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June 12 2019

Transactional SMS

‘Transactional SMS’ messages are sent to clients with necessary information relating to a particular product or service. They are not to be confused with Promotional SMS messages which are sent with the sole objective of promoting or marketing a product or service (offering discounts and coupons, for instance) and which may or may not be solicited by the recipient.

Transactional SMS messages give existing clients or users important information related to products or services he or she is already using and do not contain any kind of marketing or promotional element. They might include purchase confirmations, order updates, account alerts, schedule changes or reminders. You might want to use SMS to let customers know that you’ve received their order and when it will be delivered, when an item is back in stock or ready for collection, to inform them that they need to renew a policy or subscription or that a bank balance is running low.

SMS is built in to every phone handset and doesn’t require any specific app or data coverage to send and receive. Thanks to an open rate of almost 90%, transactional SMS messages - which are usually time sensitive by their nature - will be more likely to be read and acted upon immediately by the recipient.

Examples of Transactional SMS messages:

Let your customers know when you've received their order

Notify customers when a particular item is back in stock or a reserved item is ready to be collected. Include a URL to track an order and let them know when they can expect to have it delivered

Remind customers of an upcoming medical or motor appointment, or when a warranty or service is due to expire, giving them the option to re-book or cancel.

Automatically notify your customers when a deposit is made, a threshold is reached or of unusual account activity. Enable 2-step verification (or 2-factor authentication) as an extra layer of security, whereby users are sent a one-time passcode over SMS and then are asked to enter that passcode online in order to verify their identity.

These messages can be remotely and automatically sent to inform users of an active fire alarm, power outage or server failure.

Notify customers instantly when there is an unexpected change or delay to a set schedule for travel or events – or simply to update their existing hotel or restaurant booking.


Underpinning every aspect of transactional SMS messaging is that it keeps your brand at the forefront of customers’ minds, enhancing their engagement experience and boosting loyalty.

38% of businesses currently use SMS messaging, but as more consumers opt in to receive communications via SMS (by the end of 2016, the figure stood at 37.2 million and is set to rise to 48.7 million in 2020), transactional SMS messaging could be the single more effective marketing tool you invest in.

Whatever your industry sector, Cosmic SMS can help you stay in touch with your customers using SMS messaging. Get in touch now to find out more.

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