Jimmy Kim explains why SMS lists built on discounts lose 20-30% of subscribers in the first month: you're attracting bargain hunters, not loyal customers. Instead, use SMS for exclusive perks like early product access and restock alerts, or let people opt in after they've already bought from you.
The opt-out rates on like discount-acquired SMS lists are quite high. I'm talking like 20, 30% of those folks will opt out usually within the first 30 days for the average brand.
Yeah, 20, 30% is a lot. What do you think are the alternatives? You still need to acquire SMS subscribers. That's important. So what do you think about when you think about alternatives? Yeah, I think there's a couple.
I'd say the first is you want to make SMS the channel like for exclusive content, not just discounts, right? Whereas you want to sign up to SMS to get early access to drops. You want to be the first one to know when we restock. I think that That alone helps filter for what people are going to do, right? This helps people that actually want a relationship with the brand get onto the list. And the people who opt in tend to be more like good long-term buyers than just the ones that want like a hot, quick deal. The second one is you need to let people opt in via SMS after they've already engaged with the brand.
