Traditional paper coupons were long favored by businesses, who hoped that their customers would put them to use and drive up sales. The cold reality is that almost 99% of paper coupons are never redeemed. But mobile coupons? They're changing everything.

Mobile coupon users are expected to grow to 53.2 million this year, and with a redemption rate of 10%, you can't afford to ignore the new generation of discount fans. If your business is ready to take their mobile marketing to a new level, here are a few tips that will help you get the most out of mobile coupons.

Send mobile coupons to your customers at the most opportune times and increase sales.

What are Mobile Coupons?

Just to be clear, a mobile coupon is a digital message that is received by a customer through their mobile phone or similar device. By showing the coupon received on their screen, the customer can get a discount when purchasing a product or service. Text messaging is still a very personal form of communicating, which is why over 99% of all messages are opened.

When a customer opts in to your text message database, you are able to reach them with promotional deals at anytime, anywhere. There is no other type of marketing solution that can offer this kind of guarantee and effectiveness.

With an almost 99% open rate, you are almost guaranteed that your customers will open your message.

Ways You Can Use Mobile Coupons

A mobile coupon can encompass a wide range of uses, and there is plenty of room for you to get creative in the process. Most mobile coupon deals cover the traditional types of discounts such as BOGO, percentage or dollar amount off, giveaway entries, and last-minute discounts. Here are a few scenarios where mobile coupons might come into play for your business.

• You are a new business, or beginning a mobile marketing campaign, and you have no database of customers or prospective customers. You begin advertising a substantial discount on one of your most popular products that customers can receive by texting in a special keyword. You can then take their details in exchange for the coupon, building your database quickly as a result.

• You own an entertainment business and want to begin branching out to a new demographic of customer. Advertising discounts in areas that the intended demographic frequents or through social media advertising, you can reach those customers and offer free entry or exclusive invites that get them and their friends through the door.

• Your business already has a substantial database of customers but you are looking to increase sales. By looking at the past purchases of previous customers, you send out coupons for the same or a related product to something they have bought before. Sales increase and customers keep returning.

Mobile coupons couldn't be easier; customers simply show their coupon for a discount.

Mobile Coupons Make Customers Happier

Research has shown that the happiness of customers is directly affected when they receive mobile coupons. During a study with Dr. Paul J. Zak, Professor of Neuroeconomics at Claremont Graduate University, women who were given a coupon off their online grocery shopping bill had significantly higher levels of oxytocin, a decreased level of stress and were 11% happier than those who did not receive a coupon. Take that how you will, but if a mobile coupon can make your customers happier, that will affect their perception of your business as well.

Mobile coupons can help increase your sales, get more people through the door, and create happier and more devoted customers. What have you got to lose?

Jessica Galbraith is a text message lover and full-time writer.

Clothes shopping for kids can be a perilous experience. They either don’t like anything you see, or they don’t want to go in the first place. Dragging the little ones round a mall on a Saturday afternoon can seem like a thankless task that you still end up with a huge bill for. 

Enter Dean & Grace, the boutique kids clothing store that lets you buy threads via text message. The idea is as refreshing and devastatingly simple. The company texts pictures of clothes to parents who have opted in to their SMS list. The image includes a shot of the outfit, a brief description and the size and pricing information. Customers simply reply to the message to place an order. Sign up is free, and can be done via the website, or by texting ‘Joindg’ to 76000.

On signing up, parents select the age, size and gender of their child so they only receive relevant texts. As with any reputable boutique store, supplies are limited – the first respondents get priority on purchasing the items they want. 

The number of texts your receive will vary according to inventory, as well as the size and gender details you submit. Sign up for one child and you’ll get around one text per week (opting out is a simple matter of texting “STOP” at any time).

And the clothes are cool enough even for the most jaded tween, with plenty of cute styles going on, enough to satisfy diverse tastes. In addition to carrying boutique lines from across the globe, Dean & Grace carry classic kids brands including Viva La Fete, Silly Goose, Masala Baby, Toobydoo, Trish Scully and Doodlepants. Sizes range from newborn to size 7. If you want a specific item, you just respond with the keyword “want’ to place a bid”. Shipping is free.

Demand is so high, many customers have been placed on a waitlist, so it’s important to get in early if you want a piece of the action. If you do end up on the waitlist, Dean & Grace will notify you by SMS as soon as a spot becomes available.

Shopping via text message is a thoroughly 21^st Century experience. So why not give it a whirl?

According to an article over at EnterpriseInnovation.net, new reports show that cross-border online shopping is on the rise. 

Cross-border online shopping will be worth $105 billion this year, with 94 million consumers regularly buying from overseas websites, a new report released by PayPal and Nielsen showed. This is forecast to increase nearly 200 percent to $307 billion by 2018, with 130 million cross-border online shoppers.

This is likely to draw even more of a focus on web presence in retail, including mobile marketing presence. But for those who can handle the marketing challenges, catering to a more global market could be a blessing for retail sales.

David Marcus, President of PayPal, says “The emergence of these ‘modern spice routes’ is great news for businesses the world over. Our message to merchants is if you are looking for new ways to grow your sales, especially in an economic downturn, start selling directly to 94 million cross-border shoppers in these 6 markets and own a piece of this $105 billion market.

 

Will this create a marketing struggle for local, small businesses? Read more about this new trend at EnterpriseInnovation.net!

An interesting article over at MobleMarketingWatch.com reports that more U.K. users are beginning to opt-in for retail-related SMS.

More than 7 million people in the United Kingdom may opt-in to retail messaging on their mobile devices by 2015, marking growth of 38% over today.

Also, while women are more likely to opt-in for retail, men are still more open to receiving regular messages. One expert says:

“Consumers want to feel in control, not spammed in their personal space, so it’s up to retailers to make sure they truly understand how best to reach their followers with a view to turning them into regular shoppers."

 

Is this a sign for an upcoming U.S. trend? Read more about these new findings at MobileMarketingWatch.com!

An interesting article over at Mobile Commerce Daily points out that while mobile commerce can be a great tool for retailers, it also presents a bit of a double-edged sword. One Beverly Hills marketing director says :

“Marketers are learning that they need to create a proactive mobile engagement strategy in order to keep their shoppers using their phone to interact with them while in-store instead of performing a quick search to see if they can find the same product for cheaper.”

While this presents a challenge, there are still a number of opportunities for marketers:

Targeting parameters such as the language in which a phone is set in, the precise location of a user, and specific usage data have helped retailers place ads more efficiently and acquire new customers, per Ms. Lowy.

Then there is SMS marketing, which has consistently proved to be one of the most powerful remarketing tools and is often used by marketers to drive consumers in-store.

So, how do you use the tool most effectively while avoiding its challenges? Read more about this at MobileCommerceDaily.com!

If you've had any doubts about the effectiveness of mobile marketing, think again. According to recent studies, not only has mobile marketing already proven to show results, but sales are expected to jump by over 50% within the next 2 years alone.

Consider that last year mobile marketing generated an estimated $139 billion in U.S. sales. This figure takes into account both business to business and business to consumer sales.

The association claims the “MMA Mobile Marketing Economic Impact Study” released last month, is the first comprehensive study of U.S. economic performance across the mobile marketing industry.

So, how can small business owners take advantage of this profitable opportunity?

For many small businesses, this could include focusing on making sure you have a mobile friendly presence. It could also include focusing more attention on social media marketing, much of which is accessed via mobile devices by your customers.

Read more about this at SmallBizTrends.com!

According to the National Retail Federation the average American consumer will spend $80 this year on Halloween decorations, constumes and candy. Here's the key quote:

"Seven in 10 Americans (71.5%) will get into the haunting Halloween mood, up from 68.6 percent last year and the most in NRF’s 10-year survey history. Consumers are expecting to spend more too; the average person will spend $79.82 on decorations, costumes and candy, up from $72.31 last year, with total Halloween spending expected to reach $8.0 billion."

If you're in retail and you're already using SMS Marketing, these numbers should have you fired up. A given text message that will take pennies to send might lead to $80 in sales. Fire up those Halloween text messaging campaigns now! Haven't added text messaging to your marketing mix? No worries, Club Texting is free to try and getting started takes seconds. Try us now!

Interesting analysis on the intersection of traditional retail and mobile marketing from the other side of the pond:

The retail industry is experiencing a revolution on a par with the introduction of plastic payments in the 1950s or the launch of the internet and e-commerce in the early 1990s. The mobile device, a gadget we check more than 200 times every day, is changing the way we discover and buy products and services.

PayPal predicts that we won't have physical wallets by 2016. Visa Europe predicts that 50% of all its transactions will be made via mobile by 2020, and retailers are already reporting that up to 12% of their traffic comes from mobile channels (eDigitalResearch, May 2011). There is no doubt the market is buzzing with expectation and retailers are starting to catch-on.

Read more at The Guardian.

Looking to take your text marketing campaign to the next level? Read our Mobile Couponing guide and learn how to use Club Texting to start texting mobile coupons to your customers.

Don't have a Club Texting account? Sign up now. It's free to try.

2009's holiday season was the largest mobile ad season to date. However, early indicators show that 2010 will blow 2009 away in this department. Experts predict that companies will spend more money than ever on mobile marketing campaigns this upcoming holiday season. More people than ever before will be searching for coupons and deals via their smart phones, and companies will be sure to deliver.

“Brands and marketers that do not include mobile in their holiday marketing plans this year will miss out on a growing number of consumers who will be considering products via their mobile devices, especially those with advanced smartphones who search and browse products and brands,” said Neil Strother, Kirkland,WA-based practice director at ABI Research.

To read the entire article, click here.

To learn more about mobile marketing, visit Club Texting.

With a large percentage of the world texting away on their cell phones, one would think that major retailers would use this to their advantage but according to recent studies retailers are baffled by the cell phone. To help retailers, the National Retail Federation recently published a 176-page guide about the advantages of using cell phones as a marketing device:

"A new study from Forrester Research, Shop.org and the National Retail Federation (NRF) found that 62% of retailers surveyed either have not begun planning a mobile marketing strategy or are still in early stages of development"

To get more facts from this recent study follow this link: http://www.instoremarketer.org/article/61142

Want to learn more about mobile marketing for retail? Visit Club Texting

There's an interesting story over at Mobile Commerce Daily about a company called Where. Where platform’s primary focus is to provide customers with location based mobile coupons, as well as increase merchants’ conversation with their local target market. In other words, according to where you are-you will be able to access special discounts and promotional alerts. We like that you can customize your mobile coupons to be saved for a later date or to be alerted when a coupon is about to expire- creating tons of value for the consumer.

Want to learn more about Mobile Coupons? Read our Mobile Couponing Guide

Want to learn about Mobile Couponing? We've got a guide for that!

The technology has been around for a few years, but couponing campaigns have only recently taken off with brands and consumers. We first started to see major brands launch national couponing campaigns last year.

Since then, three things have changed. First, consumers have grown familiar with mobile coupons; second, companies like Club Texting have launched dead simple couponing platforms; and third, financially stressed consumers are looking for ways to save money.

Now is the time for your business – small and local, or large and national – to launch a mobile couponing campaign. You no longer need to pay a marketing agency tens of thousands of dollars to run your campaign for you; Club Texting’s mobile marketing platform allows you to Do It Yourself. This guide will show you how easy and effective mobile coupons can be for your company.

Read more about mobile coupons in our guide at Club Texting.

According to Mobile Marketer, Nike has just launched a new mobile app for the iPhone called Nike Goal.

Nike has launched a mobile application leveraging its sponsorship of Italian soccer and further ingratiating the sportswear giant with the game’s fans.

Called Nike Goal, the iPhone application is an extension of the company’s Nikefootball.com site. The app targets Italians who love soccer as well as Nike as a brand.

“The purpose of the application is to provide a free service to Italian football [soccer] fans who want to stay connected to the game and the teams and players they support,” said Martina Zavagno, digital marketing and ecommerce manager at Nike Italy.

J. C. Penney Company Inc. is using mobile to help customers beat the rush at its biggest After Christmas sale ever.

The retailer’s stores opened at 5:30 a.m. – the earliest opening on the day after Christmas in company history. For the first time ever, JCPenney offered an After Christmas sale “Wake-Up” call. Customers could visit jcp.com beginning Dec. 23 and sign-up for the “Wake-Up” call to their mobile phone.

“The strategy here is to get customers excited about coming into our stores on the day after Christmas,” said Kate Parkhouse, a spokeswoman for JCPenney, Plano, TX. “The day after Christmas is becoming an increasingly popular shopping event.”

Read more here.

Circle K joined 50 merchants in the Phoenix area in a pilot mobile-marketing program conducted by Visa and JPMorgan Chase & Co, reported the In-Store Marketing Institute. The program, targeted at ages 18 to 34, provides Circle K with the ability to deliver offers and other messages by SMS text. Chase credit and debit cardholders can enroll at online at Chase’s Web site, where they select preferred retailers and offer preferences such as discounts.

Circle K is the largest company-owned convenience store chain in the U.S, and second in overall number of U.S. stores to 7-Eleven.

Two giants get together for a mobile marketing campaign:

Wal-Mart has teamed up with Disney for free wake-up calls and customized activity reminders from Hannah Montana, star of the hit Disney Channel television series. By logging on to http://www.hannahmontanacalls.com, moms and dads can select the date, time and theme of their child's wake-up call or activity reminder and have them sent to their kid’s mobile phone.

Read more @ Mobile Marketer.

An interesting piece from the WSJ:

Analysts like to make bold predictions about the growth of mobile advertising. Most have overshot reality.

But at least one slice of the business appears to be catching on, according to marketers: ads sent via text message. A growing number of companies are using cellphone text messages to lend more interactivity to their ads.

Why are they using text messaging?

Ad executives report click-through rates with text-message ads of 1% to 10%, a significant jump from the figures for Web banner ads, which are typically only a fraction of that.

Read more at The Wall Street Journal.

What do Fudgie the whale, the short code 78247, and five 42" TVs have in common?

The nation's favorite spokeswhale, Fudgie, is breaking into mobile marketing and asking consumers to text "FUDGIE" to 78247 to receive a coupon for one of the new blended coffees or Arctic Blenders and a chance to win one of five 42-inch TVs.

Read more about this mobile couponing effort at MarketingDaily.

Check out Club Texting for more information about Text Messaging for Retail (including mobile coupons).

The New York Times recently ran an interesting article about mobile coupons:

Is a coupon still a coupon if you can’t clip ’n’ save it? Betting that the answer is yes, some advertisers are beginning to invest in mobile coupons — discounts that are delivered to customers’ cellphones (with their permission), often via text messages.

Read more at the New York Times.