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How to Approach SMS Marketing in Australia

Explore our practical guide to SMS marketing in Australia, including the rules to know, the mistakes to avoid, and how to send more effective messages.

Key takeaways

  • Some of the biggest benefits of SMS marketing are speed, visibility, and relevance. It gives brands a direct way to reach opted-in customers with messages that are easy to act on.
  • SMS marketing in Australia is governed by the Spam Act 2003 and ACMA guidance, so consent, sender identification, and unsubscribe options are non-negotiable.
  • Mobile reach is strong in Australia, with 34.4 million active cellular mobile connections recorded in early 2025.
  • ACMA research found that 40% of Australian SME e-marketers send direct marketing by SMS, showing that the channel is already part of the local marketing mix.
  • Strong SMS programs focus on automation, respectful timing, and concise copy that feels helpful rather than intrusive.

How does SMS marketing work in Australia?

SMS marketing in Australia is an opt-in channel that lets brands send short, direct messages to subscribed customers on their mobile phones. In practice, that means businesses can use SMS for promotions, order updates, and two-way conversations—but only where they have the right consent and follow the rules set out under the Spam Act 2003 and ACMA guidance. Those rules are clear, and businesses must:

  • Have consent before sending commercial messages
  • Identify their business in the SMS
  • Include a functional way to unsubscribe in every message

ACMA also states that marketers must be able to produce evidence of consent if asked. That means no cold SMS outreach and no vague assumptions about permission.

One of the main benefits of SMS marketing is that it gives brands a more direct, timely way to communicate. DataReportal reports 34.4 million active cellular mobile connections in Australia in early 2025, equal to 128% of the population. ACMA research also found that 40% of SME e-marketers send direct marketing via SMS, which shows the channel already has practical adoption among Australian businesses.

What are the types of SMS marketing? 

SMS marketing usually falls into three core categories: promotional, transactional, and conversational.

  • Promotional messaging: This includes offers, launches, limited-time campaigns, and product drops.
  • Transactional messaging: This includes updates tied to a customer action, such as order confirmations, shipping alerts, booking reminders, or account notices.
  • Conversational messaging: This is where brands invite a reply and use SMS as a two-way service or sales channel. 

Across all 3, SMS is an opt-in, direct, and brand-controlled channel—the business chooses the message, timing, audience, and follow-up, while the customer still controls whether that communication continues.

Getting SMS marketing right in Australia 

Effective SMS marketing in Australia means treating it as a high-trust channel. It requires more than a short message—compliance, relevance, and a clear role within your wider marketing mix.

1. Start with compliance first

Before you think about messaging, automation, or conversion, start with the rules. ACMA says businesses sending marketing SMS must have consent, identify themselves clearly, and include an unsubscribe function that is easy to use. The unsubscribe request must be actioned within 5 business days, and the opt-out pathway must work for at least 30 days after the message is sent. This is the baseline for email compliance, too—if a customer cannot easily understand who is contacting them and how to stop future messages, the program is not built properly.

  • Use express consent wherever possible
  • Keep clear records of when and how consent was collected
  • Identify your business in every commercial SMS
  • Include a simple opt-out, such as STOP
  • Make sure opt-outs are processed within 5 business days
  • Review current ACMA guidance before launch

2. Be intentional about your SMS strategy

Email can carry richer storytelling, more detail, and more content variety, while SMS works better as a trigger, prompt, or accelerator. It is often strongest when it nudges action at a high-intent moment rather than trying to carry the full campaign on its own. That is why good programs pair short, urgent texts with broader journeys and SMS marketing strategies that define exactly when the channel should step in.

  • Use SMS to support moments of urgency or immediacy
  • Lead with one action, one message, and one CTA
  • Avoid squeezing a whole campaign into 160 characters
  • Let email or landing pages carry the heavier detail
  • Reserve SMS for moments that benefit from speed

3. Build a quality opt-in list

The value of an SMS list is not size alone—it is permission quality. A smaller list of people who clearly understand what they signed up for will almost always outperform a larger, weaker list. This is especially important for small businesses that are trying to build trust early and cannot afford unsubscribes driven by confusion.

  • Explain what subscribers are opting in to
  • Offer a clear reason to sign up, such as early access or useful updates
  • Set expectations on frequency from the start
  • Avoid pre-ticked boxes or unclear language
  • Clean your list regularly and remove stale contacts

4. Focus on audience segmentation 

Mass SMS sendouts are rarely the smartest option. Because SMS is such a direct channel, relevance matters even more. Segment your audience by:

  • Purchase frequency
  • Average order value
  • Recent purchase activity
  • Lifecycle stage (for example, first-time customer or loyal fan)
  • Engagement level
  • Product interest
  • Location

With accurate and up-to-date segmentation, you can match content to customer behaviour, not just demographic data. That makes messages feel useful instead of invasive, and it helps reduce unsubscribes.

5. Keep your messaging concise 

Strong SMS copy respects the format. That means one clear message per send, phrased in a way that feels human, brand-aligned, and useful. In Australia, generic or overly automated copy can feel especially impersonal. AI can speed up ideation, but human judgement should shape the final message so the tone feels credible.

  • Stick to one message and one action per SMS
  • Put the key value up front
  • Keep language clear, natural, and specific
  • Avoid spam signals like all caps, cluttered punctuation, or overhyped claims

6. Get your timing and frequency right

Timing can shape how your messages are received. Send messages in local business hours where possible, and make sure the timing fits the message itself. A reminder or lunchtime offer should arrive when it makes sense for the customer. It also helps to keep frequency in check,

  • Send in local time zones
  • Stay close to business hours for promotional texts
  • Match send time to message intent
  • Start with a restrained cadence, such as 2-6 marketing messages per month
  • Increase frequency only when performance and subscriber feedback support it

For more info, explore our guide to SMS marketing best practices.

7. Use automation when you can 

Automation can take pressure off your team while helping SMS marketing arrive at the right moment. It is most effective when used for trigger-based sends, such as order updates, reminders, abandoned cart follow-ups, and post-purchase check-ins. 

  •  Use automation for messages triggered by customer actions or key moments
  • Review each trigger, delay, and message before it goes live
  • Keep transactional and promotional journeys clearly separated
  • Remove customers from a flow once the message no longer applies
  • Track clicks, replies, and conversions to keep improving over time

SMS marketing examples 

The most effective messages are the ones that arrive at the right moment with a clear purpose. Here are 2 examples of how brands can put that into action.

Abandoned cart for fashion retail

An abandoned cart SMS sequence is designed to bring the customer back while the purchase intent is still warm. The message should feel like a helpful reminder, not a hard sell.

Examples:

  • You left something behind at [Brand]. Complete your order here: [link]. Reply STOP to opt out.
  • Still thinking it over? Your cart is waiting at [Brand]: [link]. Reply STOP to opt out.
  • A quick reminder from [Brand]—your cart is still saved. Check out now: [link]. Reply STOP to opt out.

Post-purchase follow-up for skincare

A post-purchase SMS sequence helps reinforce trust after the sale. It can confirm value, offer support, and strengthen the relationship with the brand.

Examples:

  • Thanks for your order from [Brand]. We’re getting it ready now and will send tracking soon. Reply STOP to opt out.
  • Your order from [Brand] is on the way. Track it here: [link]. Reply STOP to opt out.
  • Your order should have arrived by now. Need a hand? Reply here and we’ll help. Reply STOP to opt out.

Best practice SMS marketing tips

Successful SMS programs are built into your marketing process, not treated as one-off sends. Here are a few habits that can help strengthen your approach from the start:

  • Avoid sending promotional messages late at night
  • Keep opt-in records organised and easy to access, as you may need to retain them for several years to comply with the Spam Act 2003
  • Make the signup process clear and easy to understand 
  • Segment by location so timing and messaging feel more relevant
  • Measure performance across delivery, clicks, replies, conversions, and opt-outs
  • Connect SMS with your ecommerce tools and integrations, such as Shopify
  • Set one clear goal for each campaign, whether that’s opt-ins, clicks, or sales
  • Test send frequency gradually, then adjust based on performance
  • Build SMS into your wider marketing journeys, rather than using it on its own
  • Revisit compliance regularly, including local privacy expectations, the Privacy and data protection act (once live), and Australian consumer laws (once live)

With Intuit Mailchimp, marketers can bring SMS, email, automation, and reporting together in one place—making it easier to build connected journeys.

Frequently asked questions

  • SMS marketing is a way for businesses to send text messages to customers who have opted in. In Australia, it must follow the Spam Act 2003, which means getting consent, clearly identifying your business, and including an easy way to opt out.

  • The best SMS marketing platforms help small businesses do more than send texts. Look for tools that support compliance, audience segmentation, automation, reporting, and integrations with the rest of your marketing stack. For many brands, the best fit is a platform like Mailchimp that connects SMS with email and customer journeys in one place.

  • SMS marketing can help businesses reach customers quickly with messages that feel timely and relevant. It works well for reminders, offers, updates, and follow-ups—especially when used as part of a broader marketing strategy.

  • ACMA enforces the rules around commercial SMS in Australia. Businesses need consent before sending marketing messages, must clearly identify themselves, and need to include a working unsubscribe option in every message.

  • Start with a clear signup experience. Let people know what they are signing up for, what kind of messages they will receive, and how often they can expect to hear from you. A smaller list with clear consent is more valuable than a larger list built on weak opt-ins.

  • Whether SMS or email is better depends on the message. SMS is better for quick, high-intent communication, while email gives you more space for detail, storytelling, and richer content. For most businesses, the best approach is to use both together.

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