This blog post is by our guest blogger, Ken Rhie, CEO of Trumpia. It’s a great article on using digital coupons to build customer loyalty and boost sales.
How Mobile Text Coupons Improve Customer Loyalty and Boosts Sales
More and more companies are realizing that sending coupons to your customer’s mobile phones is a game changer. Digital coupons are easier to create and a lot simpler for customers to remember than traditional printed coupons. Clipping coupons is quickly becoming a thing of the past, as mobile coupons are redeemed 10x more often than print, and they can be generated instantly.
Here are 5 reasons that texting customer mobile coupons will see help drive sales and increase your bottom line:
Higher Redemption Rates
Of course, the point of your coupons is to boost sales. Text coupons are more likely to get opened and clicked than emails. Mobile coupons were 14% more likely to be opened and 34% more likely to generate click-throughs to websites. People prefer immediate offers and want coupons that are personalized for their shopping habits. Because of their high open rate, text messages lead to more sales.
Digital ads and text coupons are great because they require very little from you. While you might want to have a professional design a graphic for your coupon, you don’t have to worry about printing or paper costs. You can save on a lot of time, effort and material expenses by shifting over to mobile text coupons. They can be generated and sent instantly, so if your store is having a slow day you can send out a coupon for 10% off a product you are promoting.
If you schedule your coupons in advance, then those posts can even be made in advanced. You do not need to be available when you want to engage your audience. Better yet, you can plan ahead and create coupons that coincide with important events or holidays that impact your brand or your customers. Planning ahead means less chaos in formatting and sending out those messages the day of your big sales.
Paper coupons are almost impossible to track – leaving holes in your analytics and no contact information for future content. Text messages are opened 98% of the time and read within 3 seconds. Once a customer has seen your coupon, you can follow up with them and see if they want to offer you more information so that you can give them more personalized deals. For example, if you send them a coupon for a meat lovers pizza and they redeem it, you can then follow up and see if they would be interested in future meaty pizzas! The more information you have on a customer, the better you can keep them satisfied and coming back for more.
Tracking isn’t just good for your strategy efforts, it increases the value your brand can offer the customer. Mobile Marketing Watch found that 26% of their mobile users increased the amount of items in their carts when coupons targeted their favorite products. And, 65% of their audience redeemed their targeted coupons within 5 minutes. People are willing to spend more time and even shift to mobile payment methods if they see that their favorite products are featured in coupons. In a world where comparable competitor products are literally a click away, savings and convenience matter.
Mobile coupons should be part of your mobile strategy. For more information on how to improve your customer satisfaction, loyalty and conversion rates with a good mobile coupon texting campaign, click here!
Ken Rhie is the CEO of Trumpia, which earned a reputation as the most complete SMS solution including user-friendly user interface and API for mobile engagement, Smart Targeting, advanced automation, enterprise, and cross-channel features for both mass texting and landline texting use cases. Mr. Rhie holds an MBA degree from Harvard Business School. He has over 30 years of experience in the software, internet, and mobile communications industries.