News • 13.04.2023

The future of marketing is conversational

Global survey: 88% of consumers are seeking text messaging conversations with brands

Consumers around the world are more comfortable than ever interacting with brands, when they feel they’re getting value. The annual "State of Conversational Commerce Report" from Attentive revealed 91% of consumers have already opted into at least one brand’s SMS program, or are interested in doing so. Consumers are also willing to share personal information in exchange for free shipping, complimentary gifts, and / or personalized recommendations.

A green speech bubble
Source: Alexander Shatov / Unsplash

Conversational commerce is defined by interactive, people-driven experiences that support the entire customer buying experience. These conversations work towards a point of conversion or commerce – from awareness, all the way through post-purchase. 

With more than 8,000 consumers surveyed from the US, Canada, the UK, and Australia, the findings reveal 88% of consumers would engage in a two-way conversation with a brand about a product, and 87% would reach out to resolve a checkout issue. This shows that conversational commerce has seen wide adoption in the shopping journey and presents an opportunity for brands to engage with customers to close a revenue gap through personalized, immediate attention.

Valuable insights into what customers and brands want

The desire to converse with brands shows that consumers are willing to share more than basic contact information, as the majority of US shoppers would share their name, email, and gender to get personalized recommendations. Notably, this aligns with the data marketers are most interested in location and product preferences. When brands collect personal information throughout the customer journey, they’re collecting the building blocks of zero-party data that enable them to deliver more tailored experiences and incentives.  

"Conversational commerce radically changes how consumers shop in their day-to-day, and SMS marketing is at the heart of this shift," said Sara Varni, CMO at Attentive. "Brands are recreating the in-store experience online, which enables consumers to take an active role in starting a conversation. These two-way conversations naturally lend themselves to invaluable zero-party data collection that amplifies marketers’ efforts." 

Additional findings from the 2023 Global State of Conversational Commerce include:

  • The hunt for value: Unlike last year when convenience reigned supreme, this year, discounts are the biggest lever brands have to influence consumers to spend more than they planned. ‍
  • Big purchases through SMS: Despite being dialed into value, consumers are willing to spend significant amounts of money on items personally marketed to them via SMS. In the US, over 61% have spent between $50 and $500 on an item marketed to them via text, presenting an opportunity for high-end brands to meet their customers on the channels they prefer. ‍
  • Loyalty starts before the first purchase: When interacting with a brand for the first time, 87% of US respondents who subscribe to a brand's SMS channel said they're likely to make a purchase.

Attentive also surveyed over 900 brands globally to gather insights on top priorities for marketers in 2023 and the opportunities to maximize their programs. Highlights from Attentive’s SMS Benchmarks Customer Survey include:

  • SMS is a direct revenue-driving channel: Just as SMS is globally-adopted by consumers, 79% of marketers use SMS as a retention channel and 73% of marketers say SMS drives incremental revenue for their business. 
  • Hyper-focus on performance channels:  A majority of marketers surveyed aren’t managing a reduced budget this year. For 86% of marketers, their budgets are staying consistent to 2022 or increasing. But the focus has shifted to retention and acquiring new customers, using channels that are proven to show results. 
  • Growth in SMS marketing budget:  Given the direct and measurable nature of SMS marketing, it’s no surprise that 52% of marketers are planning to increase their SMS marketing budget. This percentage is greater than any other paid channels’ budgets.
Source: Attentive

related articles:

popular articles:

Thumbnail-Photo: Chinese New Year 2024: Successful marketing strategies...
31.01.2024   #e-commerce #marketing

Chinese New Year 2024: Successful marketing strategies

How online retailers can benefit from the celebrations

Chinese New Year 2024 begins on February 10 and lasts for 16 days. During the important festival, which is celebrated not only in China ...

Thumbnail-Photo: Valentines Day marketing: creative campaigns to make your heart sing...
18.01.2024   #brick and mortar retail #sustainability

Valentine's Day marketing: creative campaigns to make your heart sing

Examples of how you can score points on Valentine's Day

Zalando killed two birds with one stone in 2021: with the invitation to "campaign exchange the clothes after your ex", customers were shown ...

Thumbnail-Photo: Simple integration of POS-systems
28.02.2024   #retail #Tech in Retail

Simple integration of POS-systems

Interview with Star Micronics

Receipt, label and kiosk printing, POS systems for tablets and cloud-based – Star Micronics Europe Ltd. offers flexible and innovative POS solutions for the retail and hospitality sectors. ...

Thumbnail-Photo: Cash management made easy?
28.02.2024   #retail #Tech in Retail

Cash management made easy?

Interview with APG

Cash is the lifeblood of retailing and has to be managed. The payment solutions company APG shows a portfolio of possibilities – 'seamless' is a key priority here. ...

Thumbnail-Photo: Sustainable printers for mindful consumers
28.02.2024   #retail #Tech in Retail

Sustainable printers for mindful consumers

Interview with Bixolon

Bixolon has noticed a change in consumer behavior and is responding accordingly. Sustainability is more important than ever before. As a result, the company has developed new POS printers and printing processes. ...

Thumbnail-Photo: Leaving a good impression on the customer
28.02.2024   #retail #Tech in Retail

Leaving a good impression on the customer

Interview with Extenda Retail

For retailers, the checkout is the most important part of the customer journey. Because this is where customers decide whether they come back or go to the competition next time. Mohit Paul, CCO of Extenda Retail, explains what a seamless and ...

Thumbnail-Photo: Turning customers into friends - heres how it works...
24.01.2024   #marketing #online marketing

Turning customers into friends - here's how it works

WhatsApp channels as a secret weapon in the marketing mix

In fall 2023, Meta launched WhatsApp channels, a completely new feature in 150 countries ...

Thumbnail-Photo: Trends for Mothers Day and Fathers Day: How retailers can score...
10.04.2024   #sustainability #marketing

Trends for Mother's Day and Father's Day: How retailers can score

How to make the holidays a success for your business with creative gift ideas for mom and dad

Mother's Day and Father's Day are just around the corner – two special occasions to shower our parents with thanks and appreciation. Traditionally, we use these days ...

Thumbnail-Photo: Rethinking advertising communication?
27.02.2024   #retail #Tech in Retail

Rethinking advertising communication?

Interview with Online Software

With its PRESTIGE AI Copilot software, the company is bringing artificial intelligence directly into brick-and-mortar retail. But how does the smart assistant help to make optimum use of in-store screens and electronic shelf labels? ...

Thumbnail-Photo: Communication at the POS in focus at Meto
15.05.2024   #labels #price labelling

Communication at the POS in focus at Meto

Price labellers, labels, ESL fasteners and sales promotion solutions: Meto International GmbH offers everything for ...

Supplier

Meto International GmbH
Meto International GmbH
Ersheimer Straße 69
69434 Hirschhorn
Extenda Retail Ab
Extenda Retail Ab
Gustav III:s Boulevard 50A
169 73 Solna