How to Use SMS Proximity Marketing

Karlee Reistroffer

Reaching your target audience at the right place and time is a widely shared objective in digital marketing. Whether you want to increase brand recognition or drive sales, proximity-based marketing helps enhance the customer experience.

But what is SMS proximity marketing, and how can it benefit your business?

What is SMS Proximity Marketing?

SMS proximity marketing — also known as proximity-based or location-based marketing — sends text messaging campaigns to a customer’s mobile device using Bluetooth Low Energy (BLE) signals. These messages are typically delivered via your brand’s mobile app and vary based on the customer’s location.

When implemented correctly, SMS proximity marketing delivers highly personalized messages in real time, based on customer behavior and preferences. For example, a retailer might install beacons throughout their store to trigger location-based messages offering exclusive deals as customers move through different sections.

Is Proximity Marketing Legal?

Proximity marketing is generally legal, but it must comply with regulations related to data privacy and consumer consent.

Businesses must follow laws such as:

  • GDPR (General Data Protection Regulation) in the EU
  • CCPA (California Consumer Privacy Act) in the US

These laws require businesses to obtain explicit consent from users before collecting or using their location data. Transparency and easy opt-out options are essential for compliance.

How SMS Proximity Marketing Works

Location technologies like beacons use customer data and geotargeting to send personalized messages when a user enters a predefined area.

How it works:

  • The user enables Bluetooth on their mobile device
  • They download your app and opt in to receive marketing messages
  • Beacons broadcast a unique ID number to detect nearby devices
  • The app sends relevant messages based on the user’s location

These messages can include text, images, audio, or even promotional videos — like a limited-time “buy one, get one free” deal near a specific product display.

Key Technologies Behind Proximity Marketing

Proximity marketing uses several technologies to enable precise targeting:

  • Bluetooth
    Beacons send Bluetooth signals to trigger contextual SMS or in-app notifications when customers are nearby.
  • NFC (Near-Field Communication)
    Enables ultra-close-range interactions. For example, tapping an NFC-enabled poster might unlock a discount.
  • Wi-Fi
    Enables geofencing, where virtual perimeters detect when a user enters or exits a location to trigger messages.

These technologies work together to create seamless, real-time customer interactions.

How to Use SMS Proximity Marketing

SMS proximity marketing isn't just about offers — it's a powerful tool for customer insight and personalization.

1. Create Personalized Offers

Use purchase history, browsing patterns, and location data to craft highly relevant messages. This increases engagement, conversions, and loyalty.

2. Choose the Right Timing and Location

Send messages when customers are near your store or during peak times when they’re most likely to respond. Timing enhances relevance and ROI.

3. Integrate With Broader Marketing Strategies

Sync SMS campaigns with email, social media, and in-store promotions. Using a CRM, you can keep messaging consistent across platforms and improve the customer journey.

Benefits of Proximity-Based Marketing

Increased Revenue

Customers prefer local, timely offers. Sending a location-based coupon encourages instant purchases — especially when it’s personalized.

Improved Customer Engagement and Retention

According to IBM, 72% of consumers act on proximity messages when they see a store. Valuable, targeted messages help avoid unsubscribes and increase loyalty.
Read the study

Increased Referrals

Loyal customers are more likely to refer your brand — especially when you incentivize it with a referral code or exclusive reward.

Personalized Customer Experiences

Bring online personalization into physical spaces. For example, if a customer is browsing video games, send them a 20% off coupon for games — today only.

Partner With Textedly for All Your SMS Marketing Campaigns

SMS proximity marketing opens a world of possibilities — from real-time updates to deeply personalized offers.

Textedly makes it easy to:

  • Send personalized messages in just a few clicks
  • Integrate with 1,000+ apps
  • Use customer data to power smart, location-based campaigns

Sign up for a free trial with Textedly and start texting your customers today