the text message

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Hey! I’m sure you saw the video of Rick Ross cutting down that tree. First time I watched it, I couldn’t stop laughing. Second time I watched it, I remembered my interview with him where he shared his passion about lawn care. The third time though, I thought about everything that could have gone wrong and wondered if Ross was better off paying $10,000 to cut down those 10 oak trees.

So I ran some numbers.

According to reports, Ross makes $585,000 per month. Let’s assume he works 60 hours per week. His “hourly rate” is around $2,500 per hour. If that was me, I’m paying the $10,000. But Rozay loves the outdoors, loves making hilarious content, and it’s hard to put a dollar on that. But bro, throw on some safety goggles next time!

Today’s Trapital memo covers text marketing. This month I’ve written a lot about direct-to-consumer moves in hip-hop with Snoop Dogg’s NFT sale and Ye’s Stem player. Texting is as direct as it gets, but it takes much more effort than many imagined. Let’s dive in.

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New pod: Kevin Shivers, WME

I had a great chat with Kevin Shivers, one of the leading music touring agents. He represents stars like Tyler, The Creator, Summer Walker, and many more. We talked about how he gets his artists to headline festivals, how they pick touring spots, and how he’s navigated this sector during the pandemic. We also talk about mentorship, Black execs in music, and Kev’s willingness to always down to help others.

Listen to the Trapital Podcast here:

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What creators get wrong about text marketing

In 2019, a bunch of celebrities shared their phone numbers and asked us to text them. The masses had finally caught on to Mike Jones publicizing 281-330-8004 in the mid-2000s, Soulja Boy sliding his phone number in “Kiss Me Thru The Phone,” and Ryan Leslie’sSuperPhone. Artists with millions of Instagram followers were ready to ditch social media for good. Community had raised $50 million in funding and had a deep waitlist. Some wondered if the internet would ever be the same!

Well, text marketing hasn’t turned the internet upside-down. But it has helped many merchants and brands communicate with customers. It has also helped public figures too, but many have struggled to use it to its full capabilities. Text is the most intimate of all text-based communication platforms, so it requires a strategy that’s just as thoughtful.

Why text worked well with companies and merchants

Text marketing works well for brands and merchants because it’s aligned with the customer journey. Most of the case studies on SuperPhone and Community sites are from companies.

Companies often offer a 10-15% discount on the next order when customers subscribe for text messages. Brands can also follow up to text customers discounts to purchase items abandoned in their cart, offer updates on the order fulfillment, and give early access to future drops.

Each text provides a clear call-to-action that adds value. That increases the willingness to participate on both sides. For companies and public figures, these platforms are more expensive per user than email marketing—so they want to justify the cost. For recipients, there’s more friction to participate. They give up more personal information to get messages and go through several steps to get on a list. But they’re willing to do it for the benefits.

But that benefit is less clear for many public figures who share their numbers. Many of them may wonder “do I really have to share my date of birth with Ashton Kutcher, especially if he probably won’t respond if I text him back?” It’s a fair question.

Where public figures succeed struggle with texting

The challenge for many artists, celebrities, and public figures is that they don’t have a text marketing strategy. Sure, it’s feel great to text fans, “Bless up! Let’s get after it today.” But what’s next? It can’t be treated the same as a tweet. It can start to feel like spam, which UnitedMasters CEO Steve Stoute mentioned in our Trapital Podcast episode.

Text marketing worked well for SuperPhone founder Ryan Leslie because he had a gameplan. He already understood the pyramid of intimacy. He knew exactly how to use his service. Here’s what he said in his 2020 interview with Earn Your Leisure:

For Ryan, that intent led to a 50% conversion rate. 17,000 of the 35,000 people who signed up for his email list bought the album for $10. That’s $170,000 in revenue. Ryan then used that to follow up and sell tickets for a concert. He sold 40,000 tickets at €60, which led to €2.4 million.

But how many artists or creators who use text marketing have been that intentional? Many haven’t, including me. In 2019, I was a beta user for Community. I shared my number via email, podcast, and socials. I responded to texts all the time, but I was still figuring out my own business model at the time. The timing wasn’t right.

Success with text marketing

Artists like Zayn, Miley Cyrus, and Johnny 2 Phones have had recent success stories with text marketing. They matched the intimacy with the value-add, which makes it easier to contact fans by region or geography.

I believe that artists are founders. They are founders who sell audience-first products. So if they launch a new number, it needs to be an integral part of their content strategy. It shouldn’t be seen as a replacement for social media.

The music industry is still behind text marketing. Warner partnered with Community in October 2021 to help its artists have a direct line to their fans. That won’t make it easier, but there’s room to succeed for the artists and creators who will put in the work.

Thanks to everyone who offered thoughts as I wrote this memo, much appreciated!

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coming soon from Trapital

Podcast: Frank Cooper III, CMO at BlackRock. Frank is one of the best brand and marketing execs in the game. He worked at Motown, Def Jam, helped land big deals for artists like Beyonce. We talk about how brands can be more relatable, marketing trends, financial literacy, and more. Episode drops on Friday!

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