When running text message campaigns at scale, using a regular phone number comes with serious limitations.
Cellular carriers restrict how many messages you can send from standard numbers, and customers have no way to recognize who's texting them. SMS short codes fix both problems.
A short code is a five or six-digit number designed specifically for high-volume text campaigns. These shortened digits create instant brand recognition and let you message thousands of customers without hitting carrier restrictions.
The investment in short code pays off through better delivery rates and customer response. Wireless carriers treat short codes differently, giving them priority delivery and less filtering.
While there's a monthly cost involved, businesses often see stronger returns compared to other marketing channels with similar price points.
In this article, we'll go over how to get an SMS short code, how SMS marketing can benefit your business, and more. Continue reading to learn how to use SMS short codes to engage with more customers and improve your brand awareness.
What are SMS short codes?
An SMS short code is a five or six-digit number that businesses use to market via SMS text messaging to their customers. Messages can be sent by either Multimedia Messaging System (MMS) or Short Message Service (SMS) systems through all mobile networks.
The advantage of using a short code for text message marketing is that mobile carriers don't filter them in the same way they do 1-800 numbers. Carriers have pre-approved short code messages, meaning most of the messages sent are delivered to customers who have opted in to receive them.
The customer consents to receive text messages from a business by typing the code into their text messaging app, then responding to the acceptance message. The business can send SMS and MMS messages once the customer gives permission and send various communications to the customer to attract their attention.
Short codes aren't the only type of SMS codes businesses use. Other codes you might use with SMS are:
SMS verification codes
SMS verification codes are the temporary one-time codes you receive when logging into an account or confirming your identity through two-factor authentication.
While these codes may sometimes come from a short code or temporary phone number, they serve a completely different purpose. Verification codes are transactional security measures designed to authenticate users, not marketing tools designed to promote products or send promotional content to your mobile device.
SMS long codes
An SMS long code is a regular 10-digit mobile number that businesses can use for customer service interactions, voice calls, and text messaging.
The main difference is volume and purpose. Long codes have strict daily sending limits and work best for two-way conversations with customers. Short codes, on the other hand, are built specifically for high-volume marketing campaigns.
Your SMS provider will help you choose the right service based on whether you need a toll-free number for mixed communication or a short code for promotional messaging.
Types of SMS short codes
Not all short codes work the same way. Depending on your budget, brand goals, and marketing needs, you can choose from different options that offer varying levels of customization and cost.
Some businesses prefer memorable codes that align with their brand, while others opt for more affordable random codes. Here are the four main types of short codes you'll encounter:
Shared short codes
Shared short codes consist of a five to six-digit number that is shared by multiple businesses. However, in February 2023, US and Canadian mobile carriers announced they are phasing out shared short codes.
The major reason for this decision is the issues that come from multiple businesses using the same shared codes. For example, a subscriber who opts out of receiving shared short code messages for one business effectively unsubscribes themselves from all the businesses that use the same shared short code.
Vanity short codes
Vanity short codes are your own dedicated short code that you pick to reflect your brand or relate in some way to your business or product that you sell.
This type of code is more expensive because you're selecting a specific short code and may be taking a short code that other businesses desire. One example of a vanity short code is Target's 827438 short code. The six numbers spell out TARGET on the phone's keypad.
Dedicated short codes
A dedicated SMS short code is similar to that of a phone number, but it uses a five or six-digit number instead of an area code, prefix, and station number.
The benefit of having your own short code is that you can control the content you share with your customers without keyword restrictions. The SMS short code cost for a dedicated number depends on the service provider and the content you send.
Random short codes
Random short codes are a random set of numbers that can't be selected. The system randomly picks the digits for your code and assigns them to your business. Once the short code has been assigned to your business, it's yours until you stop using SMS and MMS messages for marketing.
Random short code pricing is the least expensive out of all the SMS code types because most businesses do not want to use random numbers for their short codes.
Benefits of using SMS short codes
Adding SMS text messaging to your marketing campaign strategy is an effective way to increase your reach, improve brand awareness, and save money on your marketing materials.
There are many reasons why you should use SMS short codes for your marketing campaigns, such as:
Boosts open rates
It's a well-known fact that consumers tend to ignore printed media for various reasons, which means this type of advertising has a low open rate.
However, short code messages are known to boost open rates due to the fact that the media is more targeted, the customer wants to receive updates from the business, and people feel they have to open the text message to clear a notification. This results in the customer viewing the text and getting information about a promotion or news related to the business.
Increases consumer engagement
Consumers use SMS messages as a convenient way to communicate with each other, businesses, and just about every entity they need to come into contact with.
Text messages allow the consumer to engage with the sender on their terms and in their own time. That means the consumer is more likely to take their time to read a short code text message from a business. They can quickly identify who it's from and look at the message at their leisure.
Cost-effective
SMS marketing is more cost-effective than other forms of marketing due to its reach and efficiency. Designing a text takes less time than a flyer, and you don't have to pay for printing costs, postage, or per- rates for click-throughs or impressions.
There is an SMS short code cost for the service, but ultimately, the cost-to-conversion ratio tends to be lower when compared to most other types of marketing campaigns.
Mobile-friendly
Most people receive their texts on their smartphones and keep their phones with them throughout the day. That means you can reach your customer base anywhere they happen to be. You don't have to wait for them to get home and check their mailbox for a flyer, only to have them discard it because the message wasn't compelling.
Increases brand awareness
Short code text messages help to increase brand awareness without causing your customers to tune out. Sending a text message to customers gently reminds them of a new promotion or news about your business. Anything you would do through other marketing efforts can also be done with SMS and MMS messages.
How to get and set up an SMS short code
Setting up an SMS short code involves more than just picking a number. You'll need to choose the right code type for your needs, manage carrier approval processes, and integrate the system into your existing workflows. Here's what you need to know to get started:
Choosing the right type of short code for your business
The first step is deciding between a vanity SMS short code or a random code. Vanity codes are memorable and reinforce your brand, but they come at a premium price. Random codes are more affordable and work well if you're primarily focused on function over brand recognition.
Consider your budget, how often you'll send SMS messages, and whether you need to send time-sensitive messages like appointment reminders or flash sales –– these types of communications work just fine with a random code since customers care more about receiving the information quickly than memorizing your number.
SMS compliance and carrier approval requirements
Before you can start messaging customers, you need to get carrier approval and ensure SMS short code compliance. This means following regulations set by the Telephone Consumer Protection Act (TCPA) and Cellular Telecommunications Industry Association (CTIA), which require explicit opt-in consent from customers.
Your SMS marketing service provider will typically guide you through the application process, but be prepared to submit details about your messaging program, including sample messages and opt-in methods. Carriers review each application to prevent spam and protect consumers.
Typical timelines and costs to expect
Getting a short code approved isn't instant. The carrier approval process can take several weeks to a few months, so plan ahead if you're launching a campaign.
Short code costs typically include a one-time setup fee plus monthly recurring charges that vary based on whether you choose a vanity code or random assignment.
Vanity codes command higher monthly fees since you're selecting a specific number. You'll also pay your SMS marketing service provider based on message volume, with charges typically calculated per message sent.
Integrating short codes into your marketing workflows
Once approved, you'll need to connect your short code to your marketing platform so customers can receive messages on their mobile phones.
Most SMS marketing services offer integration with CRM and email platforms, making it easy to sync customer data and trigger messages. You can set up automated campaigns for transactional messages like order confirmations or schedule promotional texts.
Make sure your systems are properly integrated, so you're not managing the same code across multiple disconnected platforms.
SMS short code best practices
Running a compliant SMS marketing campaign protects your business from fines and shutdowns. Here's what you need to know to stay on the right side of regulations and build trust with your audience.
Understanding compliance requirements
The TCPA is federal law, and violations can cost you. Before you launch any SMS campaign, make sure you understand what's required to stay compliant.
The Cellular Telecommunications Industry Association created the short code program and sets industry guidelines for SMS marketing. While they don't issue fines directly, they report non-compliant operators to mobile carriers, who can shut down your entire program until issues are resolved.
Getting proper consent
Your opt-in process should make it obvious that customers are agreeing to receive messages. Use affirmative language like "Yes" or "I'm in" rather than pre-checked boxes or vague wording.
The easier customers can find your short code, the more people will opt in. Display the code on your website, social media profiles, and marketing materials to grow your subscriber list.
Managing subscriber experience
Every message should make it easy for recipients to get help or opt out. Include keywords like HELP for more information and STOP to unsubscribe, and make sure these commands are clearly explained.
When someone texts STOP, remove them from your list right away. Continuing to message people after they've opted out is a compliance violation that can result in fines and damage to your sender reputation.
Maximize your marketing efforts with SMS short codes
SMS short code marketing increases your customer engagement, improves brand awareness, and boosts your sales. While Mailchimp does not currently offer short codes, stay tuned for potential updates and enhancements in the future.
At Mailchimp, we can show you how to get started with an SMS campaign and show you the best practices for account security. Come check out our free resource library and the tools we offer to aid you with your marketing efforts. Mailchimp has all the tools and resources you need to help your business succeed.