SMS Marketing Industry News

SMS Ignites Mobile Marketing Revolution

Internationally recognized brands, large U.S. brands and even smaller brands all over the world are all cementing the notion that text messaging is an effective marketing platform. SMS is expected to generate close to $200 billion in global services revenues in just three years, according to ABI Research.

“If there was one universally broad trend we’ve seen emerge in 2008-09, it would be that companies nationwide are finally beginning to understand how cost-effective, targeted and ROI driven mobile marketing can be,” says Shira Simmonds, President of Ping Mobile. “We have seen a complete shift in the mentality of clients with respect to mobile marketing,” she explains. “What was once a fairly misunderstood form of marketing in terms of its pricing and strategy has now emerged as an essential marketing tool considering the significant role technology plays in the average U.S. consumer’s life.”

SMS is the leader in the mobile marketing space because it is the aspect that consumers are used to. The mobile device has become the lifeline for Generation Y, yielding significant opportunity for brands to capture and covet this audience. Companies ranging from Coca-Cola to Hawaiian Airlines to Jiffy Lube and Best Buy, are all taking advantage of short code messaging services by building a database of consumers for future re-marketing from the brand. They are marketing in a range of ways, including simple information messaging, rewards programming, couponing and even direct SMS purchasing.

The only challenge mobile marketing faces in 2009 is the economy. Companies are looking to reduce their spending and this means there will be a large pool of marketing companies fighting for a small pool of ad dollars. The challenge will be to convince executives that investing advertising funds into mobile versus other media, is a safe, inexpensive, and effective strategy.

In a recent Brandweek issue, a study was published showing that around 70% of CEOs said they would be testing mobile advertising in 2009. The mobile marketing game is now wide open for drastic growth.

To read more from Mobile Marketer, check out the post here.


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