What are the benefits ofmobile marketing?
Mobile phone marketing, otherwise known as SMS marketing, is the modern evolution of direct marketing. Direct marketing has always been supported by companies as a personalized and focused method of reaching new consumers and, with the advent of cell phones, SMS marketing has risen in usage. SMS marketing is perhaps best defined as the practice of advertising products and services using digital distribution channels to reach consumers in a fast, focused, personal and cost-effective manner.
The most prevalent form of mobile marketing is SMS marketing, which has expanded very quickly in Europe and Asia. It is thought that several hundred million marketing messages are sent through SMS every month in Europe alone. SMS stands for ’short message service’ and is a communication form specific to cell phones where a short message can be easily sent to any cell phone user. As well as sending content to consumers, advertisers can often encourage consumers to join in marketing and brand exposure promotions by encouraging consumers to SMS a selected number at an event in order to enter a competition, to receive a gift or to have their text displayed on a multimedia wall at an event. All of these methods engages the consumer through the medium of SMS and creates brand exposure.
There are many other types of mobile marketing. One example is sending texts via MMS, which is a multimedia version of SMS, allowing consumers to receive messages with color, pictures and video. There is also mobile web marketing, where brands publicize marketing objectives through websites accessed by cell phones. Publicists often make innovative use of SMS marketing such as location-based services where consumers are offered bespoke promotions and other network-related information and marketing information based on their location. With the variety of methods and options available to marketers, it is little surprise that a recent marketing survey found that 89% of major brands planned to market their products through mobile marketing by the end of 2008.
SMS marketing is an example of what is known within the industry as “push” marketing. The concept behind push marketing is that that the marketer has to send (push) the material to the subscriber in order for the material to be received. This is opposite to “pull” marketing, a more unobtrusive form of marketing, where it is users who seek out the content from sources such as websites or blogs.
There are lots of advantages to SMS marketing. Primarily, the attraction is that this method of marketing can be personalized to the subscriber. This is the gold standard in marketing as it means getting the material specifically to the group it’s focused on, instead of squandering dollars on an broad campaign. The personalization allowed by this mode of advertising, which results in a more cost-effective campaign, is one reason why a high return on investment is possible with SMS marketing. Another advantage of SMS marketing is the detailed tracking and reporting of recipients it permits. Through this medium, promoters can track how many groups received their material and also access detailed data about each subscriber such as their name, their age, their demographic and where they’re located. This permits a business to develop profiles of their users; data which then guides future marketing campaigns and, ideally, their success.
It is noted in the industry that push marketing, of which SMS marketing is a type, can help drive new revenue and brand reinforcement if it is used correctly and appropriately. This is because it makes users aware of new additions that they may not know to find already and the way the material is phrased, and even the fact that the material is being delivered by a contemporary, young medium such as SMS, can say a lot about a brand and a company.
There are, however, some disadvantages to SMS marketing. By its very nature, it needs a mechanism - the cell phone - in order to send information. The company, as well, must make use of specialized hardware and applications in order to send the content to users, which can mean considerable costs. Another negative is the fact that SMS marketing is heavily regulated by the telecommunications industry in response to consumer worries about what data and promotions they get shown. Most Western countries have laws in place that compel businesses to gain the consent of users before marketing content is received by them and must clearly provide them with an ‘opt out’ option if they ask to stop receiving material. If businesses are discovered to be in violation of these laws, network providers can block marketing information by businesses.
As mobile technology improves, SMS marketing will certainly continue to gather in importance.











