Capturing a consumer's attention and driving meaningful engagement can be a challenging task. However, by simply leveraging data-driven strategies you can significantly enhance the effectiveness of your organization’s text messaging campaigns.

We've analyzed over 400 million consumer finance conversations, so we know what works and what doesn't. Here are five best practices to elevate your bill pay messaging success, ensuring higher response rates, reduced spam reports, improved engagement, and increased click-through rates.

Download the full report here.

1. Double your response rate  

To significantly boost your response rates, personalize your messages by including the consumer’s name and the amount of funds owed.  

Research shows that businesses incorporating account details in their text campaigns doubled their response rates.   

This approach gives the message a personal touch, making it feel tailored to the recipient and increasing the likelihood of engagement.  

2. Slash your spam rate by 25%

Spam reports can severely hinder your messaging campaign's effectiveness. To minimize these, use short, branded URLs in your text messages.  

This strategy has been shown to reduce spam reports by 25%.  

Short URLs ensure your messages reach their intended audience without being flagged.  

3. Boost engagement rates by 1.5x

Engagement is key for the success of any messaging campaign, and particularly impactful for bill pay campaigns, where action is needed from the consumer.

By incorporating phrases like ‘lower payments’ or ‘payment plan’ in your campaigns, you can boost engagement by up to 150%.  

Consumers are often looking for solutions and options. Speaking their language and addressing their concerns directly encourages higher response rates and deeper engagement with your message.

4) Increase click-through rates (CTR)

Timing is crucial in bill pay messaging.

Sending text campaigns within a 3-day range of a pay period can triple your click-through rates (CTR).  

Catching borrowers when they have funds available and are more inclined to act can make a significant difference. By aligning your messaging with common pay periods, you enhance the likelihood that recipients will not only read, but act on your message.

5) Improve campaign effectiveness by knowing your audience

It’s no surprise that not all consumers react to campaigns in the same way. Tailoring your approach based on audience insights can significantly improve the effectiveness of your campaigns.

In fact, our insights reveal that borrowers with a median annual income below $60K have an unsubscribe rate that is three times higher than average.

This indicates a clear need for a more targeted and considerate approach when engaging this demographic to reduce churn and increase engagement.

Geographic location also plays a crucial role. New York has the lowest response rate, coming in at less than 1%. This suggests that campaigns need to be particularly creative and compelling to capture the attention of New Yorkers.

Increase payments with the right strategies

By adopting these best practices, you can transform your bill pay messaging strategy, resulting in increased engagement and improved financial results. The statistics we've presented emphasize the significance of a data-driven approach and demonstrate how leveraging AI insights can enhance and optimize your communications.  

Implementing these five best practice strategies guarantees that your campaigns are not only effective, but also customized to meet your customers' specific needs. This leads to better relationships and more successful repayment efforts.  

Learn more about Solutions by Text’s Partnership with Prodigal here.    

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