Mobile Users Ready for Location-Based Text Marketing July 11, 2010Posted by StrategicGrowth in demographics, local marketing strategies, mobile, mobile coupons, Mobile Marketing.
Tags: eMarketer, ExactTarget study, feature phones, Foursquare, Gowalla, Harris Interactive, interest in receiving text alerts, location-based marketing, location-based text alerts, mobile coupons, Mobile Marketing, mobile user statistics, Morgan Stanley, Placecast, smartphones, text alerts
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The assumption that marketers make who are still unfamiliar with Mobile Marketing and its benefits, is that it only works on consumers who have high-end smartphones. In my discussions with small business owners who are considering the use of mobile as a part of their marketing strategy, there is a strong belief that Mobile Marketing can’t be effective because, though growing rapidly, the smartphone consumer segment is still in the minority as compared to feature phones. Therefore, they believe that a majority of consumers will not be able to see their ads.
However, much to the contrary, any number of studies conducted in the last couple of years indicate clearly that Mobile Marketing is a highly effective medium at reaching all consumers, not just smartphone owners. And not only is mobile effective with consumers, it is also in-demand from them. The most effective method of mobile marketing is SMS (text) messaging, due to its ability to cross all mobile operating systems; it has no dependence on being able to access a smartphone.
The study detailed below, conducted by Harris Interactive, clearly indicates that consumers of both smartphones AND feature phones are quite open to receiving SMS messages and that location-based messaging is increasing their effectiveness.
JULY 6, 2010, eMarketer blog
Mobile marketing is not just for smartphones
That means a large swathe of mobile users cannot be reached by more sophisticated mobile marketing efforts like sponsored apps, in-app ads or campaigns on the mobile web. According to location-based advertising network 1020 Placecast, opt-in text alerts are the smart way to target a fuller mobile audience.
A May 2010 survey conducted for Placecast by Harris Interactive found that while most mobile users still have not signed up for any text alerts, there was a small rise in interest since a similar poll in 2009: 28% were at least somewhat interested in the alerts, up 2 percentage points, and 8% were extremely or very interested, up 3 percentage points. For under-35s, interest was significantly higher.
Those who wanted the alerts were most interested in coupons and promotions from grocery stores and restaurants. Respondents who had signed up for text alerts said it made them more likely to visit the company’s website (34%), visit the store (33%) and purchase the product being promoted, either in online (28%) or in the store (27%).
Many agreed that making those text alerts location-based, so that recipients would get the right offer at the right time, could make the channel more useful or interesting.While awareness of location-based text alerts is still building, there is the potential to reach a broader audience than with check-in apps such as foursquare or Gowalla, which are designed with smartphone owners in mind. And despite negative attitudes of many mobile users toward SMS marketing, Placecast reports low opt-out rates among recipients.“The brand faithful view these kinds of alerts as a service, not just marketing or an intrusion,” Placecast CEO Alistair Goodman told eMarketer.
Tags: comScore, eMarketer, Hispanic Mobile Users and Usage study, hispanics and mobile, hispanics and retail, Sterling Commerce survey, Strategic Growth Concepts, wireless-only households
June 25, 2010
Young mobile population eager to communicate and connect
Like many Americans, Hispanics love their mobile phones and take them everywhere, more than non-Hispanic whites and, in many cases, more than blacks.
“Hispanics cannot imagine daily life without their mobile phones and credit the technology with strengthening relationships and keeping them connected to their social world, not just friends and family,” said Lisa E. Phillips, eMarketer senior analyst and author of the new report “Hispanic Mobile Users and Usage.” “Marketers who are just turning to mobile will find a market well ahead of them.”
Hispanic mobile phone users are younger than the Hispanic Internet population, according to eMarketer estimates and comScore: 50.7% of mobile phone users are between 18 and 34 years of age compared with 35.6% in the same age group among Hispanic Internet users. The Hispanic mobile phone population skews even more male than the general population: 55.6% of mobile phone users are male, compared with 51% of males in the Hispanic population.
Hispanics lead all other groups in wireless-only households. And while Hispanics lag behind other ethnicities in having broadband Internet access at home, a full 78% of Hispanic mobile Internet users have some form of Internet access at home.
“In-store mobile marketing is the next big thing,” said Ms. Phillips. “Hispanics are not big online buyers, but they are using their mobile phones to check out products and deals while standing in the store aisles.”
Like most other consumers, Hispanic shoppers are looking for good deals. They use mobile devices to check on prices, product information and inventory while shopping in a store, according to a Sterling Commerce survey.
Retailers take note: Hispanics who are shopping in-store want to buy the product then and there. If they do not find it, 29% said they would use their mobile phone to locate an out-of-stock item at a competing retailer.
The full report, “Hispanic Mobile Users and Usage,” also answers these key questions:
- What does the Hispanic mobile market look like?
- Which mobile devices do Hispanics use to go online?
- Are Hispanics amenable to viewing mobile advertising?
- How can marketers reach this mobile audience?