$0.0075–$0.0083 per message
  • MMS: ~$0.02–$0.022 per message

View more details on the  breakup of pricing on their pricing page

2. Gaglers

text-message-marketing-for-small-business-gaglers

Gaglers is an all-in-one messaging platform crafted for small to medium-sized and even enterprise businesses seeking easy, automated, and multi-channel outreach. 

Key features:

Ideal for: Financial services, retail, real estate, education, healthcare, utility and other businesses. 

Pricing: Transparent pay-as-you-go model, with messages starting at $0.034 / text only. See more on the pricing page

Why Gaglers stands out: Gaglers uniquely combines advanced automation, rich messaging (including RCS), and deep CRM integrations in a user-friendly platform, making it easy for both small and large businesses to run powerful, compliant campaigns without technical hassle.

Bonus: Spend $50 on your first campaign and get $50 in free credits—a great head start for small business marketers!

Plus, these credits never expire!!

3. EZ Texting                

text-message-marketing-for-small-business-eztexting
Source: EZ Texting

EZ Texting offers user-friendly texting software and automation tools, great for growing teams. Great for businesses with high message volumes, as the price increases with the volume of messages. 

Key features: 

  • Bulk & two way texting, plus MMS capabilities
  • Message templates
  • Smart scheduling, auto‑replies/workflows, and drip campaign
  • Link shortener & tracker, bulk contact upload
  • Robust integrations with Mailchimp, Zapier,
  • Reporting and analytics

Ideal for: Retail, e-commerce, K-12 schools, healthcare, nonprofits, 

Pricing: Starts at $25 per month for up to 500 contacts. There are many plans available; check their website for more details. 

FYI: EZ Texting currently does not support RCS messaging.

4. Simple Texting

text-message-marketing-for-small-business-simpletexting
Source: SimpleTexting

SimpleTexting is known for its intuitive interface, automation, and flexible credit-based pricing—ideal for businesses of all sizes. It’s especially well-suited for those focused on the U.S. and Canadian markets only. 

Key features: 

  • Mass and two way texting
  • List building
  • Automation (scheduled texts, auto-replies, triggers)
  • Link tracker and shortener
  • Robust analytics and reporting
  • Integrates with Salesforce, Zapier, Hubspot, etc
  • Support is available on the phone for both Apple and Android devices. 

Ideal for: Real estate, restaurants, e-commerce, retail, schools/universities,

Pricing: Starts at $39 per month for 500 credits, supporting up to 3 members. If businesses want to add access, it costs an additional $20 per person. Visit the pricing page for more details

NOTE: SimpleTexting currently does not support RCS messaging.

5. Textmagic

text-message-marketing-for-small-business-textmagic
Source: Textmagic

Textmagic is a versatile SMS platform with strong two way texting and automation, perfect for global outreach.  It’s ideal for businesses looking to run simple, straightforward campaigns without the advanced features.

Key features: 

  • Bulk SMS and two way texting 
  • Scheduled messages
  • Automation for incoming messages
  • List building
  • Delivery reporting and analytics
  • Integrations with Zapier and API

Ideal for: Global SMBs, logistics, finance, and service businesses

Pricing: Pay-as-you-go model starting at $0.049 per SMS. A customization option is available on the package based on message volume. Visit their pricing page for more information. 

NOTE: Textmagic does not support RCS messaging currently

Here is a quick comparison table of the top 5 platforms 

FeatureTwilloGaglersEZTextingSimpleTextingTextmagic
MMS support
RCS-compatible
Two-way chat
SMS compliance 
Automation✅ ✅ 
Analytics dashboard✅ (API-level)✅ ✅ ✅ ✅ (Pretty basic)
CRMs✅ ✅ ✅ (Zapier integration)✅ (Zapier integration)✅ (Zapier integration)
Price pointLow SMS, higher RCS setupLow-midMidLow–midLow

With a clear view of the top options, it’s easier to align business goals with the right messaging platform. Compare features, match them to your needs, and select the one that best suits your requirements.

FAQs on text message marketing for small businesses

What is the best SMS service for a small business?

The best SMS service for small businesses is one that’s easy to use, offers automation, scheduling, compliance, integrates with other applications, and fits the budget. Top picks are mentioned in this blog.

Is it possible to do SMS marketing for free?

Yes, some platforms offer free trials or limited free plans—great for testing features and building a subscriber list without incurring upfront costs.

Is SMS marketing legal?

Yes, it is legal as long as you obtain express consent, provide clear opt-out options, and comply with regulations such as the TCPA.

How to advertise through text messages?

Build an opt-in list, craft clear and timely messages with a strong call-to-action, and use SMS platforms to send bulk or personalized texts to your audience.

Next steps to get started with text message marketing for small business

Nearly 6 million small businesses are already using SMS marketing—and if you’re thinking about jumping in, it’s the right time.

Getting started is easier than you think. Here’s a simple path to follow:

  • Set clear goals – What do you want your texts to achieve? More sales, bookings, or engagement?
  • Build opt-in list – Invite customers to subscribe through your website, in-store, or social media.
  • Map message strategy – Plan what to send, when, and how often.
  • Pick the right platform – Choose a tool that’s easy to use, powerful, and made for businesses like yours.

Start with Gaglers and send your first campaign in minutes.