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How an SMS Ordering System Works

Discover how SMS ordering systems streamline the customer experience, reduce friction, and drive more efficient sales.

Ready to bring your business into the modern age? It may be time to explore SMS ordering. These software programs allow your business to receive customer orders via text message for straightforward and fast ordering, boosting repeat purchases and customer satisfaction.

Another perk of SMS ordering: once you've received a text order, you can add your customer to your text marketing campaigns, which offer remarkably high open rates and conversion rates at a low cost.

Ready to explore the world of SMS ordering? Read on to learn all about these platforms, how they work, and tips for optimal setup.

What is an SMS ordering system?

SMS ordering software is a system that lets customers place an order via text message. These types of ordering systems can be useful at restaurants, in retail settings, for delivery services, and for appointment-based businesses. A simple text message allows customers to transact with your business and enables you to make a sale.

How the SMS ordering process works step by step

Interested in learning how this process works? Read on for a step-by-step breakdown of ordering via SMS.

Customer initiates the order

SMS orders begin when a customer initiates the order. Depending on your setup, customers can either text a shortcode, a 5- or 6-digit phone number through which your business receives text messages, or your dedicated texting phone number.

If your menu or selection is complex, it can be helpful to set up a trigger word that informs your system that a customer would like to place an order. If you have a straightforward setup, you can simply allow customers to initiate the conversation and send their order in the same message.

System receives and interprets the message

Once your system receives the order, it gets to work on interpreting the message. In the case of a more complex offering, you can set up your ordering system to send a menu in response or walk your customer through your product selection. System messages may be set up via automated response templates, or you can employ AI technology for more tailored responses.

Customer confirms details

Whatever your setup, the last step for your customer is to confirm their order. They'll need to finalize details like quantity, pickup or delivery preferences, location, and payment. This can either happen via text message, or you may choose to send customers to a secure form to complete the sale.

Business receives the order

Once the order is complete, your text ordering software will communicate it to your internal ordering system, like a dashboard or POS system. That way, either your staff can process the order, or it can simply be automatically routed.

Order is fulfilled and confirmed

Now that your standard system has received the order, it's time to fulfill. Restaurants can prepare the order, retail businesses can fulfill the order, and more. During this time, your text system will send your customer to-the-minute updates on their order via phone, including order status, delivery ETA, and a receipt or payment confirmation once the order is complete.

Key features of SMS ordering systems

These text message ordering systems offer a number of key features that make them advantageous to all kinds of businesses:

  • Two-way messaging capabilities: Unlike an online order system, one done via text allows for two-way conversations that mimic traditional, face-to-face or phone ordering and allows for a more personalized experience.
  • Integration with menus, inventory, or appointment booking: Many platforms offer seamless integration with your existing systems, like menu systems, inventory systems, or booking platforms.
  • Automation for responses, confirmations, and reminders: Although they give a personalized experience, these systems are completely automated, keeping your customer informed without manual work.
  • Payment integration: Whether you prefer payment at the time of ordering or upon pickup or delivery, a text ordering system can integrate with your existing payment methods.
  • CRM and segmentation options for future marketing: Customers who order via SMS opt in to SMS communications. As you collect phone numbers, they can be added to your CRM for future marketing opportunities, like texting offers or promotions.

Benefits of using an SMS service

There are plenty of reasons to enable ordering via SMS messages. Here are just a few:

Fast and convenient for customers

In a world where an online order can be delivered in hours, it's essential to offer customers fast and convenient ways to transact with your business. SMS ordering is extremely simple and can be done in just a few minutes, boosting customer satisfaction and encouraging repeat business.

Higher open and response rates

SMS messages have some of the highest open and response rates of any form of communication. Orders can be placed quickly and efficiently, and abandoned order rates via text message tend to be low.

Reduced friction in the ordering process

No one likes a hassle. SMS ordering prevents friction in the ordering process, like being placed on hold during a phone call or fighting traffic to reach your store.

Lower costs than apps or call centers

SMS messaging is a low-cost solution as compared to delivery mobile apps or call centers. There's no need to employ additional people in order to get these systems up and running.

Creates marketing opportunities

To place an order via text message, a customer has to opt-in to receiving text messages from you. That means allowing text message ordering enables you to include their phone number in future SMS marketing, which has high deliverability and engagement rates.

You can create an SMS marketing campaign to follow up with offers, product updates, or appointment reminders. You can also build loyalty with SMS-exclusive deals to customers who order via text.

SMS marketing use cases

Text message ordering systems can be useful in a range of different settings. Here are just a few examples:

  • Restaurants and food delivery: Enable customers to place lunch orders or dinner delivery without ever needing to place a phone call.
  • Retail and e-commerce: Add text message ordering to your virtual ordering capabilities. For even greater ease, add curbside pickup.
  • Pharmacies and healthcare: In pharmacy settings, text order systems can be used to send order details or refill prescriptions. In healthcare, you can enable customers to make, reschedule, or cancel appointments via text, as well as receive SMS reminders for upcoming appointments.
  • Service-based businesses: Whether you run a hair salon, nail studio, personal training service, or any other service-based business, SMS ordering can be a great way to boost your appointments.

Challenges and considerations

Like any software, text message ordering has its challenges. Consider these factors when enabling these types of systems:

Message character limits and formatting constraints

Some phones have strict character limitations of 160 characters, so you'll need to keep your messaging concise. If your ordering or scheduling requires detailed or complex information, text message ordering may not be the best solution.

Need for real-time responsiveness and staff coordination

While ordering happens via text rather than phone call, there will need to be humans coordinating the fulfillment on the other end. Ensure your staff has the capacity to receive order details via this channel and the training to fulfill them.

Data privacy and TCPA compliance

Any text message communication needs to follow regulations surrounding customer data privacy and TCPA compliance. Customers must opt in to receive messages from your business and receive clear instructions on how to opt out.

Scalability for high-volume businesses

The bigger your business is, the more orders you can expect to receive via text. This can lead to some complexities.

Integrate SMS ordering and streamline the customer journey

Text message ordering can be an easy way to encourage orders, boost repeat business, and turn one-time purchasers into loyal customers. It's quick, simple, and offers a straightforward user interface that's compatible with nearly every cell phone.

Better yet, once a customer texts to order, you have permission to add them to your SMS marketing list, enabling future communications with a high open rate and conversion rate.

For a platform that integrates with all leading SMS ordering software and unites many of your marketing tools under a single roof, meet Mailchimp. Our leading CRM combines email and text with social media capabilities and more. Get started today.


Key Takeaways

  • Text message ordering systems enable your business to receive orders and schedule appointments via text.
  • Benefits of text order platforms include convenience, less friction in the order process, and lower costs for your business.
  • Once a customer opts into text ordering, you can add them to your SMS marketing list for future text marketing campaigns.
  • Be sure to follow all data privacy and TCPA compliance requirements when allowing for text ordering.

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