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Mobile has surfaced on the scene faster than any other new moderate over the past 90 years and mobile coupons would be the category to watch.

digital coupon solutionMobile Coupons

Mobile coupon are, consent based promotions where merchants send electronic vouchers into some subscribers' mobile telephones. Unlike other kinds of electronic couponing (email / web) mobile coupons are read immediately with a 95% read speed. Mobile coupons may be delivered in a verity of electronic forms, such as QR or data matrix barcodes, Universal Product Code (UPC), or through special coupon code. The coupons can then be redeemed through particular barcode scanners that read them or by entering the unique number to a relevant website or a point-of-sale (POS) machine that prints out a paper coupon.

Benefits of Mobile Coupons vs Classic Coupon

Mobile coupons (m-coupons) are much more efficient in both shipping and price than paper coupons. ) Using papers and coupon books sent through the U.S. mail do not provide any direct link between your business and the person who uses the voucher. A legitimate mobile voucher effort is permission based, another words, there's an immediate link between your business offering the cell coupon and the person choosing to use it. Therefore, promotions and advertising utilizing cellular coupons have a higher value and offer a direct connection to the person with the coupons. Because of this mobile coupon promotions make for a great loyalty program.

In contrast, newspaper coupons cost anywhere between $0.25 and $0.40 per mailed coupon, with average redemption rates of about 1-3 percentage, according to Frost & Sullivan, a market research company. Based on Frost & Sullivan, successful m-coupon solutions can benefit from high redemption prices. Email vouchers possess a redemption rate of 8 percent but lack the second open speed of M-Coupons. By way of instance, in August we launched a multi-channel effort with Amigos Tex-Mex Restaurant which led to 24% redemption rate or 109 guests redeem the m-coupon, also via a'refer a friend campaign" we included an extra 70 new subscribers during the 30 day campaign. A&P supermarket chained launched a m-coupon campaign with double digit redemptions prices and recently iHOP's m-coupon redemption hit 12 percent according to Mobile Commence Daily.

Business ROI

"For companies, m-coupons offer a fantastic ROI," said Peter Conti, junior executive vice president in Borrell Associates, Richmond, VA."Redemption prices are 10 times that of email - or newspaper - distributed vouchers. Small businesses are adapting to the mobile channel since it's cost effective and compels outcomes. My small business customers are on average are getting a 12-15% increase in visitors only a single station mobile advertising (not print or radio).

Consumers Benefits

According to Frost & Sullivan, customer expectations from cellular coupons could be outlined as follows:

- Convenience of portability - customers Don't Have to carry paper coupons with them
- Ease of use (redemption)
- No additional costs to receive offers
- Privacy protection
- Non-intrusive coupon shipping (junk mail)
- Single interface for Many offers
- Powerful storage and demonstration of coupons that are delivered
- Automatic updates
- Enhanced interactivity Choices
- Straightforward device requirements

Challenges of Mobile Coupons

The challenges associated with m-coupons are how redemption is handled to prevent misuse and the way to achieve mass distribution. Unlike direct mail where you can essentially spam your community with paper coupons equally email and m-coupons require the consumer to provide permission or"opted into" the m-coupon campaign.

Redemption Abuse

Redemption abuse or coupon is when a guest or even a client presents exactly the same coupon multiple occasions to redeem the offer. Unlike paper coupons, the restaurant or merchant can't really collect the voucher upon salvation, unless they utilize bar code scanners, thus the coupon may be redeemed again and again or plotted to buddy to be used again. Paper coupons don't encounter this issue however they do have a big problem with counterfeit coupons.

In my experience most small companies I consult to create m-coupon programs don't encounter broad spread abuse. Best practices demand all promotions to have a challenging expiration date, training staff on the promotion and the redemption requirements and tracking the redemptions, usually with a designated"voucher" key on the POS or register. Adding unique coupon codes is just another very affordable way to monitor redemption although it requires your staff to record the code manually. The recent development of QR code scanning apps, it is possible to download to your smart phone will be the alternative to overcoming the matter.

We also need to remember the point of a marketing is to push businesses and if a client gets away with redeeming a m-coupon twice that means they made two purchases, which is the point of this effort anyway.

Assembling Your"Mobile VIPs"

To be able to achieve mass distribution you want to build your subscriber bases, the more clients that opt-in to your mobile advertising and marketing program the higher your reach, thus the greater your distribution. Mobile subscriber lists are not as simple to build as an email list as most individuals do not have spare cell phone numbers such as the do email addresses. Mobile works best within a muti-channel campaign. Another words, including your short code (5 or 6 Digital Coupon System number) and key words (text"Pizza") on your print advertisements, Facebook webpage, website, radio campaigns and your email campaign with a distinctive value proposition for picking in key. Depending upon your existing marketing plan and advertising budget, a company requires 60 to 90 days to construct a decent mobile subscriber app. Restaurants that currently use cell phone pager systems have a benefit. They possess the guest cell number so as to seat themnow they just send a follow up message that provides a promotion if the guests contributors to their own"Mobile VIP" program. Assembling that initial information base is essential moving ahead and by choosing the ideal mobile marketing partner will determine how successful you will be in the long term.

The Forecast

Market researchers have found a strong correlations with the growth of smart mobile users and m-coupon use. In terms of cellular coupon utilization, over 300 million users around the globe will have used cellular coupons by 2014 and this use will generate a redemption value close to $6 billion worldwide, according to a prediction and report by Juniper Research. Do your customers have mobile phones, if so provide them the chance to receive and redeem your coupons.


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