3Cinteractive Blog

The mobile marketing medium is defining its future as a viable channel for consumer impressions and conversions. Unlike blast e-mail marketing, which failed because of a lack of regulation, mobile marketing has shown tremendous conversion rates. E-mail marketing is now at such a low-conversion, because of the decreased sensitivity of the end-user, it’s borderline useless. Mobile marketing and text messaging is a viable impression and conversion medium because users have such a high sensitivity to the notifications they receive. Don’t be fooled, there’s more to it than sitting in their pocket - that’s just one, albeit, critical factor - it is also because the abuse rate has been low. Cell phone users are very aware of the ability to turn off notifications for text messaging, and if markets abuse this service, they will; much like many have switched off notifications for e-mails because the iPhone has no spam filter.

The carrier’s strict regulations have benefit mobile marketers in this fashion, as they have managed to prevent end-users from feeling spammed. As mobile marketing begins to take off in 2008, and shortcodes reach the spotlight, more of this responsibility will rest on the Application Service Providers and mobile marketers. In fact, the future of 50% conversion rates rests in the hands of the mobile marketers; following a few simple steps can preserve the most affordable and most profitable medium to hit marketing.

1. Double Opt-In
While only T-Mobile and Verizon wireless require double-opt-in for marketing messages, requiring all participants to double opt-in will significantly reduce the potential that you will have an unwilling subscriber on your marketing channel. When users opt-in, make sure to send a follow-up message asking them to reply with Yes, Y, or something similar, to confirm they want to receive the messages you’re interested in sending them. Confirmed users are interested in receiving messages and you won’t run into complaints.

2. Send Like Offers
Not only is it a violation of the mobile acceptable use policies to avoid this rule, it is also common sense. If you have a valid double opt-in registration for television coupon offers, don’t send alerts for the local car wash. Unrelated, but demographically targeted offers are more appropriate for appended messages, where the user has solicited information and you are providing relevant advertising in the remaining character messages of the information they requested. To emphasize my point, I was excited to sign up for mobile alerts through http://www.wiialerts.com, knowing that I would only receive mobile alerts when Nintendo Wii’s hit Amazon.com at their normal $249 price. So far, that has been all I have received, and I will keep my subscription despite already having bought a Wii from the first set of alerts sent to me - just a few days before Christmas. If this were to change, I would remove the service and never think twice about rejoining. Send users what they signed up for, and they’ll stay subscribed for as long as they’re interested in converting on your messages. Send users something they’re not interested in and they’ll never rejoin your services.

3. Don’t Bait Your Call-To-Action
If you are offering a Call-To-Action that requires a conversion off of the handset, such as visiting a full html website, be very clear with the offer to the end users. Nothing screams UNSUBSCRIBE like a user that took time to sit down at his/her computer only to find out they’re not getting what they were told. While a baited Call-To-Action may receive more conversions from handset to website, the conversion from website to product will not be any better. An honest Call-To-Action will have great conversion rates and leave consumers satisfied with your mobile offering.

4. Convert on the Handset
An ideal mobile marketing message involves a message and conversion that occurs entirely on the handset. This was extremely popular early in mobile marketing when ringtones and wallpapers dominated the space as the call-to-action, download, and product were all received on the handset. Conversions are still very high when the end-user is required to convert outside of the handset, by visiting a website or store. However, a conversion that happens on the handset, keeping a user in his/her context, limits the barriers to entry. IVR, WAP, and MMS are great services to provide on-handset conversions. Text-to-Screen and Interactive Radio campaigns are also on-handset conversions if the user is in a position to see a result of their participation. Users love the convenience and instant gratification of mobile technology. Appeal to that desire, and your conversion rates will directly reflect their happiness.

5. Maintain A Tolerable Frequency
A good way to annoy a user is to make them feel inundated with text messages. For web registered campaigns, in which another communication method was provided for notifications, such as an e-mail address, a good rule of thumb is 1 message every 1-2 weeks. If your end users are expecting more frequent messages, send at the frequency they are expecting, and avoid varying! An advantage to the double-opt-in message, is the ability to confirm the frequency that users will be receiving messages. Unexpected alert campaigns, such as product availability, should be kept to the 1/week average, unless confirmed by a double opt-in. If your product is not that rare, then subscription double-opt-in should be used as the campaign is more representative of inventory alerts. User requested information can always be sent at the frequency of a user texting in for information. Maintain a tolerable frequency and your users will maintain sensitivity to your program and thus, convert on your offers.

6. Send Good Offers
You’re playing around in the holiest of marketing grounds: their pockets! Send users something that makes them feel like a VIP. Convenience coupons on useless items will almost always end up with low conversions… unless your metric for conversions is the STOP keyword. Going back to the WiiAlerts program, I’d be more receptive of a like offer related to a free Wii Remote, than 5% discount on a new XBox game. Remember - text messages, even on an unlimited plan, are a cost to the consumer; don’t take advantage of that. A broad spectrum of like offers can still fit in this category and a perfect example are the RSS feed offers provided by www.woot.com. Woot has made a viable business offer sending out 1 very solid deal each day and they usually sell out. Be clear with your opt-in message; send reasonable offers and you’re consumers will happily reward you with high conversion rates.

7. Know When To Stop
If you are using lists of subscribed users that registered for alerts, know when the list has been exhausted. It’s a good rule of thumb to assume that very specific alert subscriptions will be exhausted after 3 months of receiving alerts. In the case of WiiAlerts, it’s safe to assume I will no longer be interested in receiving alerts about Wii’s 3 months from now. This is a more subjective measurement, so pay attention to your lists and be very picky when continuing alerts beyond 3-4 months. Monthly reminders of the terms and conditions and opt-out procedures of their subscription will avoid issues related to exhausted subscriptions. Confirm with your users monthly and you will safely remove potential consumer complaints.

By following a few simple guidelines, mobile marketers have the ability to preserve marketing opportunities in one of the fastest grown consumer industries. Text messages are expected to reach a staggering 2.3 trillion in 2008; entering this medium with the end-user in mind will allow mobile marketers to benefit from large profits over the most afforable marketing medium to-date. An unprecedented medium that has yet to meet its match should not be abused, or marketing companies are destroying great opportunities in an advertising focused world.

- Ainsworth