Mobile Marketing Tool for Retailers
Consumers who sign-up for a retailer’s SMS marketing list really want to start a dialog with the retailer. First, the consumer must text-in a keyword to the retailer’s shortcode or in other words, opt-in to the retailer’s SMS marketing list. Second, the consumer must confirm their wish to receive messages and SMS coupons from the retailer. Lastly, the retailer has to provide a means for the consumer to easily opt-out of the marketing list at any time.
Using SMS, a CodeBroker retail customer was able to add an average of 10,000 names per day to their SMS marketing list over a three- to four-month time period. Several days the retailer saw over 25,000 sign-ups. Consumers clicked-through from a link in the SMS message to a mobile web form to complete the sign-up process. By doing so, the retailer collected a full CRM record from new subscribers. Unique to CodeBroker is a behind-the-scenes security model that prevents customers from signing up multiple times to receive a generous sign-up offer.
2014 was the year we crossed the chasm where there were more mobile devices than people on the planet. According to GSMA’s real-time tracker, there are over 7.22 billion mobile devices compared to 7.19 people (US Census Bureau). Because mobile devices are personal, people keep their phone with them at all times and are constantly checking it for messages, emails, updates, etc. – the perfect mobile marketing tool for a retailer to stay connected to their customers.
97% of people look at a text message within the first three minutes of receiving it. There are no other marketing channels that can claim an open rate of this magnitude. In addition, CodeBroker has observed that 20-50% of consumers click on a link in an SMS message to view a mobile coupon. Some retailers have experienced click-thru rates as high as 72%.
Marketers only have 160 characters to get their message across. If the retailer is delivering a coupon, the marketing message is even shorter if a link to the coupon is included in the SMS message. Using SMS puts good copywriters to the test as the marketing message needs to be succinct and clever. But with a well-worded SMS message, a sense of urgency can be created driving increased mobile coupon redemptions.
SMS is a great mobile marketing tool for retailers to engage with their customers. In addition to sending marketing messages and offers, many retailers develop promotions such as text-to-win, sweepstakes and voting in order to add variety and fun to the communication mix. One CodeBroker retail customer hosts an in-store event several times a year at locations throughout the country. The retailer has found the sweepstakes generates a lot of excitement and keeps customers shopping in the store for the entire event.
One of the best features of using SMS as a marketing channel is the ability for retailers to react instantly. Promotions can be set-up and sent to customers within a matter of minutes letting retailers be super responsive to the market. For example, promotions CodeBroker retail customers have deployed include special discounts to move inventory that is not selling, reminder messages for an upcoming special event, or contingency offers to drive in-store traffic that are triggered at the last minute.
A retailer can see how many times a customer has viewed a message as well as when the offer was redeemed and at which location providing visibility into the complete path to purchase. Due to CodeBroker’s unique security model, coupon fraud and liability are greatly reduced as each customer receives and can redeem only one mobile offer regardless of the number of times they view it.
#9. Proven ROI.
Based on recent findings, there’s no question retailer’s realize a significant return on their investment using SMS. For just pennies a message sent, CodeBroker retailers have experienced millions of dollars in incremental revenue per month for a single promotion.
Another interesting finding in a recent analysis of CodeBroker’s retail customer promotions is that exceptional revenue results are realized when SMS promotions are layered with additional channels and coupled with reminder messages.
If you’re just beginning the process of evaluating SMS as a marketing channel, we recommend you work with a solutions provider. There are many benefits to working with a solutions provider. First, a solutions provider will provide an easy-to-use web portal that will save you time when launching new programs and running reports. Second, account management/assistance becomes more important as your message volumes increase. A solutions provider who has a lot of experience working with large retailers will ensure your campaigns run smoothly and the messages conform to current guidelines and policies allowing you to focus on creative ways to use a mobile marketing tool to engage with your customers.