3 Ways Logistics Companies Should Harness SMS for Better Customer Service

By David Lione, Senior Enterprise Account Director, OpenMarket for PostalVision 2020

SMS, or text messaging, is one of the most widely used communication tools for consumers, and arguably the most effective, with over 80% of consumers opening text messages within just 90 seconds of receiving them. In addition, a recent OpenMarket survey stat revealed that millennials – one of the largest consumer audiences – prefer to engage with businesses via SMS more than any other communication channel like social media giants Facebook and Twitter. For these reasons, SMS is an ideal method for transportation companies to engage, and keep in touch with, their customers today.

Despite SMS being a proven and ubiquitous technology, transportation and logistics companies surprisingly underutilize it. In fact, they have one of the lowest adoption rates of any industry, according to an IDC InfoBrief which revealed that less than 27 percent of companies within this industry are currently using or plan on using global SMS with customers and employees. This all adds up to a massive missed opportunity that logistics companies should immediately look to embrace. Here are a couple of specific ways they can harness SMS’s popularity and potential.

  • Delivery Notifications
    • Better communication ensures a package is received by the correct customer
    • Allows the customer to plan around the package drop off
    • Prevents unnecessary and time-consuming back and forth communication
  • Tracking Capabilities
    • With businesses such as Amazon promising next day delivery, SMS enables a consumer to track and view real-time progress of their parcel
    • With SMS, companies like UPS, DHL, the USPS, and FedEx are providing greater transparency into the progress of the shipped package, to lessen the probability of any surprises or unhappy customers
    • Drivers can be tracked to aide in weather and bad traffic communications using text messaging
  • Customer Feedback
    • Happy with your service? Why or why not? SMS surveys see in excess of a 20% response rate – 2x as high as phone-based and 5x higher than online polls
    • SMS can improve customer service ratings and build long-term loyalty
    • Text messaging can provide additional insights that lead to better business decisions
    • SMS eases the workload of customer service employees and frees up time and resources

As mobile has transformed the way we communicate in our daily lives, there is a massive opportunity for SMS to transform how logistics companies engage with their customers. Research shows that consumers prefer to be notified of package deliveries, tracking information and any potential delays in services via text messaging. Now is the time for your business to get on board with SMS technology. Those that don’t will be left behind and miss out on a valuable competitive advantage.