Retailers to Send Up to 3 Billion 'mobile Coupons' to Phone Users by 2011

New figures from analyst firm Juniper Research estimate that almost 3 billion mobile coupons will be issued to Mobile Users by 2011, with just under $7 billion of discounts redeemed.

The new Juniper study finds that mobile coupons are becoming an increasingly important tool for brand owners and retailers to provide a 'push to purchase' capability for mobile marketing and advertising campaigns. The key issues driving the move to mobile coupons include:

Cost savings on campaigns
An increase in ARPU
One-2-one marketing opportunities
An increase in customer retention for mobile operators - lower churn
Higher conversion rates
The expansion of mobile value added services
Reduced fraud

However, Juniper identified some notable challenges for the sector, including a hesitancy from some retailers to adopt mobile coupons. In addition, some retailers would have to change from using laser scanners to optical readers that use the required CCD, technology to read barcodes, especially 2D barcodes from mobile phones.

Other key findings from the report include:

2.6 billion mobile tickets set to be delivered by 2011
Early use of mobile barcode technology will be gradually complimented by the emergence of NFC (Near Field Communication)
A total of almost $87 billion worth of mobile ticketing transactions by 2011

Juniper Research defines a mobile coupon as “a coupon sent and stored on a mobile phone that can be exchanged for a rebate, a financial discount etc. at a retailer when the consumer purchases a product.” When compared to their paper cousins, mobile coupons offer a number of distinct advantages allowing the coupon issuer a direct connection between themselves and the consumer using the coupon.

Posted to the site on 23rd April 2008

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