SMS vs. MMS messaging: How to choose the right business messaging tool
SMS, MMS, and OTT in business messaging
The average person now spends 4.5 hours each day on their mobile device. Even while inactive, our phone is often within reach. With time on mobile increasing, many businesses have turned to mobile messaging like SMS and MMS to quickly and effectively engage customers.
SMS (Short Message Service) and MMS (Multimedia Message Service) both allow you to send text messages to customers directly, but they differ greatly in their use cases, capabilities, and costs. The same is true of Over-The-Top (OTT) messaging apps like WhatsApp and iMessage. So, which is the right business messaging tool for your business?
Read on to learn the state of modern mobile messaging for business and which type of texting can help you better communicate with and convert customers. In this blog, we’ll cover:
What is SMS? What does SMS mean?
What is MMS messaging?
SMS vs. MMS
SMS vs. text
Statistics on SMS performance
When to use SMS vs. MMS
SMS vs. OTT apps
Let’s dive in!
What is an SMS?
An SMS (Short Message Service) is a standardized communication protocol that allows the exchange of short text messages between mobile devices. Commonly known as text messaging, SMS is widely used for personal and business communications. SMS allows users to send and receive text-only messages of up to 160 characters with anyone on a cellular network. Because SMS operates over cellular networks, it ensures broad accessibility and reliability.
The value of SMS is its simplicity and reliability. SMS is universally supported by every mobile device and cellular network in the world. To send a text, all you need is a cellular plan and someone’s phone number.
SMS does not support multimedia content such as images and videos. Though you can’t directly add media to an SMS, you can include links to external media. Businesses use SMS to send short text-based communications, such as alerts, notifications, and reminders, to customers.
A brief history of SMS
SMS is a messaging protocol created in 1984 by two German engineers, Friedhelm Hillebrand and Bernard Ghillebaert. It was standardized into the Global System for Mobile Communications (GSM) Protocol in 1985, then codified into the Short Message Peer-to-Peer Signaling (SMPP) Protocol as the default way to send a text message. In 1992, Vodafone in the UK sent the first-ever retail SMS. As of 2021, over 21 trillion SMS messages were sent globally.
What is MMS messaging?
An MMS (Multimedia Messaging Service) is a communication protocol that enables the transmission of multimedia content, such as images, audio, video, and text, between mobile devices. Unlike SMS, which is limited to text, MMS supports a broader range of media types and allows for longer messages. Built upon the SMS protocol, MMS operates over cellular networks, leveraging data services to deliver rich media content. MMS supports up to 1,600 characters of text.
The MMS standard was ratified into the GSM Protocol in 1999. Unlike SMS, which uses a store-and-forward mechanism over cellular networks, MMS messages are typically transmitted via mobile data networks of cellular providers.
So, what is MMS messaging for businesses? For businesses, MMS messaging is a way to enhance the SMS experience with rich media, location sharing, and more words, helping to increase engagement and returns, but at a higher price per message.
SMS vs. MMS: 6 key differences
What’s the difference between SMS vs. MMS? Let’s compare their cost to send, character limits, and the types of content they support.
In a nutshell, here are the differences between SMS vs. MMS.
SMS | MMS | |
Stands for | Short Messaging Service | Multimedia Messaging Service |
Images/media | Appear as links | Appear directly in the message |
Maximum length | 160 characters | 1,600 characters |
File size | ~1kb | 300kb-5MB (provider depending) |
Price to send | $.009085 per (cheaper for bulk) | 3x SMS price per (cheaper for bulk) |
User experience | Part of the typical user experience | Enhances user experience with multimedia |
Device dependencies | None. The most basic cell phone is built SMS-ready | MMS must be enabled on mobile devices to send/receive |
Now let’s look at SMS vs. MMS in more detail.
Content type
SMS: SMS (Short Message Service) is restricted to text-only messages with a character limit of 160 characters per message. This makes it suitable for brief and straightforward communications such as appointment reminders, verification codes, and quick updates.
MMS: MMS (Multimedia Messaging Service) supports a variety of multimedia content, including images, audio, video, and longer text messages. This allows for richer and more engaging communications, such as sending promotional images, video tutorials, or detailed product descriptions.
Message size
SMS: The small data size of SMS messages (160 characters) ensures quick transmission and delivery, but limits the amount of information that can be conveyed in a single message. For longer messages, multiple SMS (concatenated SMS) are sent, which may increase costs.
MMS: MMS messages can carry much larger data payloads, enabling the inclusion of rich media files. This allows businesses to share visually compelling content, such as high-resolution images, audio clips, and video messages, enhancing the overall message impact.
Cost
SMS: Generally, SMS messages are cheaper to send and receive than MMS, making them a cost-effective option for businesses needing to communicate frequently with customers. The low cost per message is ideal for high-volume messaging campaigns, like alerts and notifications.
MMS: Sending MMS messages is typically more expensive due to the larger amount of data transmitted. The higher costs are justified by the enhanced capability to send multimedia content, which can be more effective in capturing the audience's attention and conveying complex messages.
Use cases
SMS: SMS is ideal for simple, short, and urgent messages such as reminders, alerts, confirmations, and two-factor authentication codes. Its simplicity and immediacy make it suitable for transactional and time-sensitive communications.
MMS: MMS is better suited for more engaging and visually appealing content, such as promotional offers, product demonstrations, event invitations, and newsletters. The ability to include images, videos, and audio makes MMS a powerful tool for marketing and branding efforts.
Network requirements
SMS: SMS operates over the cellular network's control channel, ensuring message delivery even in areas with limited data coverage. This reliability makes SMS an excellent choice for critical communications in various geographic locations.
MMS: MMS requires a data connection (cellular data or Wi-Fi) to send and receive multimedia content. This dependency on data networks can limit accessibility in areas with poor data coverage, potentially affecting the delivery and receipt of messages.
Engagement potential
SMS: SMS messages have high open and response rates due to their concise nature and immediacy. However, the lack of visual elements limits the potential for engaging visuals, making SMS more suitable for straightforward and direct communication.
MMS: MMS offers higher engagement potential through the use of images, videos, and audio, making it more effective for marketing and brand communication. The rich media content in MMS can capture attention more effectively, enhancing the impact of promotional campaigns and customer interactions.
Remember that MMS messaging costs more than SMS
Depending on your cellular provider, MMS messages can cost three times more to send than SMS messages. This is because MMS messages contain multimedia and are transmitted over a cellular data connection.
In North America, cell providers offer unlimited texting plans that allow users to send and receive MMS (and SMS) messages free of charge. However, cell carriers outside of North America may not offer unlimited texting and charge extra for MMS data.
As a result, free-to-use OTT apps like WhatsApp and WeChat have largely replaced MMS and SMS in many global regions. Users in these areas may not have MMS data activated on their phones, making MMS marketing ineffective.
That said, SMS remains the standard way to text in North America, with an estimated 8 in 10 people in the US using SMS daily. In turn, SMS remains a key communication channel for North American businesses, as well as global enterprises.
The benefits of SMS for business
As we spend more time on our devices, much of that time is spent texting. According to Statista, in 2021, over 2 trillion SMS and MMS messages were sent in the United States alone.
OTT apps have seen wide adoption in recent years, making MMS less effective in many global regions and less researched as a result. Meanwhile, SMS continues to rank as a top-performing channel in omnichannel strategies and campaigns.
With over 20 years of user history, SMS is a trusted technology. Most users want to communicate with a business via SMS because it gives them quick access to concise, valuable information. Here are the top benefits of SMS notifications.
1. Effectiveness: The numbers speak for themselves when it comes to the effectiveness of SMS:
53% of marketers say SMS offers higher click-through rates than other channels (eMarketer)
86% of businesses say that SMS provides a higher rate of engagement than other channels (SmallBizTrends)
93% of consumers say that SMS is a “trusted communications environment” (CTIA, 2019 Mobile Usage Report: How Consumers Are Really Texting)
2. Popularity
54% of consumers say they want to receive marketing promotions via SMS (SmallBizTrends)
66% of consumers say they use SMS to engage with businesses (eMarketer)
93% of global customers have signed up for an SMS program with a business (Attentive)
3. High open rates: SMS messages boast an exceptionally high open rate at 98%. This means that nearly all recipients open the messages, increasing the likelihood that the information reaches its intended audience promptly and effectively.
4. Immediate delivery: SMS messages are delivered almost instantaneously, making them ideal for time-sensitive communications. Businesses can quickly inform customers about promotions, reminders, or urgent updates, enhancing responsiveness.
5. Wide reach: SMS can reach a broad audience, including individuals without smartphones or internet access. This ensures inclusivity, allowing businesses to communicate with a diverse customer base regardless of their technological capabilities.
6. High engagement: SMS messages typically receive quick responses, often within minutes of being read. This high level of engagement makes SMS an effective tool for fostering prompt customer interaction and driving immediate actions.
7. Personalization: Businesses can tailor SMS messages to individual customers based on their preferences, behavior, or past interactions. Personalized messages enhance the customer experience by making communications more relevant and engaging.
9. Convenience: Recipients can read and respond to SMS messages at their convenience, making it a flexible and user-friendly communication channel. This convenience increases customer satisfaction and the likelihood of positive responses.
10. Trackability: SMS campaigns, especially if sent via an SMS API, offer trackable metrics such as delivery rates, open rates, and response rates. These metrics provide valuable insights into customer engagement and campaign effectiveness, helping businesses refine their strategies.
11. Integration: SMS can be easily integrated with other marketing channels and customer relationship management (CRM) systems. This integration enhances the overall marketing strategy by creating a seamless and cohesive customer communication experience.
12. Reliability: SMS operates over established cellular networks, ensuring consistent and reliable message delivery. Unlike email, which can be affected by spam filters or internet issues, SMS reliably reaches recipients’ mobile devices.
When to send SMS vs. MMS messages
If you’re wondering, “Should I use SMS or MMS?”, this section explains the use cases for SMS and MMS. Given their distinct uses, many businesses opt for a mix of SMS and MMS for their mobile marketing and communications.
For over 20 years, businesses have relied on SMS and MMS as channels to quickly and reliably connect with users, but in different ways. SMS is used like a post-it note, and MMS is more like a postcard.
The table below summarizes when you should send SMS vs. MMS messages.
SMS | MMS |
Quick, concise bits of information, such as alerts | Grab attention with visual content and drive engagement |
Quick, cost-effective communication | Longer, more resource-intensive communication |
Example: Order tracking updates | Example: Marketing campaign |
When to use SMS messages
SMS is ideal for sending quick, concise bits of information such as alerts, notifications, and updates.
Say you’re an eCommerce business that wants to send an SMS notification to customers about their order shipping. At 160 characters max, an effective SMS will be short, sweet, and contain a link to the order tracking page.
When to use MMS messages
MMS is best if you want to grab attention with visual content and drive engagement, such as for marketing campaigns.
For example, say your ecommerce brand is promoting its new spring collection. With MMS messaging, you can enhance your messaging experience with custom, branded content such as images, videos, and GIFs that showcase your products. Moreover, you’ve got up to 1,600 characters to drive action!
Business use cases for SMS notifications
SMS lets you quickly and reliably deliver essential information with high visibility and engagement. Here are some ways businesses can use SMS notifications.
Appointment reminders and confirmations
Order status updates and confirmations
Shipping and tracking information
Loyalty program updates
Announcements and policy changes
Emergency alerts
Account updates, security resets
Two-factor authentication (2FA)
Polls and surveys
Promotional offers and marketing campaigns
Text-to-join campaigns
Internal communications
Business use cases for MMS messaging
When engagement and conversions matter, as with marketing campaigns or high-value content, MMS is the way to go. Here are some ways businesses can leverage MMS messaging.
Promotional offers, discounts, and coupons
Branding and awareness campaigns
Abandoned cart reminders
Restock notifications
Event promotions and invites
Customer support with shared assets
Feedback collection and surveys
Training and education multimedia content
Birthday messages for customer loyalty programs
SMS vs. OTT messaging apps
How does SMS differ from WhatsApp, iMessage, and other OTT apps?
The key difference is that OTT apps use internet protocols instead of mobile networks to transmit messages. As a result, OTT apps are free to use but require both the sender and recipient to have internet connectivity to communicate.
Similarly, OTT apps require both the sender and recipient to have downloaded the same app. For example, you can’t send a WhatsApp message to somebody who only uses WeChat. By contrast, SMS is a universal technology supported by every mobile device and network in the world. This has made SMS, and first-party mobile apps with embedded SMS capabilities, a popular mobile business channel for reaching users instantly, without requiring any app downloads or third-party risk.
OTT apps are preferred to MMS for multimedia file sharing, as they don’t have limitations on file sizes. They may also offer features like group messaging, audio and video calling, which MMS may not provide.
Though third-party OTT apps are free and convenient, they do have a few downsides to keep in mind.
Limited compliance features: OTT apps often put user experience over business needs to drive growth. This means you may lack compliance features to meet regulatory requirements, like encryption standards or message retention policies, leaving you at risk of legal consequences for non-compliance.
Brand dilution: Third-party apps offer limited customization options, leaving you little to no control over the in-app experience. This makes it difficult to maintain brand consistency and customer experience in your messaging experience.
No control over infrastructure and storage: OTT apps rely on their parent companies for infrastructure and storage. Any outages and data breaches can derail your ability to communicate effectively, reliably, and securely.
Archive issues: OTT apps can lack robust tools for archiving, searching, and retrieving past communications. This can hinder productivity, business insights, and efforts to access and maintain records for compliance, legal, or internal reasons.
Reliance on third parties: Service disruptions, terms of service changes, or app discontinuation are cases where relying on a third-party app can incur losses in productivity and revenue.
Security risks: Third-party apps claim to be private and secure, but they may not be because they’re on public networks. Without added encryption, messages can be hacked or intercepted. If the app shares data with its parent company or other apps, a common practice, you risk exposing customer or business data in a data breach.
Third-party OTT apps can extend your reach with global users, but it’s important to consider the potential risks surrounding data privacy, security, and reliability as they may lack key business features for branding, data security, and privacy protections.
SMS as part of omnichannel messaging
An omnichannel messaging strategy allows businesses to send information, updates, and alerts via customers’ preferred channels. A study found that businesses with an omnichannel messaging experience achieve a 91% higher customer retention rate compared to businesses without an omnichannel strategy. Omnichannel marketing has a 250% higher purchase rate compared to campaigns using only a single channel.
As we have seen, businesses use SMS notifications to engage users at key steps in the customer journey with concise, effective mobile messages. To enhance communications and drive engagement, your business should consider adding SMS capabilities as part of an omnichannel messaging strategy. As a globally trusted channel, SMS adds more reach, exceptional open rates, and high levels of engagement to a mobile app experience, without the risks of OTT messaging.
To add SMS as a preferred channel to your omnichannel messaging strategy, consider using Sendbird’s SMS API. With a reliable and secure SMS API, you can reach a broader audience, ensure immediate delivery, and enhance reach to audiences who may not have downloaded your app. Sendbird’s SMS solution is perfect for developers and for those who don’t code; through the Sendbird dashboard, everyone can quickly send tailored SMS messages via a campaign template builder and analyze performance through analytics.
In addition, in the Sendbird analytics dashboard, you can launch and monitor various personalized omnichannel SMS campaigns in one place.
Send SMS notifications through a campaign builder
Use the campaign builder to create personalized campaigns for time-sensitive SMS notifications and alerts. Set up SMS campaigns as part of a holistic omnichannel messaging strategy.
Custom variables
Set up custom variables, such as recipient’s name, merchant name, and URLs.
Logs, analytics, and user insights
After you start sending SMS campaigns, you’ll be able to track metrics, user insights, and KPIs. Then, you can optimize campaigns with clear data and insights.
Drive growth and reduce costs with omnichannel business messaging
Take your SMS and MMS messaging strategy to the next level with Sendbird Business Messaging
With their high delivery and open rates, SMS notifications are a proven channel on which to send important business messages. If you want to take business messaging a step further and be where your customers are, consider leveraging an omnichannel messaging strategy. With omnichannel messaging, you can streamline customer messaging on mobile through multiple channels like in-app notifications, push notifications, and WhatsApp, for all teams involved.
It’s important to remember that channel sequencing is an important part of your overall omnichannel messaging strategy. Channel sequencing allows businesses to effectively leverage the other channels mentioned above, such as in-app notifications and WhatsApp, to reach customers through their preferred channels.
To help you easily integrate SMS into your omnichannel messaging experience, Sendbird offers an SMS API. Built to deliver reliable, secure, and scalable SMS campaigns, our developer-friendly SMS API and SDKs (Software Development Kits) ensure the best SMS experience for your customers. Companies like Miso have used Business Messaging, including our SMS API, to reduce costs by 43%.
Want to incorporate SMS as part of your omnichannel messaging strategy? Start a free trial or contact us to learn more!
Frequently Asked Questions (FAQs)
1. Does SMS support emojis and other characters?
Yes. If an SMS contains an emoji or special character, it’s encoded with Unicode instead of the UCS-2 character encoding typically used for the standard GSM character set. However, this reduces the message character count from 160 to 70 characters.
2. SMS vs. text: what’s the difference?
In casual parlance, SMS and text are used interchangeably. In the early days of cell phones, it was common to say you were SMSing. Decades later, informal language has replaced the technical term. However, in parts of Europe, you may still hear people say, ‘Send me an SMS.’
Some people may refer to ‘text’ as an umbrella term covering SMS and MMS.
3. Why the 160-character limit?
SMS technology was first developed to fit within the signaling space in the control channel of the GSM network. The original design allowed 140 bytes of content, and 160 characters was the maximum length possible with the 7-bit encoding scheme used for text messaging.
4. What if my SMS is longer than 160 characters?
SMS messages that exceed 160 characters are automatically split into multiple “segments,” sent individually, then re-assembled into one message when they’re received. This is called message concatenation. An SMS can be split into six parts maximum. Depending on the carrier, sending a long SMS may result in sending an MMS, which would increase the cost per message sent.
Number of SMS parts | Number of characters in the linked message |
1 | 160 |
2 | 306 |
3 | 459 |
4 | 612 |
5 | 765 |
6 | 918 |
5. What is the character limit for MMS?
MMS messages don’t have a standard character limit, but 1,600 is typical. While the maximum size depends on the carrier and the device receiving the MMS message, 300 KB is often the largest size cellular carriers will handle.
6. Does it cost more to send an MMS?
Yes, since MMS requires more work to encode and deliver a message, the associated cost is higher than SMS messages.
7. Are MMS always delivered?
MMS can only be delivered to mobile devices that have MMS enabled in the settings, as downloading MMS requires additional data and can incur costs.
8. What multimedia can I send with MMS?
You can send:
Video
Images
GIFs
Audio files
Phone contacts
