Today’s guest post comes from Ola Ayeni, President and CEO of Mobile Dialog. Ola shares his perspectives on a realtively untapped form of marketing that has shown potential and real results for those who have tried it. I think you'll find the concept interesting.
I was recently asked to write an article for restaurant magazine that caters to independent restaurant owner on the benefits of mobile or marketing through the cell phone.
What I find most exciting about the article is the free or minimal cost it requires for small business owners to play in the new media marketing world.
What is required in order to reap rewards of their free marketing efforts is some of their time, good understanding on what to do and how to do it.
The Game Has Changed
When the first internet store was launched, it was a revolution that leveled the playing field between big corporations and small business.
Where once millions could only dream of becoming entrepreneurs, the internet allowed small businesses and even individuals with no capital to reach thousands of potential customers with a slick, user friendly website and a click of the mouse.
A New Marketing Revolution
Well today, another revolution is afoot in the field of advertising and marketing. There was once a time when only the “Big Boys” could reach large numbers of consumers, specifically targeted and tracked for results; but now with cell phone marketing technology small businesses can reach large numbers of geo-targeted customers who have opted-in to receive their offers with opt-in coupon services.
Many small businesses are getting their feet wet using this new marketing tool; but others are still not educated about the benefits to their business.
Seven Benefits to Mobile Marketing
There are seven major benefits to small businesses who market to customers through their cell phones.
1. Fresh Market
Cell phone advertising is a nearly untouched market, with very few businesses using the technology. Because the market is nowhere near a saturation point, consumers remain open to receiving advertisements. According to “In-Stat” 20% of cell phone users said some form of mobile advertising would be acceptable. There are 283 million cell phone users in the United States as of 2008 and the number continues to grow each year.
2. Large Market
Over 67 billion text messages are sent and received in any given month in the United States starting from June 2008. Consumers 18 – 45 years old are more likely to receive information via their phone than through traditional advertising outlets such as newspapers and radio.
3. Instant Access
Most consumers keep their cell phone on them at all times and over 90% of all text messages received are read. Customers can use their cell phone to redeem a coupon or offer at your store or via your website. As a result there is no added delay in purchasing due to lost or misplaced paper coupons.
4. Qualified Customers
All customers have opted to receive your coupon, promotion or info. via their cell phone by using a third-party cell phone marketing service such as Mobile Dialog, Cellfire and HipCriket so you know that they want to receive your marketing message.
5. Targeted Customers
Cell phone marketing can allow you to target customers by zip code, city, state and stated interest. So, if you’re a coffee shop in Dallas, TX you might target consumers who live in Dallas and expressed an interest in coffee shops or cafés.
Many cell phone marketing companies allow you to track who has received your message and who has redeemed your coupon, giving you detailed and instant reports on your marketing results. You can go with companies who already have consumer information or can gather your own list yourself. The second option is gradual and also cheaper way to go.
6. Viral
When your coupon is sent to a customer’s cell phone that information along with your business phone number and address is stored on the phone and can be forwarded to the customer’s friends and family.
For every customer who receives a coupon directly from you may forward that message to at least 10 additional people creating new customers for your business at no additional cost.
7. High Redemption Rates
Traditional advertising such as mailed coupons and flyers have a redemption rate as low as 1%. With mobile marketing the redemption rate can be as high as 30%.
When Dunkin Donuts text messaged coupons for 99 cent lattes to mobile phone customers in Massachusetts, they increased their Boston area store traffic by 21%.
Marketing through cell phones provides a level of targeting customers and tracking results never seen before in the traditional advertising field.
About the Author:
Ola Ayeni, DVM is the President and CEO of Mobile Dialog. He brings fresh and creative ideas to his clients, speaking at national and industry trade events about mobile marketing, new media and social network marketing.
Ola is passionate about bringing creative integrated marketing solutions to clients, and working with clients to apply and develop high level mobile marketing mix with traditional marketing strategies.
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Interesting concept.
I think if folks have signed up with a particular service to receive these messages then that’s cool. I would imagine it also makes for a market that is more amenable to being contacted.
George
Absolutely George, it has to be voluntary sign up. Otherwise you risk being seen as a spammer.
As per market that needs to be contacted, many people do open their cell phones to receive advertising from businesses they trust. The idea that you are saving money, getting exclusive deals and specials from companies you shop from is convenient, green and great for many consumers.