The following mobile marketing case studies and examples showcase the power of using SMS marketing to build and grow business. You can use it to generate text message marketing ideas for your organization and for general benchmarking.
Case Study #1: Dunkin’ Donuts Coupons Drive Local Sales
Dunkin’ Donuts wanted to introduce its hot lattes to young adults in the Boston area. Their October campaign delivered a mobile coupon for a $0.99 small hot latte to 7,500 targeted opt-ins (high school and college age students). This was supported by Boston radio DJs on Thursday mornings that month, as well as 400,000 mobile banner ads on Boston-targeted mobile websites. SMS coupon redemption training was provided to over 1,000 Dunkin’ Donuts staff.
- Results: The SMS messaging, targeted WAP, and radio promotions increased in-store traffic by 21% (compare this to a 3 percent redemption rate that’s typically considered very good). 35% of participants later surveyed said they were more likely to buy Dunkin’ Donuts lattes and coffee.
- Findings: 17% of participants forwarded or showed the message to a friend. Promoting the coupon’s viral (“shareable”) nature helped generate more traffic and coupon redemption.
Case Study #2: McDonald’s Offers Instant Prizes with SMS
McDonald’s is one company that has fully embraced mobile marketing, and one seasonal campaign for McDonald’s Italy shows how effective it can be to generate response. The “Merry Xmas in the Restaurant” campaign enabled customers to enter a sweepstakes while in the restaurant and immediately win a prize. Each unique code printed on the cups won a prize (presents ranged from mobile content to physical prizes like prepaid credit cards and mobile phones). The campaign was promoted on TV and in the restaurant.
- Results: In five weeks, there were more than 1.5 million participants — a 25% response rate and the best result of a McDonald’s mobile marketing campaign yet.
- Findings: Binding guaranteed prizes to the purchase of a product with an instant sweepstakes entry mechanism (SMS) can be very effective.
Case Study #3: Orbitz Uses SMS for Customer Loyalty and Engagement
Orbitz launched OrbitzTLC Alerts as a means to engage Orbitz customers, provide travel information including real-time updates, and to reinforce branding (remind customers of Orbitz before travel purchases). A radio campaign introduced customers to OrbitzTLC Alerts and offered dollars off an Orbitz travel package as an incentive to try OrbitzTLC Alerts. Customers also were given the option of subscribing to additional text messages from OrbitzTLC.
- Results: Hundreds of text requests were received on the first day of the campaign, requesting the promo code and opting in for further messaging. After two weeks, response rates exceeded expectations.
- Findings: There were a significant number of opt-ins for further messages from Orbitz, indicating that even one-time promotions can generate long-term customer engagement.
Case Study #4: ESPN Increases New Subscriptions Via SMS
ESPN launched a campaign that used SMS as the delivery platform back in June of 2005, before texting was even as widespread as it is today. They wanted to promote sales of the new ESPN BottomlinePro sports information service, and used a marketing mix of ESPN’s television, print, and online properties. The call to action directed consumers to send a text message and the return message provided a WAP link for users to sign up. On some carriers, download instructions were simply provided.
- Results: Immediate messaging results were seen from on-air crawls and online placements.
Findings: Many more subscriptions were sold when the link to purchase was provided vs. simple download instructions.
Case Study #5: Kraft Foods Launches New Product While Reducing Distribution Costs
Kraft Foods wanted to promote the launch of new instant coffee products, Jacobs 3in1 and Jacobs 2in1. The main objective was to place product samples among early adopters and opinion leaders, while decreasing product distribution costs and building a customer database for future CRM. The call to action invited consumers to request a product sample by texting in a media-specific keyword and was promoted in print and TV ads, as well as with online and mobile banner ads. A targeted list of opted-in consumers also received push SMS messages inviting them to text-in for the sample. Consumers who responded were sent a link to the mobile sampling portal.
- Results: Over 400,000 samples were requested, and more than 80,000 users opted-in for future messaging. The 650 banner ads on selected portals had a clickthrough rate of 3%, and 10.6% of the targeted list responded to the push text messages. 0.4% of users who saw the TV ad ordered a product sample via mobile.
- Findings: Cross-media integration can help drive success. Push messaging to targeted opt-in lists can be one of the most effective marketing tactics.
Source: Mobile Marketing Association, CTIA, Mobile Marketing Magazine