Key Takeaways
According to a report, the global smartphone market earned $411 billion revenue in the year 2023. Businesses often encounter terminology like SMS short codes, vanity short codes, random short codes and long codes. These terms can be confusing, especially for those new to the industry.
What is SMS Short Code?
SMS short codes are unique, shortened phone numbers typically used by businesses for sending and receiving SMS messages at scale.
These codes usually 5 to 6 digits long, offer a fast and convenient way for customers to engage with brands through promotions, alerts and two-way communication. Unlike standard phone numbers, short codes are easy to remember and ideal for marketing, authentication and customer support purposes.
Distinguishing Between Short and Long Codes
SMS short codes and long codes are phone numbers (Sender IDs) used to send SMS messages. As the name suggests, short codes are typically five to six digits long, while long codes are ten digits long. Each type of code has its own advantages and drawbacks, so it's essential to grasp the differences between them.
You can also read up about their differences in our detailed article on short codes vs long codes.
Types of Long Codes
There are two main types to consider
- Toll-free Numbers
These long codes can be dialled or texted at no charge to the person making the call or sending the text. If you need customers to text or call your business, such as for customer service queries, a toll-free SMS long code can be an affordable and convenient option for them.
- 10 DLCs (10-digit Long Codes)
These long codes were not originally designed for business use, and wireless carriers were prone to blocking them. A2P 10DLC numbers are ideal for mass texting customers with transactional messages like appointment reminders, delivery updates, and other customer service communications.You can also refer to our detailed difference guide – 10DLC vs Toll free vs Short code.
Types of SMS Short Codes
When it comes to SMS short codes, there were traditionally two main types
- Shared Short Codes
A shared short code was a Sender ID that multiple businesses could use simultaneously. This approach was popular as it helped cut down on SMS marketing costs, as a shared short code was cheaper to use than setting up a dedicated short code. However, due to concerns over spam, most major mobile carriers in the U.S. have now discontinued the use of shared short codes.
- Dedicated Short Codes
A dedicated short code is a phone number that only one business can use. There are two subcategories of dedicated codes(BulletPoints)
- Random Short Codes
With this option, you have no control over the number you receive. You're simply allocated a random short code number, similar to how vehicle registration plates are generated.
- Vanity Short Codes
Here, you can select the dedicated short code number you want. This might be to promote your brand name, a particular product, or to have a number that's easy for your audience to remember. For example, if you sell footwear and are running a promotion, you might use the vanity short code "53045," which is the backward spelling of "shoes." or, a memorable vanity short code could be something like "80808."
Advantages of Short Codes
SMS short codes offer several advantages, making them a valuable asset for various applications
1. Ideal for High-Volume Text Messaging
Short codes are the preferred choice over long codes if you need to send out a high volume of one-way SMS messages in a short span of time. They are ideal for distributing bulk messaging, sharing one-time passwords, text messaging sweepstakes or competitions, urgent alerts, and reminder notifications.
Some of its examples are
- Flash Sale Notifications: "Great news! New additions to our forecourt. See all our new and used vehicles on our website: [URL]"
- One-Time Password and Notifications: "125402 is your security verification code. It will expire in 10 minutes."
- Text Message Reminders: "Hi [Name], this is a reminder for your health and safety refresher course on 15 November at 11:15 am. Zoom details have been emailed to you."
- Emergency Alerts: "Urgent: severe flood risk in your area. Be prepared to evacuate. Stand by for more details."
- Text to Win: "Fancy jetting off in search of winter sun this year? A $500 holiday voucher might help. For a chance to win, text WINTER to 12345. Cost: $1.50 to enter."
2. Easy to Remember
Another advantage of short codes is their memorability. If you're using a short code and an SMS keyword to entice people to sign up for your SMS marketing campaigns, a five or six-digit number is more memorable than a ten-digit long code. This can lead to higher opt-in rates for your campaigns.
3. Less Likely to be Flagged as Spam
Because SMS short codes are highly regulated – wireless carriers have to approve the purpose for which you want to use them during the setup process – your text marketing campaigns are less likely to be marked as spam. This can have a positive impact on your overall message deliverability rate.
Potential Drawbacks of SMS Short Codes
While short codes offer several benefits, it's important to be aware of their potential downsides as well
1. Higher Costs
Dedicated short codes can be expensive, typically costing between $500 and $1,500 per month, depending on whether you opt for random short codes or vanity codes.
2. Lengthy Setup Process
Setting up an SMS short code can take a few weeks, so you'll need to factor this into your marketing plans and allow sufficient time for the process.
3. Complex Regulations
While being heavily regulated helps prevent spam, it also means that there are several hoops to jump through when getting approval for your planned text messages from wireless carriers. In the U.S., each state has different regulations, but your SMS provider can guide you through your obligations.
Short Codes Vs Other Sender IDs
- Alphanumeric vs. Numerical Sender IDs
Alphanumeric Sender IDs, like your business name, enhance brand recognition but are limited to one-way messaging. For two-way communication, numerical IDs such as long codes or short codes are required.
- Cost and Functionality
Long codes (10DLC) are more budget-friendly than short codes and allow both voice calls and text messaging, including SMS and MMS. Short codes, although pricier, are easier to remember and ideal for high-volume messaging.
- Appearance and Engagement
While short codes are memorable and ideal for large-scale campaigns, long codes resemble regular phone numbers, adding a personal touch and making messages feel less automated to recipients.
Conclusion
By grasping the distinctions between short codes, long codes, and their various types, businesses can make informed decisions and leverage the power of SMS effectively. Whether it's delivering time-sensitive notifications, conducting secure transactions, or fostering customer engagement, the right SMS code can unlock a world of possibilities.
As the digital realm continues to evolve, staying abreast of these technologies and best practices will be instrumental in driving business growth and maintaining a competitive edge.
