The value of mobile coupons redeemed by consumers will exceed
$43 billion globally by 2016, driven by better targeting and mobile
apps, according to a new report from analysts Juniper Research.
The global redemption rate for mobile coupons will average at
more than 8% by 2016, more than eight times better than the rate
achieved by the best paper coupon campaigns, Jupiter predicts.
Juniper's report, Mobile Coupons: Ecosystem Analysis &
Marketing Channel Strategy 2011-2016 says North American and
Western European markets are now beginning to follow the same
growth path as the Far East and China. By 2016, it says there will
be over 600 million regular mobile coupon users worldwide.
The report argues that mobile coupons have compelling advantages
over their paper and online antecedents and are particularly
strategic for bricks and mortar retailers in the quest to regain
ground lost to online retailers during the internet revolution. A
mobile coupon bridges the divide between online and physical
retailing and can be individually targeted to drive footfall to
stores.
Juniper warns, however, that the rise in mobile coupon
redemption rates will only come after an initial period of
experimentation by both coupon issuers and users, during which
redemption rates may actually decrease slightly. After this period,
redemption rates will then start to rise steadily.
According to David Snow, the report's author, "As with all new
mass markets there is an initial 'shakeout' period. North America
and Western Europe are at this stage now. For the next few years,
users will be signing up to multiple coupon schemes and deciding on
the ones they like best - so now is a crucial time for mobile
marketing agencies to get it right on behalf of their clients and
establish a loyal customer base."
The global redemption rate for mobile coupons will average at more
than 8% by 2016, more than eight times better than the rate
achieved by the best paper coupon campaigns, Jupiter
predicts.
Juniper's report, Mobile Coupons: Ecosystem Analysis &
Marketing Channel Strategy 2011-2016 says North American and
Western European markets are now beginning to follow the same
growth path as the Far East and China. By 2016, it says there will
be over 600 million regular mobile coupon users worldwide.
The report argues that mobile coupons have compelling advantages
over their paper and online antecedents and are particularly
strategic for bricks and mortar retailers in the quest to regain
ground lost to online retailers during the internet revolution. A
mobile coupon bridges the divide between online and physical
retailing and can be individually targeted to drive footfall to
stores.
Juniper warns, however, that the rise in mobile coupon redemption
rates will only come after an initial period of experimentation by
both coupon issuers and users, during which redemption rates may
actually decrease slightly. After this period, redemption rates
will then start to rise steadily.
According to David Snow, the report's author, "As with all new
mass markets there is an initial 'shakeout' period. North America
and Western Europe are at this stage now. For the next few years,
users will be signing up to multiple coupon schemes and deciding on
the ones they like best - so now is a crucial time for mobile
marketing agencies to get it right on behalf of their clients and
establish a loyal customer base."