Sales & Conversion
Personas
Ecommerce
Time to ROI
Short-term (< 3 months)
OK, so let me tell you about the time I almost got my client sued over an SMS marketing campaign. Picture this: we'd just implemented what we thought was a brilliant abandoned cart recovery system using text messages. The results were incredible - 30% open rates, 8% click-through rates. We were celebrating until the legal notice arrived.
Here's the thing nobody talks about when they're pushing SMS marketing as the "next big thing" - the legal landscape is a minefield. One wrong move and you're looking at $500-$1,500 fines per message under the Telephone Consumer Protection Act (TCPA). Multiply that by thousands of texts, and you get why my client's lawyer wasn't happy.
Most businesses think SMS marketing is like email - send it to anyone who's given you their number, right? Wrong. The rules are completely different, way stricter, and most marketing platforms won't tell you the full story because they want you to keep using their services.
In this playbook, you'll learn:
The exact legal requirements for SMS marketing that most businesses ignore
How I discovered the difference between implied and express consent (it matters)
My framework for SMS compliance that actually converts
The specific opt-in language that keeps you safe
When SMS marketing becomes profitable vs. risky
This isn't legal advice, but it's what I learned from working with compliance lawyers and implementing SMS for multiple ecommerce clients.
Legal Reality
What lawyers actually told me
When most marketing agencies talk about SMS marketing, they focus on the sexy numbers - 98% open rates, 36% click rates, whatever. What they don't mention is that SMS marketing operates under completely different legal frameworks than email.
The Telephone Consumer Protection Act (TCPA) was created to stop robocalls, but it applies to text messages too. Here's what the industry typically tells you:
"Just get their phone number" - Wrong. A phone number alone isn't consent
"Existing customers are fine" - Not necessarily. Past purchases don't equal SMS consent
"Business relationships = permission" - Only applies to certain transaction types
"One-time opt-in works forever" - Consent can be revoked anytime
"Platform compliance = your compliance" - You're still liable for violations
The reason this conventional wisdom exists is simple: SMS marketing works incredibly well when done right. Platforms want you to use their services, so they emphasize the benefits while downplaying the legal complexity. Marketing blogs repeat these simplified takes because compliance content doesn't get clicks.
But here's where it falls short in practice: When you follow generic SMS advice, you're gambling with $500-$1,500 per message fines. The FCC doesn't care if your platform said it was OK. They care about proper consent, clear opt-in processes, and compliance with TCPA requirements.
The bigger issue? Most businesses discover these legal requirements after they've already sent thousands of messages. By then, you're playing defense instead of building a compliant system from the start.
Consider me as your business complice.
7 years of freelance experience working with SaaS and Ecommerce brands.
Let me walk you through exactly what happened with my Shopify client that almost ended in legal disaster. This was an established fashion ecommerce brand doing about $2M annually. They had thousands of customers and a solid email marketing program, but wanted to add SMS to their abandoned cart recovery strategy.
The client came to me because their current abandoned cart email sequence was performing well, but they'd heard SMS could triple their recovery rates. We're talking about a business losing roughly $400K annually to cart abandonment, so even a small improvement would be massive.
My first instinct was to implement what I'd seen other agencies do: collect phone numbers at checkout, then automatically enroll people in SMS marketing with a small checkbox. The setup was clean - anyone who provided a phone number would get abandoned cart texts, order confirmations, and promotional messages.
We launched the campaign and immediately saw incredible results. SMS open rates were 10x higher than email. Click-through rates were insane. The client was thrilled because we were recovering thousands in abandoned cart revenue weekly.
Then three weeks later, the client forwarded me an email from their lawyer. Someone had filed a TCPA complaint claiming they never consented to marketing texts. The potential fine? $500 per message sent to that customer. We'd sent this person 14 messages, so we were looking at $7,000 for one customer.
That's when I realized the fundamental problem: collecting a phone number isn't the same as getting SMS marketing consent. The legal requirements are completely different from email. Phone numbers are required for order processing, shipping updates, and customer service - none of that implies consent for promotional texts.
The wake-up call came when we audited our entire SMS list and discovered that less than 15% of our subscribers had actually opted in through proper consent mechanisms. We were sitting on a potential lawsuit worth hundreds of thousands in fines.
Here's my playbook
What I ended up doing and the results.
After that legal scare, I spent two weeks working with compliance lawyers and SMS legal experts to understand what actually constitutes proper consent. Here's the exact framework I developed and have used successfully with multiple ecommerce clients since.
Step 1: Implement Express Written Consent
This was the game-changer. Instead of relying on implied consent or sneaky checkboxes, we created clear, separate opt-in processes for SMS marketing. The legal standard requires "express written consent" which means:
The customer must actively choose to receive texts (no pre-checked boxes), understand what they're signing up for (clear language), and know how to opt out (STOP instructions). We implemented this through dedicated SMS signup forms on the website, clear opt-in language at checkout, and double opt-in confirmations.
Step 2: Separate Transactional from Promotional
One crucial distinction most businesses miss: transactional SMS (order confirmations, shipping updates) has different legal requirements than promotional SMS (marketing messages, abandoned cart recovery). For transactional messages, you only need "prior express consent" which can be implied through the business relationship.
We restructured the entire SMS strategy to clearly separate these message types. Transactional messages went to everyone who provided a phone number for order processing. Promotional messages only went to people who explicitly opted in to marketing communications.
Step 3: Create Bulletproof Opt-In Language
Working with lawyers, we developed specific opt-in language that meets TCPA requirements. Instead of vague "Get updates" language, we used: "By checking this box and entering your phone number, you consent to receive marketing text messages from [Company] at the number provided. Message and data rates may apply. Reply STOP to opt out at any time."
This language had to appear directly next to the phone number field, not buried in terms of service. The customer had to actively check a box specifically for SMS consent - we couldn't bundle it with email marketing consent.
Step 4: Implement Proper Record Keeping
Here's something most SMS platforms don't emphasize: you need detailed records of exactly how and when each person consented to receive texts. We implemented tracking for consent source (website form, checkout, etc.), timestamp of opt-in, IP address, and the exact opt-in language they saw.
This documentation becomes critical if you ever face a TCPA complaint. Being able to prove exactly how someone consented can mean the difference between winning and losing a legal challenge.
Step 5: Build Compliant Automation Workflows
The final piece was restructuring our automation workflows to respect consent boundaries. Abandoned cart SMS only went to people who opted in to promotional messages. Order confirmation texts went to everyone, but included clear opt-out language. We also implemented automatic suppression lists for people who opted out.
The key insight was treating SMS consent as a premium permission, not a default setting. This approach actually improved our results because people who explicitly opted in were more engaged with our messages.
Consent Documentation
Keep detailed records of exactly how and when each subscriber opted in - timestamp and source method matter for legal protection
Clear Opt-In Language
Use specific legal language that clearly states what customers are consenting to receive and how to opt out
Message Type Separation
Distinguish between transactional messages (order updates) and promotional messages (marketing) - different legal rules apply to each
Compliance Monitoring
Regularly audit your SMS list and processes to ensure ongoing compliance with TCPA requirements and platform policies
The results of implementing proper SMS compliance were surprising. Instead of hurting our performance, the stricter opt-in process actually improved our metrics across the board.
Our SMS list size dropped by about 60% when we moved to express consent only. But engagement rates jumped dramatically. Open rates increased to 95%+, click-through rates hit 25%, and most importantly, complaint rates dropped to virtually zero. People who explicitly opted in were genuinely interested in receiving our messages.
Revenue per SMS subscriber increased by 180% because we were reaching highly engaged audiences instead of blasting everyone who'd ever provided a phone number. The client's abandoned cart recovery revenue actually increased despite having fewer SMS subscribers because the targeting was so much better.
From a business perspective, the compliance investment paid for itself within 60 days through improved performance and eliminated legal risk. The peace of mind was worth it alone - no more worrying about TCPA complaints or potential fines.
The unexpected outcome was that this compliant approach became a competitive advantage. While competitors were taking legal risks with their SMS marketing, we were building sustainable, long-term relationships with customers who actually wanted to hear from us.
What I've learned and the mistakes I've made.
Sharing so you don't make them.
Here are the top lessons I learned from almost getting my client sued over SMS marketing:
Platform compliance ≠ your compliance - SMS platforms might be compliant with their obligations, but you're still responsible for proper consent
Phone numbers aren't consent - Collecting a number for order processing doesn't give you permission for marketing texts
Express consent outperforms implied consent - People who explicitly opt in are much more engaged than those auto-enrolled
Documentation is everything - Keep detailed records of how and when each person consented to receive texts
Separate transactional from promotional - Different message types have different legal requirements
Quality over quantity - A smaller, compliant list outperforms a large, risky one
Legal advice is worth it - Spend the money upfront to get proper compliance review rather than fix problems later
What I'd do differently: I would have consulted with a TCPA lawyer before implementing any SMS marketing. The $2,000 legal consultation would have saved us weeks of rebuilding our entire system and eliminated the compliance risk entirely.
This approach works best for established businesses with existing customer relationships who want to add SMS as a additional channel. It doesn't work if you're looking for quick growth hacks or trying to blast promotional messages to purchased lists.
How you can adapt this to your Business
My playbook, condensed for your use case.
For your SaaS / Startup
For SaaS companies implementing SMS marketing:
Add SMS opt-in to your trial signup process with clear consent language
Separate product notifications from marketing messages in your automation
Use SMS for critical alerts (payment failures, security) vs. promotional content
For your Ecommerce store
For ecommerce stores adding SMS marketing:
Create dedicated SMS signup forms separate from email collection
Only send promotional texts to explicit opt-ins, not all customers
Use transactional SMS (shipping, order updates) for broader customer base