Mobile ‘irresistible’ when it comes to location-based marketing

Engaging with prospective customers either within or near a point of purchase via text message is a trick that businesses can’t afford to miss, according to several industry experts.

Despite the fact that more than 40 per cent of advertisers intend to use SMS in their marketing campaigns next year, the majority of businesses are still failing to embrace texts. However, the CEO of the Mobile Marketing Association, Greg Stuart, believes that the ability to tap into a consumer’s daily habits with relevant offers and location-based messages is only going to become more effective.

“Nobody resists mobile today,” he said. “There are inflection points where you can create great change. Mobile is part of that today.”

Stuart named mobile-based transportation network Uber and similar companies as those who have successfully optimised their marketing strategies for mobile customers, and have grown significantly as a result.

Proximity marketing techniques, such as automatically texting a previous customer with a special offer when they are near a branch or point of purchase, allows businesses to capitalise on the increasing use of push notifications on smartphones. In a recent Cisco survey, almost half (46 per cent) of respondents said they want personalised promotions delivered to their mobiles, while 38 per cent said they want personalised product offers, notes.

According to Jessica Ekholm, research director at Gartner Inc., businesses must make a shift when it comes to the user experience they present to consumers.

She told “The future will be tough for [communications service providers] that decide not to upgrade the user experiences they deliver on their services and products. The winners will be those providers best able to satisfy consumers’ demand for high data use, while maintaining their margins.”