Case Study Analysis onSMS Advertising: A New Media

Mix Tool

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SMS- Popular service among cell phone users

Lower Costs

Convenience

Faster Communication

Immediate update of delivery

Form of documentation

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SMS is it a FAD?

SMS as a service Mobile a substitute to Landline phone Lack of awareness of SMS services Trust issuesSMS as a marketing tool Clear message delivery issues Lesser number of phonesSpecific target audience only

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SMS Advertising - PROS

• Broad usage and availability of technology

• Direct and personal interface with the customer

• Frequent usage of Mobile technology and receptive

customers

• Lower cost than the conventional marketing channels like

Television, Radio etc..

• Bulk messages..

• Messages can be recorded and revisited..

• Target segment can be set

• Lesser time of reach to a larger segment

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SMS Advertising - CONS

Less Expected percentage of final

conversion

Considered as privacy invasion by

some of them..

Difficult to describe the product or

service in a short message format

High cost when compared to e-mail

or search marketing…

Illiterates cannot be targeted with

this technology…

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SMS Vs Conventional Media

• Low cost advertising

• A definite target segment

• Easier and better reach

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Customer engagement in all the stages of

the Product Life Cycle

• Before Product Launch – Details

• Post Launch – Availability

• After Purchase – Acknowledgement

• All stages – Offers

• Sweepstakes

Updating about the Company in all aspects

SMS Advertising Usage

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Skepticism of Indian Advertisers

Perception of mobile as a Premium product

Poor awareness about the features of the mobile

Poor Network coverage in most areas

Internet boom

Very few service providers

Conservative to respond

Expensive affair

Lingual Barrier

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SMS advertising in India

Strategies to be followed in IndiaLingual and regional based targetingAttractive offers and gift vouchersLimited Period offersSeasonal and festive mode advertisingSuggested MethodsTie up with service providerSpecific targeting from Local databaseCreating awareness about SMS services using

other mass media

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Mobile Users Post 2002

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