Growing businesses urged to invest in mobile marketing

Growing businesses can better reach potential clients by investing in mobile marketing, an expert has said.

Writing for Utalkmarketing, Raam Thakrar, chief executive officer of Touchnote, noted that with over four billion mobile handsets now in use worldwide, mobiles have become "a ubiquitous accessory".

He said that because mobiles tend to be held in close proximity to their owners, they present a particularly suitable marketing channel to growing businesses which sell products that are time specific.

In addition, Mr. Thakrar advised small companies to create their own mobile applications, observing that this will allow firms to have a permanent presence on their clients' handsets.

"The rise of mobile applications has already changed the way businesses interact with consumers and many app stores are now enormously popular," he added.

This week, Tony Wanless of Knowpreneur Consulants wrote for the Financial Post that growing businesses can be more authentic in their marketing than larger corporations.

67% Of The World's Population Are Mobile Subscribers

A new report published yesterday by the UN indicates that 67% of the world's population, or two-thirds total, are mobile subscribers - far outweighing online access.

67% of the world's population represents around 4.6B people, up from only 1B in 2002, indicating staggering continued growth. In developing nations, however, the uptake is even more substantial with 57% of the total population in these nations being mobile subscribers, even though other technologies are scarce.

To compile the report, the UN tallied mobile phone, land-line telephone and Internet usage in 159 countries, which ranged from the most advanced European nations to the least developed nations in sub-Saharan Africa. The report also found that Internet use has grown, but at a much slower pace. It's no secret that mobile devices are replacing computers in many parts of the world, and that a large majority of Web usage is attributed to mobile.

The potential for mobile marketing is obvious, especially in developing nations, with cellular penetration (CP) more than doubling in developing nations such as Africa and India since 2005. The CP in emerging markets exceeded 50% for the first time in 2009, reaching an estimated 57% by the end of the year, the report claims.

Providers and carriers are already taking note, as earlier this month, Vodafone revealed it will target consumers in India and across Africa with two new, ultra-low cost handsets which will support mobile banking and other services. Without immense competition as felt in developed nations such as the US and European countries, the possibilities are endless.

Where's The Emphasis On Hyperlocal Mobile Marketing?

While we all understand the benefits of mobile marketing on a large-scale, why then does the concept of hyperlocal mobile marketing seem to always get lost in the mix?

I live in a small town, filled with small businesses and business-owners locked in to legacy ideals when it comes to marketing. The thought of targeting customers via mobile devices is a concept that many scratch their heads about when planning their marketing strategy, and usually go back to old-time techniques when finally executing that strategy.

For those located outside the tech-savvy regions of the US, where mobile marketing is deemed the frontier of marketing innovation, the concept is still largely overlooked by those who can benefit the most from it- small businesses. While there are startups trying to bring the new-age ideals of mobile marketing to a hyperlocal level, it remains shrouded in obscurity for most SMB owners.

In large part, I think it all comes down to simplicity. Cutting through the big words, various platforms and OSs, techniques and methods associated with mobile marketing, and instead focusing on the bottom line of using method X to achieve more sales/leads/etc should be emphasized on a hyperlocal level. If SMBs get confused by the concepts, they'll return to their so-called tried-and-true marketing methods, which may be easy to understand and implement, but not nearly as effective as a simple mobile strategy would have been.

Simplicity also ties into education of what is possible in terms of mobile marketing on a hyperlocal level. Explaining the concepts in their most simplest forms without over-complicating the issue is key to SMBs understanding of what is possible with the medium. Most business owners don't keep up on what's going on the mobile space, and likely have no idea of what is possible. If they do, they're likely overwhelmed with the complicated nature usually associated with mobile marketing.

Getting back to basics, educating SMBs on the immense potential of the concept without over-complicating things are small steps in bringing widespread adoption of mobile marketing beyond the confines of large enterprises to the primed hyperlocal market.

There's a long way to go, but a shift in thinking is necessary to make it happen.

-Mobile Marketing Watch

More merchants embrace mobile coupons

Research group predicts more than 300 million mobile coupon users globally by 2014

As cell phones become appendages that many people can't live without, businesses are increasingly eyeing them as prime real estate for their marketing and advertising messages.

Whether it's to build a brand, boost business or reward loyalty, more merchants are adopting mobile marketing strategies to tap into the cell phone's power of immediacy.

"It's cool," said Kristen Palestis of Plantation at a Jamba Juice in Fort Lauderdale recently after she opted in to receive a 20 percent coupon on her cell phone.

"I'm spending less money, and it was real easy," said Palestis, 25, who used the coupon to buy a smoothie.

Palestis received the coupon within seconds of texting a special five-digit code from her cell phone.

Retailers' mobile marketing messages can include text messages with numeric 'short codes' that customers dial to receive a promotion, bar-coded digital coupons, Web page or website links and display advertisements.

"We know the most effective way to reach the customer is to be where they are," Jamba Juice spokesman Damon Miller said. "For our customers this means both on the Internet and on their mobiles."

Since September, Jamba Juice's 20 South Florida locations — 22 statewide — have been testing a text message campaign that invites customers to sign up for offers on their mobile phones.

Getting special offers quickly into the hands of the consumers who are most likely to use them is what Jamba Juice and others are striving for.

These mobile social users, as they're called, represent 11 percent of American online adults, but their ranks are growing, according to Forrester Research Inc. They're more likely to respond to ads on their cell phones, buy mobile content and services such as ringtones and access the mobile Web.

"We've seen fantastic results both in opt-ins and redemptions of follow-on offers," Miller said.

Jamba Juice, a national chain of more than 700 smoothie stores, plans to roll out the campaign to other markets this year, he said.

Companies that embrace mobile marketing know they have to be careful not to abuse the access consumers have granted, so permission-based text message offers are becoming the standard.

Trade groups like the Mobile Marketing Association in New York have set guidelines for marketers that are designed to protect the consumer, said Jeff Michaud of 3Cinteractive in Boca Raton, a mobile technology firm.

These include opt-in, opt-out and message delivery frequency standards, he said.

Worldwide the number of mobile coupon users is forecast to triple by 2014 to more than 300 million people, according to Juniper Research.

Although usage is still relatively nascent in the United States, the mobile applications revolution is fueling growth of coupon specific services.

During the recent holiday season, many tech-savvy consumers used mobile shopping apps to get coupons on their smart phones and comparison shop.

...Merchants continue to test the water, many motivated by cost efficiencies. Experts say e-coupons have higher average redemption rates — 5 percent to 15 percent, compared with 1 percent or less for print coupons.

This month JCPenney is rolling out a mobile coupon program nationwide after doing tests in 16 stores in Houston, spokeswoman Kate Coultas said.

In the Northeast, Wendy's International also is testing a mobile coupon program.

Chick-fil-A recently added a 'Text Insiders' program on its website for fans to sign up for offers on their cell phones.

Dunkin' Donuts could be next if it takes a cue from Fresco Development Group, a Coral Springs franchisee with seven Miami-Dade County locations.

Last year Fresco sent a free iced coffee coupon to consumers living near its stores who'd already opted-in for promotional text messages.

This was done to generate buzz and learn more about the consumers' demographics and shopping psyche, co-owner Scott Ball said. "We had very good success with it."

Ball, who sits on Dunkin' Donuts national marketing steering committee, said the chain is considering launching a program nationwide.