The Center For Media Research says "Mobile Marketing Emerges With Couponing". How many of us have text campaigns active in our properties that deliver messages to our listeners? Of that percentage, how many of us deliver effective coupons or offers with the messages? I hope that number is high as defining great offers and pushing for new delivery of advertising makes a great compliment to broadcast and interactive campaigns and can really increase incremental sales almost instantly...
"Text-based coupons are the fastest-growing and most obvious mobile marketing application, and the easiest to implement, says the report. Redemption rates for mobile coupons are 10x that of mail or newspaper distributed coupons. The report summarizes the future by noting that a restaurant in Texas pays $37 to send out 500 text messages for a "buy-one/get-one-free burger" offer and gets 60 people to walk in the door, for incremental revenue of $1,000 per day.Last year online marketing captured $44 billion in spending while mobile marketing reached $2.7 billion. The report expects total online marketing to grow at about 13% compounded annually, to $80 billion by 2014. Mobile will grow at 84% per year and hit $57 billion by 2014.
In addition the report expects foresee "local" online advertising growing at an unusually brisk pace, doubling every year for the next three. Local mobile advertising totaled $285 million in 2009; the report forecasts it to double this year to $586 million, then spike upward to $11.3 billion by 2014.
$13.3 Billion Local Online Ad Spending Shares in 2009 |
Medium | Share of Total Spend, 2009 |
Pureplay | 51% |
Newspapers | 23 |
Directories | 11 |
Broadcast TV | 10 |
Radio | 2 |
Magazines | 2 |
Other print | 1 |
Source: Borrell Associates, April 2010 |
While they make a great case, we need to make sure every text we send to our audience has percieved value. Text marketing means carefully crafting a 40 character offer coupled with 120 characters of content that also provides value and lessons the chance for opt out in our text clubs. I am in the midst of launching a text club after helping launch text clubs for 3 seperate radio formats last year. The lesson that I have learned is that the offer needs to be fantastic and to keep interest in the club, you need to offer exclusive incentives to keep consumers engaged.