Mobile Couponing

By Business.com Editorial Staff
Business.com / Technology / Last Modified: February 22, 2017

What Is A Mobile Coupon? A mobile coupon is exactly what the name says – a coupon that consumers access on their mobile ...

What Is A Mobile Coupon? A mobile coupon is exactly what the name says – a coupon that consumers access on their mobile phone. What do consumers use it for? The same thing they use printed coupons for – to receive discounts or rebates on the product or service that they are purchasing. The concept is that simple. Many businesses hear the word mobile and assume it is something far more complicated. In practice, a mobile coupon works the same way that a traditional coupon works. In other words, it is exactly what your customers expect it to be. So how does it work? There are two broad types of mobile coupons. Some mobile marketing firms offer their clients barcode based coupons. Other firms offer text message based coupons. Club Texting allows you to use either type of coupon. Now let’s discuss the pros and cons of the two types of mobile coupons.

Mobile Coupons Using Barcodes
– If you decide to launch your mobile couponing campaign using barcodes you’ll create an image of a barcode, which you then send to your customers. Mobile barcodes are popular with larger companies, as they offer enhanced tracking. The difficulty with barcodes is that different consumers have different phones, which support different methods of receiving images. Some mobile marketing firms providing barcode based couponing platforms require consumers to download a reader application to their phone. This is far from ideal. Multimedia Messages (MMS) are another way to deliver barcode images. This solution allows wider scalability, though extending an MMS campaign across multiple carriers can be difficult, if not impossible. Sending a consumer a text message (SMS) with a WAP link to the barcode image is the third option. Virtually all mobile phones support text messaging, and the vast majority of Americans are familiar with texting. Following the WAP link requires a mobile web browser. Most phones sold in the past three years have a WAP browser, and about 40 percent of Americans have visited a mobile website. Thus, a WAP link offers the widest reach. Club Texting’s mobile couponing platform allows you to upload your barcode image to our WAP server. The software will then insert a link to the image into a text message, which you can send to your customers. However you deliver your barcode image, you will use some form of barcode reader to scan the coupon, which is displayed on your customer’s mobile phone’s screen.

Mobile Coupons As Text Messages
– Text messaging based mobile-coupons offer the widest reach. Nearly every phone in the United States supports text messaging. Over half of all Americans have sent or received a text message. The average mobile phone subscriber sends nearly 200 text messages every month. When you look closer, at the prized 18 – 29 demographic, the adoption rate is even higher, edging toward saturation at 85%. Among those 30 – 49 years old , the adoption rate is at 65% and climbing. So text messaging offers unparalleled reach. The drawback is that you can’t track text message coupons with the same depth as you can track barcode images. That’s not to say that text messaging offers no tracking. Any mobile marketing platform worth your advertising dollars will allow you to track delivery and response rates with alphanumeric codes. A consumer will redeem the mobile coupon that you have sent them by showing the text message to you. Text message based coupons are quick, simple, and they offer unbeatable price and reach. Text messages are cheaper to send than MMS, and consumers who don’t have unlimited data plans won’t have to pay to download the barcode image.

Key Uses For A
Mobile Couponing Campaign When you decide to launch your first mobile couponing campaign you will need to decide on what to offer your customers. The options are as endless as your imagination, but most companies go with the same types of coupons that they use offline:
  • Price discounts
  • Buy-One-Get-One-Free offers
  • Free products to drive foot traffic (or virtual traffic!)
  • Sweepstakes entries
  • Cross-Selling offers
So why would you launch a mobile couponing campaign? If you’re reading this
guide you probably already know the benefits of offering coupons to your customers. Maybe you’ve run print coupon campaigns, maybe you haven’t. Either way, these are some of the most common benefits of sending mobile coupons to your customers:
  • Driving traffic to your store (brick & mortar or virtual)
  • Enticing customers to attend a special event
  • Building brand loyalty
  • Targeting specific customers with custom offers
  • Saving your customers money in difficult economic times
  • Creating buzz for a new product launch
  • Building a database of customers you can market to in the future (Club Texting’s platform automatically stores the information of customer’s who opt to receive your mobile coupons)

How To Launch A Mobile Couponing Campaign
In 4 Simple Steps How easy is it to launch a mobile couponing campaign? You can have a straight-forward campaign up and running in under an hour. More complex campaigns can be launched in days. Either way, the process is dead simple when you use software like Club Texting’s mobile marketing platform.
  • Is your mobile couponing campaign push, pull, or both? Will you be pushing your coupons to an existing database of customers who have opted to receive your mobile marketing campaigns or will you be pulling in new customers? Of course you can do both, allowing you to reach old customers and win new customers with the same campaign.
  • Choose a format for your mobile coupons – As we discussed a couple of pages ago, you can go with barcodes or text messages. Weigh the pros and cons and decide what is best for your company. Bar codes limit your reach, whereas text messages are limited to 160 characters. Either way, Club Texting can deliver your coupons.
  • Create your coupon & send it out – What are you going to offer your customers? Study after study has shown that consumers are extremely receptive to mobile coupons. Offer them value and they’ll respond. You will then create your barcode or compose your text message, and enter it into the mobile marketing software.
    • If you’re running a push campaign as soon as you click send your mobile coupons will be delivered to your customers.
    • If you’re running a pull campaign, you’ll now promote your coupon throughout your store and in your marketing materials. Club Texting allows your customers to sign up in a number of ways, but the most convenient way is by allowing them to text a unique keyword like YourBiz to our short code 25827. (See the Case Studies below for examples)
  • Redemption – Your customers visit your store, coupon in hand (on their mobile phone). They purchase an item and present the coupon at checkout. If your store is virtual you can send a text message coupon with a promo code to be entered at checkout.
Visit Club Texting to learn more about Mobile Coupons.

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