What should I charge for SMS?

13 replies
I am trying to get the little guys in the area to give me a shot as their social media consultant. My question is what should I charge to create a way of building their SMS list and the ability to voice broadcast? Would $100 per month be unreasonable for a mom and pop shop?

I don't plan to upsell anything else as I don't think they could afford it. Just want to get that money :rolleyes:
#charge #sms
  • Profile picture of the author App29
    It depends on their ROI. If it brings in an extra 8-10% in revenue, how does that calculate in their overall ROI? I would first determine a list of "realistic" opportunities. An antique shop may be able to justify the cost, however, is sms what's best for them? Mom and Pop owners usually handle the day to day operations of their business, so it can't be too complicated or time consuming. In my experience with this sector, they usually just want something that they don't have to mess with, like an ad in a local coupon magazine.

    If I were you I'd get creative with your offering. SMS is a great initial mobile tool, as long as A. you are handling the account, or B, the SMS platform is stupid simple.

    Why you're not adding additional value is concerning. If I were you, I would offer ad space on a local based app to justify and even add more value to your monthly cost. I'll give you and example and a pitch Let's partner up on an iPhone and Android app that will be called Birmingham Mobile or something that spotlights a local feeling. Offer your SMS at $100 (which by the way is WAY TOO EXPENSIVE when looking at competitor offerings), and tell them you'll give them a FREE coupon on your mobile app (a $30 per/mo value). Now they feel like they're getting a deal. Everyone likes a bargain, especially good 'ol mom & pop.
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  • Profile picture of the author Erick Griffin
    Thanks for the answers guys as far as the $100 price tag that does include me doing some promotions and getting QR codes out and into the store. As I see it, the other companies just take your credit card and hand you a user id and password. Correct?
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    • Profile picture of the author App29
      Originally Posted by Erick Griffin View Post

      Thanks for the answers guys as far as the $100 price tag that does include me doing some promotions and getting QR codes out and into the store. As I see it, the other companies just take your credit card and hand you a user id and password. Correct?
      True, customer support with regards to marketing is a rare find.
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    • Profile picture of the author Rymico
      Originally Posted by Erick Griffin View Post

      Thanks for the answers guys as far as the $100 price tag that does include me doing some promotions and getting QR codes out and into the store. As I see it, the other companies just take your credit card and hand you a user id and password. Correct?
      How many texts are you giving your customers for that price? As app29 said above, if the system is not simple, you handle it for them. The pricing is 180 degrees different if they are doing it vs you managing it.100 text a month vs 1000 changes your pricing. I believe also now that your customers will be happier, as was said, if they can buy it and forget it. That is the only way I sell it now. They are happier to pay more if you can show them ROI results that work.
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  • Profile picture of the author Erick Griffin
    Thanks for the reply. In my mind I would manage. I would rather they call me and say we want to run a special than screw it up be unhappy and I have to run damage control.

    More specifically I would hire a VA to run the service. I would have to make sure there are QR codes and thing of that nature on site but other than that, every week set information would go out to the data base.

    I have not worked out the price and cost yet as I want to see what the going rate everyone else is charging.

    Erick
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  • Profile picture of the author Rymico
    How many texts for $100? The price will depend greatly on the number. of texts. For a managed program, $100 sounds too cheap to me.

    How much are mom and pop spending on advertising now? Bet it is more than you think.

    Rodney
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    • Profile picture of the author alfid
      Originally Posted by Rymico View Post

      How many texts for $100? The price will depend greatly on the number. of texts. For a managed program, $100 sounds too cheap to me.

      How much are mom and pop spending on advertising now? Bet it is more than you think.

      Rodney
      I think you're right about this. I thought maybe $100 per SMS per month was kind of expensive, though. Isn't there services that do unlimited texts for way less than this?
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  • Profile picture of the author martbost
    The reason that I have been using SignalHQ (Priced per 1k subscribers and not per text) for our messaging platform is so that we could develop a more predictable pricing model for the customer. Without a per-text message charge being involved, we can allow the customer to increase their cost per month on usage based on how many actual subscribers they have. Because we own the lists and basically RENT the list and services out to the customer, we don't try to make much on the subscription service. We make our money on the back-end by having them grow the list for us that we can later market Mobile CPA offers and combined niche-specific blasts....just a different way of looking at it rather than trying to set a fixed price.
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  • Profile picture of the author Niks24
    SMS Charges are more depends on The word count and the target people you are looking for I think $100 is the minimum rate.
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  • Profile picture of the author rocho
    Yes, $100 should be a reasonable amount. Plus, you could resell SMS at a good retail price. Checkout details of Reseller Program at internetsms.net/resellers.asp
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  • Profile picture of the author TrumpiaTim
    $100, isn't that bad. How many SMS credits will they receive?

    Also on that note will you simply be setting up the account or running a full fledged campaign for them?
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  • Profile picture of the author PaulKlein
    Great tips and info on the pricing and strategies for your sms offer.
    Be careful that you offer others the same price for same platform, so you don't jeopardize trust.
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