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September 30, 2013

Mobile Affection: Overwhelming Majority of Consumers Are Happy to Share Mobile Location Data With Trusted Brands

mBlox, a leader in mobile business-to-person engagement, recently announced new findings from a survey conducted by Millward Brown Digital in eight countries that show consumers welcome location-based engagement with companies via mobile devices. Plus, the findings reveal 59 percent of global respondents prefer SMS and push campaigns over other forms of mobile marketing, including video advertising, banner or standard display ads, and email.

The survey revealed 80 percent of respondents would share location data with brands in order to receive SMS or push messages. However, while consumers indicated they are open to receiving these messages, most prefer opportunities with known or favorite brands and want to ensure the messages contain relevant marketing opportunities, alerts and notices that they have opted-in to receive.

When asked why they would share location data with a company:

  • 47 percent would do so in order to receive relevant offers or discount coupons
  • 45 percent would do so in order to receive information they have requested
  • 36 percent would do so in order to help them solve customer service issues
  • 24 percent would do so in order to check-in or post on social networking sites

Also according to the survey, 58 percent of global respondents say they would send a text message to a company to request more information, and 54 percent of global respondents say they would send a text message to a company to enter a competition. Given that only 1 in 5 marketers sent an SMS message last year according to Chief Marketer, the survey results indicate that SMS messages are an effective mobile engagement tactic preferred by people but underutilized by marketers.

"These findings show that mobile marketers have a tremendous opportunity to utilize mobile messaging as a preferred channel for highly personalized, micro-targeted marketing campaigns," said Michael Becker, mobile evangelist and marketing development exec for North America at Somo, a full-service mobile solutions company, in a news release. "They also show that marketers should use the channel with care, that trust and message value are critical to consumers, and that marketers must strategically utilize consumer preference, behavior and location data in their design to ensure effectiveness."

The findings have important implications for marketers. According to The Guardian, over four billion people send text messages, which means SMS has more users than Facebook, Twitter and LinkedIn combined. Additionally, recent data from the IDG Global Solutions2013 Mobile Survey reveals that 83 percent of global survey respondents own or use a mobile device, and 56 percent of smartphone and 73 percent of tablet owners or users have made a purchase using their mobile device. Mobile gives marketers access a large global reach and has a high-propensity to encourage purchases, and SMS and push marketing better engages people in a way that is consistent with their preferences.

"As the Millward Brown Digital survey shows, the majority of people today find value in targeted, relevant SMS and push messages sent by a company," said mBlox CEO Tom Cotney, in the release. "When consumers are telling you they want to, if not expect to, be contacted just by downloading an app, it would be foolish not to take advantage of that. If you're a marketer, why wouldn't you engage people via the channel and methods they prefer?"

Additional findings from the survey include:

  • 68 percent of global respondents and 66 percent of U.S. respondents find SMS or push messages sent to them from a company to be valuable
  • 57 percent of global respondents and 60 percent of U.S. respondents find SMS and push messages more likely to persuade them to make a purchase than other forms of marketing on a mobile device, including advertising commercials or video advertising, banner or standard display advertising, and email marketing messages
  • 75 percent of global respondents and 75 percent of U.S. respondents are likely to read or engage with SMS and push marketing messages, such as location-triggered coupons, updates or deals relevant to the mobile apps downloaded

Millward Brown Digital surveyed a collective 1,572 mobile users over the age of 18 who had downloaded an app in the past 12 months in the following countries: the United States, the United Kingdom, Australia, New Zealand, France, Germany, Spain, and Italy. The research was fielded between July 16, 2013 and July 24, 2013.

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