Are Coupons the Key to Mobile Marketing?

Mobile commerce has exploded in recent years—and mobile coupons are responsible for much of this growth. In fact, mobile coupons are redeemed 10 times more than print coupons and the number of mobile coupon users is expected to reach 53.2 million by 2014. Combine that with the increase in mobile usage by consumers on the go, and it’s clear that mobile coupons are the perfect solution for growing your small business and attracting customers on the hunt for discounts through their mobile devices.

Mobile commerce has exploded in recent years—and mobile coupons are responsible for much of this growth. In fact, mobile coupons are redeemed 10 times more than print coupons and the number of mobile coupon users is expected to reach 53.2 million by 2014. Combine that with the increase in mobile usage by consumers on the go, and it’s clear that mobile coupons are the perfect solution for growing your small business and attracting customers on the hunt for discounts through their mobile devices.

The Mobile Marketing Opportunity Is Real
eMarketer estimates that nearly 20 million US adults will redeem a mobile coupon this year, including coupons or codes received via SMS, applications and mobile web browsers; quick response codes for redemption online or offline; and group buying coupons purchased via mobile. More than 70 percent of US adult digital coupon users will redeem a coupon or code on a mobile device for online or offline shopping in 2014.

The mobile coupon audience will post double-digit growth rates annually through 2016, driven by continued smartphone and tablet adoption and the proliferation of digital channels offering coupons easily accessed by mobile, such as mobile apps, daily deal and group buying sites, email, and social networks. eMarketer expects that by 2016, mobile coupon users will represent nearly 83 percent of all digital coupon users. This is huge!

The Revenue Opportunity
There are a number of different ways to engage consumers and drive revenue opportunities, including:

  • Coupons: Mobile coupon redemptions in the U.S. will exceed 53 million this year. The mobile coupon audience will post double-digit growth rates annually through 2016, driven by continued smartphone and tablet adoption. (Source: Business Insider 2014)
  • Geo-Targeting: Geo-targeting has boosted the success of SMS-delivered coupons, with retailers seeing high redemption rates from coupons sent to consumers close to their stores.
  • Loyalty Programs: Consumers expect to be rewarded for brand loyalty, particularly millennials. A 2014 poll by Bond Brand Loyalty indicates that 6 in 10 millennial respondents would switch from brands they buy and two-thirds would change when and where they shop, if it meant getting a better loyalty program.

Don’t Forget the Tablet
Year after year, tablets are becoming an increasingly important part of a brands mobile strategy. According to eMarketer, in 2014, 80.2 percent of mobile coupon users will use a tablet for redemption, compared with 75.4 percent who will do so on a smartphone. Tablets are frequently used for in-home digital purchases, which boost tablet coupon redemption.

Coupons, geo-targeting, and loyalty programs can be offered, tracked, and monetized with a mobile engagement platform. Additional revenue opportunities include banner ads, mobile video, rich media and SMS campaigns. But keep in mind that more friction points in the redemption process will greatly reduce the use of mobile based offers. So keep it simple for consumers to redeem your offers.

The data from Black Friday on-line shopping as well as coupon redemption data from Cyber Monday should tell an interesting story for retailers who have made a strong commitment to mobile couponing to drive commerce and increase total purchases by incentivizing their consumers.

Geo-Targeted Mobile Marketing Is Not a Trend

Video accounts for 50 percent of all mobile data. Experts are predicting that geo-targeted mobile marketing will be the hottest trend for 2014. A large majority of mobile advertising focuses on location, as this is one of the biggest advantages to utilizing this type of marketing. Along with geo-targeting comes a ton of great reasons to include video into your marketing mix if you haven’t yet

Video accounts for 50 percent of all mobile data.

Experts are predicting that geo-targeted mobile marketing will be the hottest trend for 2014. A large majority of mobile advertising focuses on location, as this is one of the biggest advantages to utilizing this type of marketing. Along with geo-targeting comes a ton of great reasons to include video into your marketing mix if you haven’t yet. This week’s blog will give you some insight on some of the benefits of using geo-targeted mobile marketing.

Remember the first day of college when you tried to get to your classes by reading a map? Remember the embarrassment of entering the class late? If you could have had a more efficient way to navigate to your classes, I’m sure you would have used it. If you were an administrative decision maker for the same school, you would find data used by those same lost students helpful in planning the flow of traffic for your next event.

Businesses inside of malls are now offering banner related ads in part of their targeting. Many of these retailers are including a directory to the their searched stores making them easy to find as well as dangling a bunch of carrots in front of their retail noses. You can forget about having to look for the kiosk that shows the “You are here” arrow. Mobile marketing not only helps with ROI, it also helps maintain customer retention by offering easy-to-find sales and store location, the shopping experience just got easier.

Apps like Vine and SnapChat are making a killing on posts with advertising. Businesses like the Gap encourage their visitors to use these types of apps to shout out “cool” finds while visiting their stores. With the idea that you can send and receive information about sales while you’re on the go it seems that this is really going to make some waves at the cash registers.

What good is advertising when you are physically on the move? The cell phone is the perfect solution to people on the go who don’t want to carry a ton of direct mail, newspaper coupons etc., while they shop.

This type of data is collectable and can be monitored, measured and maintained with the help of Google Analytics.

While they have been predicting the use of mobile marketing as the hottest tool next to the Ginsu Knife, this year will prove to be one of the biggest uses of mobile marketing.