Does Text Message Marketing Work? 5 Zipwhip Customers Share Their ROI

Man texting from counter of coffee shop

More and more companies are leveraging the power of text message marketing. Not only is adopting business texting proving to be a successful return on their investment, they’re realizing that consumers actually like to receive texts. But customers must first opt in to receiving texts from a business. For best practices on two-way texting, also called conversational texting, download a free copy of our e-book on TCPA compliance today.

A key to any successful text marketing strategy is composing messages that are relevant and sending them at the right time. Many of us may get texts from a friend, sibling, spouse or significant other in the morning or evening and think nothing of it. While that may be fine for personal relationships, business communication should be conducted during regular business hours which in the United States is between 9 a.m. and 5 p.m.

Because an incoming text messages is perceived to be more urgent than an incoming email, when someone receives a text, they tend to assume it’s important and feels the need to read it and respond right away. So, unless a customer is needing to hear from a business as soon as possible (e.g. you’re waiting for a table at a busy restaurant and the hostess texts you when it becomes available, an after-hours auto repair shop texts you to say your car is ready to be picked up or your yoga studio has a last-minute opening for tomorrow’s 7 a.m. class) most people would rather wait and get a business text message the next day.

Different ways to measure text marketing ROI

Each business has its own way of measuring its ROI and determining how an upfront expense will be recouped down the road. Of course, companies want to do more than break even with their investments. The goal of any good marketing strategy is to have the benefits far outweigh the costs, and the sooner the better.

Whether a company measures the success of its texting game plan in terms of gaining new customers who prefer texting (Gen Y and Z, specifically), lowering their customer acquisition costs by attracting new clients with keywords on signage such as “text INFO to 555-555-5555” for details (popular with real estate agents) or faster communication that enables a business to assist more customers in less time, the benefits are numerous.

When you compare text message marketing to email (lots of spam) or phone calls (annoying robocalls), texting is the preferred medium. And it’s not just customers who appreciate the ease and convenience that texting provides, employees benefit too. Texting helps streamline a business’s daily workflow and frees staff members from the daily grind of repetitive tasks so they can spend that time on other important projects and goals.

Storefront image with text bubbles around it

Zipwhip customers share their texting success stories

Nothing speaks more to the value of a company’s products or services than the success of its customers. Below, we profiled five companies that use Zipwhip’s business texting software and who have achieved impressive results. The initial challenges they faced varied depending on their industry, but each company has experienced measurable improvements including increased customer satisfaction and retention, streamlined communication channels internally and externally and an improved bottom line.


Company: The Bar Method
Industry: Fitness
Location: Georgia
ROI: Earns an additional $680 per week in revenue

The Bar Method logo






The Bar Method’s dual locations in Atlanta struggled in two main areas: increasing communication with existing members and finding a convenient way to interact with potential clients. After searching for a tool to better drive engagement and increase their team’s efficiency, they chose Zipwhip. They now have consistently full classes and happy members.

Before Zipwhip, members who paid for an unlimited plan expressed frustration over losing out on classes because they were frequently full, and they often missed phone calls about open class spots. For example, despite a 10-person waitlist, only 20 people would show up to a class that could accommodate 28.

Emailing potential new members as a sales tool wasn’t effective as the messages got lost in mailboxes full of unread emails. But cold calling didn’t work either as it felt impersonal and forced. Occasionally, members or potential new clients would make false claims about promised discounts and policy changes. Unfortunately, their team lacked a central place to track all communication and had no way of disproving false claims.

The two studios needed a tool to help them drive sales, notify members of class openings and increase retention better than their method of phone calls and emails. With Zipwhip as the central mode of client communication, the team now uses texting for follow-ups when members don’t attend their scheduled class and as an outreach tool for new and potential clients.

The studios also experience better response rates since texting is a subtler and less intrusive sales tactic than a phone call. The team loves Zipwhip’s integration with MINDBODY because of the class waitlist feature. The platform automatically texts the next person on a waitlist to fill open spots as they become available, assuring that classes are always full. Clients love it because receiving texts makes them feel like they’re getting exclusive treatment or are part of an insider’s club.

Prior to Zipwhip, the studios missed opportunities to fill classes because they lacked an efficient way to let customers on the waitlist know that spots had opened. Now, the team no longer faces this issue and regularly fills classes. This alone has resulted in an estimated additional $680 per week to the studios’ revenue.

Not only has Zipwhip helped The Bar Method Atlanta attract new clients, it has improved customer retention because the more a client comes to classes, the more likely they are to remain a member.


Company: Biscuits & Bath
Industry: Pet Care
Location: New York
ROI: Frees up staff so they have more time to focus on the care and attention of the dogs

Biscuits & Bath logo

According to Julie Kaminski, leader of the Biscuits & Bath Manhattan location, they were spending a lot of time reaching out to clients for a variety of reasons, such as letting them know their dog was ready for pick up or a vaccine record needed to be updated. She said people were likely to ignore phone calls and emails and never respond, so it was hard to know if their communication was received.

Julie also wanted to monitor communication between her staff and clients, especially when she wasn’t around. Previously, they would leave notes on the client’s profile if they had spoken to them; however, there was no way to track what was relayed in the conversations. She also wanted a way to contact her staff internally without having to give out her personal cell phone number.

After adopting Zipwhip, Julie found that the communication with pet owners significantly improved. Text enabling Biscuit & Bath’s existing landline phone number also allows her to track her staff’s conversations with clients. Giving the staff the ability to text from their desktop computers has eliminated the annoying game of phone tag, making them more efficient and saving clients time as well. This gives Julie’s team more time in the day to focus on the care and attention of the dogs, which is truly what Biscuits & Bath is all about.


Industry: Mortgage
Company: Guild Mortgage
Location: Texas
ROI: Reaches a higher volume of borrowers while still maintaining quality service

Guild Mortgage logo





Michelle Castle’s Guild Mortgage team operates top-producing branches in Sherman and McKinney, TX. They process 20 to 30 loans a month. Managing personalized interactions with so many borrowers requires effective communication via email, phone calls and texting. Zipwhip enables them to manage a high-touch and high-tech SMS strategy to communicate with borrowers on the channel they prefer.

Previously, communication depended on the branch manager and each member of the team using a variety of outreach tools including company or personal cell phones, voicemails and emails. Unanswered messages made it difficult to maintain relationships with a group of 65 top-referring agents.

Guild Mortgage now reaches a higher volume of borrowers while still maintaining quality service. It has become a crucial tool for Dylan Castle, a Transaction Coordinator and Michelle’s son. Dylan handles those critical first interactions with the consumer and administrative tasks of the team.

On a daily basis, Dylan sends out hundreds of texts to prospective borrowers and applicants in all phases of the lending cycle. Each new lead receives a welcome text to schedule a call to discuss their home ownership goals. If Dylan’s team hasn’t gotten in contact with an interested borrower after an initial application, the next steps are a series of six text message outreaches over the following week and a half.

In addition to maintaining constant communication with borrowers, Group Messaging is used to build relationships with local agents. With a few clicks, the team can easily reach out to a large group before a weekend of open houses, and make sure they stay top of mind.

Maintaining communication with realtors has proven a valuable strategy for referrals. Agents know that when the Castle team contacts a lead, the process is consistent: email introduction to the borrower, followed by text to schedule a call and then the initial phone call. The borrower knows what to expect and their preferred channel of communication can be determined. The agent knows that the buyer is receiving the same personal interaction that they expect themselves.


Industry: Finance
Company: Towpath Credit Union
Location: Ohio
ROI: Improved loan closing ratio by 10-15% and is #1 in loan growth for credit unions in Ohio

Towpath Credit Union logo






Towpath Credit Union is a member-owned credit union in northeast Ohio with 65 employees, three branches and over $125 million in assets. With a motto of People Helping People, it’s not surprising that Towpath prides itself on helping its members achieve their dreams by providing a safe and healthy space to bank.

Always looking to improve the member experience, Towpath wanted to offer a modern, nimble way to communicate with them. The solution would have to help the credit union be more responsive to members’ questions, optimize the loan process and work with the credit union’s existing workflows. Additionally, the solution had to be secure, TCPA compliant and, of course, easy for members to use.

After researching several available technologies, the solution to choose Zipwhip was clear. With the software platform, Towpath members can now communicate with the credit union by text. Offering texting to members has had a positive impact in many areas of the business, including lending, collections and member service.

Texting has improved the loan approval process. Members can easily snap a photo of a paystub, insurance card or VIN number and text it to their Loan Officer. Texting also helps Towpath close more loans. And now, thanks to the ease and flexibility of texting, Towpath members feel more empowered.

This gives Towpath the opportunity to offer their members better terms or a lower rate. As a result, since implementing Zipwhip, Towpath has improved their loan closing ratio by 10-15% and is #1 in loan growth in their peer group of credit unions in Ohio as of the publish date of this post.

Texting also helps when members face difficult times financially. When members fall behind on their payments, Towpath’s Member Solutions team is able to send the member a discreet reminder text and work with them to bring their loan current. Thanks in part to this ability to text with members, Towpath enjoys some of the lowest delinquency and charge-off figures of their peer credit unions.


Industry: Pharmacies
Company: The Medicine Shoppe Pharmacy
Location: Texas
ROI: Ensures that patients get their medications on time while also easing staff workflow

The Medicine Shoppe logo





The Medicine Shoppe Pharmacy, established in 1968, is a national franchise with 500 locations that allows pharmacy owners the freedom needed to grow the business while also focusing on the needs of patients.

At the Medicine Shoppe of Denison & Sherman in Texas, Jana Bennett treats her customers like family and works to provide the highest level of customer service. Her biggest challenges as an Independent Pharmacy Owner are low reimbursements, getting people to be adherent and time spent dealing with insurance companies.

Jana’s staff was doing anything they could to get their patients their medications every month to meet adherence metrics and minimize DIR fees. Every month, they were calling about 750 patients in their med sync before the refill due date to verify changes. But hardly anyone would answer the phone and they wouldn’t call back when messages were left. In addition, the huge amount of time wasted on the phone with insurance companies hindered their ability to provide higher levels of customer service.

Zipwhip is helping Jana’s staff reach more people to identify prescription changes or non-adherence and improve the management of her med sync program. They have also added a lot of customer service outreach steps. Jana added, “It’s so easy, it doesn’t take any time to send a text!”

The Medicine Shoppe is also improving their drive-through experience, alerting patients when meds are out of stock, and scheduling follow-up texts to check on newly prescribed patients.


Business texting solutions for companies of any size

To date, over 35,000 businesses use Zipwhip and the list is growing every day. Our texting software works for any business in any industry, from small shops to Fortune 500 companies. Read even more customer stories and see how Zipwhip has helped businesses of all types succeed.

And be sure to download The Ultimate Guide to Texting Your Customers. After reading this comprehensive e-book, you’ll have a complete understanding of how to reach your customers the right way through business text messaging and the confidence and enthusiasm to implement your own texting communication strategy.

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