the new business advantage 05 24_2010

The New Business Advantage

The Benefits of Mobile (SMS) Marketing

Customer Initiated, Customer Generated

• Customers have to request promos/offers to get them

• Customers will not cry “SPAM!”• If they weren’t interested, they wouldn’t have

texted in• Customers can “opt out” at any time by simply

replying “STOP” to any message

The Business

SMS Gateway (Aggregator)

(companies that are certified to provision the SMS gateway from multiple carriers)

Sprint

AT&T Verizon

Mobile Marketing Provider (Harness Mobile)

Participating Businesses

End User (Customer)

Types of Gateways (Aggregators)

• Tier 1 – Has agreements/software in place that communicates with all major and most minor wireless carriers (Open Market, MX Telcom, Motricity, mBlox)

• Tier 2 – Has agreements/software in place that communicates with most major and minor carriers

• Tier 3 – Has some agreements in place…

Short Codes

• Dedicated Short Codes purchase for one business- (i.e., Walmart, Pepsi)

• Dedicated short code(s) to be shared. (HMobile, Hip Cricket, Sumotext)

• Resellers of shared shortcodes- (buy rights to sell keywords to clients.) – Cookie cutter applications, non-modifyable.– Smaller margins, usually more expensive

Why Harness Mobile?

• HM is run through a Tier 1 Gateway, Open Market

• HM owns a dedicated (5 digit) short code. • HM has a completely customizable, scalable

software/application platform that will grow with and adapt to the changing market.

The Market

• The secret is out, mobile marketing is the new platform for effective customer contact

• # of text messages doubled from the June 08 to June 09 in the US

• 53% of texters are 35+• 25-49 age group, 72% use text messages• 18-24 age group…just about everyone!

Easily Build A Strong Client Database

• Re-market to existing opted in customers• New customers constantly opting in• Develop customer profiles by sending

identifying questions to respond to• A strong or creative/fun offer will spark a viral

response ( forwarding your offer to friends/family)

Track/Measure Existing Marketing and Advertising Efforts

• Mobile Couponing, Text2Win, Polling, VIP Clubs, Customer Loyalty Programs, Trivia, etc.

• Individual keywords for each marketing effort– “Text PIZZA1 to 27922 for instant coupons” (in the local paper)– “Text PIZZA2 to 27922 for instant coupons” (on a flyer)– “Text PIZZA3 to 27922 for instant coupons” (in ValPak)

Real Time Marketing Messages Based on Real Time Market Conditions

• Slow Day? Send out a great special to get customers in the door.

• Surplus of Inventory? Send a BOGO offer• Send out lunch specials at 11:30• Send out Happy Hour Specials at 4:30• Static ads are now interactive and

modifiable at a seconds notice

Your Messages WILL get Read!

• Junk email? Filters? Spam folders? • No such thing with SMS

• 160 character limit- you will get to the point quickly• You customer wanted them in the first place!

Higher Conversion Rates

• Text messages have a 94-98% read rate (in comparison, click through B2C promotional email marketing campaigns often range from about 2% to 12%. – Lyris)

• 30-40% average conversion rates– Why?

• Leave a paper coupon at home, it stays at home. Leave you cell at home, you go back and get it!

• Customers get messages while they are already out and more likely to purchase

• Customer always knows where to find the coupon

“Green Marketing”

• No additional paper• No “coupon cutting”