With more than four billion mobile subscribers worldwide, companies need to start realising the benefits of SMS marketing, says SMSS.
According to Derek Botes, CEO of SMSS, a global SMS marketing and bulk SMS service provider, the mobile advertising ecosystem has matured considerably and the industry can now provide real solutions at a fraction of the cost.
The global explosion in instant messaging (IM) has, in many ways, been fuelled by the uptake of the mobile phone, he says, and research companies worldwide predict that spending in the cellular industry will continue to grow and will be stimulated predominantly by applications making use of SMS.
Until recently, the company says, companies looking to harness the power of mobile messaging platforms have had to face barriers to entry, which included price, technological complexities and the lack of available applications.
“Choice has been limited and companies have had to use specialist companies whose forte in the SMS arena has made them, in many cases, a luxury. It could only be afforded by a very niche set of blue chip companies with massive marketing budgets.”
Botes says the pervasive nature of the mobile industry has allowed the devices and phones themselves to creep into the hands of people everywhere.
“The increase in the number of global and, more importantly, local users, makes it the perfect delivery mechanism for companies and individuals looking to get a message directly into the hands of the user.”
SMSS themselves have released a business platform with capabilities for SMS and MMS marketing.
“Companies, big and small, can fast increase their revenues and achieve higher profit margins with SMS marketing. Corporate's have already recognised that mass marketing is not that effective anymore and that sharper targeting is vital. This enormous mobile customer base is already of great interest to advertisers,” Botes says.
According to the company, mobile advertising is not an isolated product or service that drives revenues, but forms part of a business model integrating other mediums such as outdoor advertising, printed media, radio and television. Mobile advertising involves using a variety of services such as SMS, MMS, mobile TV and WAP, to carry advertising.
Botes says very little effort is required to initiate a pilot or new SMS or MMS marketing campaign and the return on investment is considerably higher compared to other media types. “With over 75% response rates being recorded, SMS marketing has proved to be more profitable when compared to traditional advertising.
“SMS marketing is efficient, not only from a cost perspective, but it also delivers the required results. Brands are increasingly considering mobile, not in terms of a once-off campaign, but as a valuable tool for remarketing to and building an on-going relationship with their customers. In fact, many are calling mobile the ultimate customer relationship marketing tool,” he explains.
"Companies have to deliver the right content in the right context. If we can combine consumer-behaviour information and current service usage, we get perfect targeting easily matched with a campaign. Mobile operators have this information and the reach and we provide the technology that can provide targeted advertising that enhances the user experience," he concludes.
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