txt2buy sponsors The Retail Conference 2011

SMS payment service launched

The txt2buy service allows retailers to place a call to action in their offline advertising that gives consumers the option to buy products instantaneously.

Retailers add a simple promotion code and SMS number to their print, TV or radio advertising and customers then respond to the advert via SMS and, following a one-time registration process with txt2buy, are then able to buy the product, as well as any others sold through retailers using txt2buy codes within their advertising.

According to txt2buy, SMS promotions work best as part of TV or print campaigns. Txt2buy operates a commission system with retail partners, collecting funds on their behalf from customers and then forwarding the total, less the agreed commission, to the retailer. Retailers themselves provide txt2buy a list of the products they wish to sell through the txt2buy platform, which is then uploaded and made live for sale.

In order to integrate the service with retailers’ operations, txt2buy provides an application programming interface that links its platform into order fulfilment systems. As soon as a payment and order is placed, the order information is transmitted live directly into the fulfilment system for delivery. Brands can also use the system, with sports nutrition brand Maximuscle an early adopter of the technology.

As well as capitalising on impulse buying behaviour, txt2buy said the service opens up m-commerce to all phones, not just those that are internet-enabled or able to download a specific application, as well as reducing the risk of consumers responding to an advert by going online to find the product cheaper elsewhere.

Gordon Ellis-Brown, marketing and brand director at txt2buy, said: “Txt2buy is a compelling new service that has the potential to revolutionise how brands engage with a larger customer base, more than ever before. “It is by far the most convenient way to close a sale, as consumers don’t need internet access to purchase; all they have to do is send a simple text. Any phone that can send SMS messages can buy using txt2buy, meaning it isn’t restricted for those with the latest smartphones either.”

Retailers get text appeal with txt2buy

The marketplace is saturated with news of new mobile phone Apps, fragmented mcommerce solutions and the latest smartphone technology, but the reality is that the ‘tried and tested’ SMS is all any retailer needs to reach over 50 million consumers in the UK.

txt2buy is a new service which enables every consumer in the UK who owns a mobile phone to purchase instantly and securely from any advert by simply sending a text. Following an easy registration process with txt2buy, consumers simply send the appropriate keyword as seen in a retailer’s advertisement to the txt2buy shortcode to automatically place an order for their chosen product. Despite successful implementation of a similar offering in the USA, such a service has not been available in the UK until now and its introduction is predicted to inject a much needed boost for the UK retail industry. In fact, txt2buy is already in early stage trials with some of the most established UK retail brands and is due to appear in mainstream advertising campaigns from as early as July 2011.

According to the founders of txt2buy, the compelling new service has the potential to revolutionise how retailers engage with a larger customer base, more than ever before. It is the quickest way to close a sale, as consumers don’t need internet access to purchase – all they have to do is send a simple text. The fact that it works with current technology means that there is no upfront investment, expensive software or training required. As well as measuring offline spend, txt2buy is able to capture that data and offer massive opportunities for up-selling and cross selling. It also offers another channel to increase sales through online marketing too.

But what is perhaps it’s best feature is that it is the quickest and easiest way for a consumer to purchase a product through mobile and allows retailers to capture impulse buys and close sales ahead of the competition. There is no limit to consumer spend either. Retailers are constantly looking for ways to measure return on advertising spend and strategies to successfully capture more customers and drive more sales without investing large sums of money. With txt2buy making all offline marketing instantly measurable, it seems txt2buy could well be the answer the high street is looking for. © Copyright 2011 

Pay-by-text service to shake up jewellery retail

The txt2buy service has been designed in response to the tougher retail climate, allowing retailers to act on customers who are shopping more impulsively. As advertising and retail have moved into the online realm and smartphone apps are developing, more are finding that consumers do not need to be near a bricks and mortar shop to buy.

txt2buy allows shoppers in the UK to respond and purchase instantly and securely from any advert by simply sending a text. The new service has been coined the ‘PayPal of Mobile’ and involves retailers adding a simple promotion code and SMS number to their print, TV or radio advertising.

Customers simply respond to the advert via SMS and following a one-time registration process with Txt2Buy, will be able to use the system to purchase from any retailer which incorporates Txt2Buy codes within their advertising.

The SMS promotions are said to work best as part of TV or print campaigns and will help jewellery retailers to maximise ‘impulse’ purchases; if a consumer sees an item of jewellery in a brand’s TV advert or sponsoring a television show, they can text to purchase that product in a matter of seconds.

Marketing and brand director at txt2buy, Gordon Ellis-Brown said: “txt2buy is a compelling new service that has the potential to revolutionise how brands engage with a larger customer base, more than ever before. It is by far the most convenient way to close a sale, as consumers don’t need internet access to purchase – all they have to do is send a simple text. Any phone that can send SMS messages can buy using txt2buy, meaning it isn’t restricted for those with the latest smartphones either”.
 

Fear of cannibalisation stifles adoption of m-commerce

There is no doubt that the speed at which technology is advancing is revolutionizing the customer experience and retailers are feeling the pressure when it comes to releasing their own iPhone App or adding new functions to their ecommerce site.

However, whilst many are reluctant to take the plunge and invest already tight budgets into new marketing concepts, e-commerce experts at txt2buy believe that those who fail to do so through fear that it could take customers away from their high street stores, could also be putting potential sales at risk.

“Mobile commerce (m-commerce) is fast becoming a hot topic of interest for retailers due to the recent explosion of mobile apps into the market and the extending capability of handsets, but many retailers are reluctant to explore its benefits and would rather let others take the lead and watch from the sidelines before commiting their budgets to it,” explains Ellis-Brown.

He believes that whilst it can be argued that m-commerce is reducing the need for shopping via a bricks and mortar store, if handled correctly, m-commerce will not cannibalise your existing customer base.

“Embracing the potential of m-commerce will help create a truly multi-channel strategy which will engage a far wider spectrum of customers than ever before and give you a platform to reach out to them, wherever and whenever they want to access and purchase your products or services. The answer lies in simplifying, not complicating, your marketing strategy and making sure m-commerce is relevant and aligned to support your objectives,” adds Ellis-Brown.

Fear of cannibalisation stifles adoption of m-commerce

There is no doubt that the speed at which technology is advancing is revolutionising the customer experience and retailers are feeling the pressure when it comes to releasing their own iPhone App or adding new functions to their ecommerce site.

However, whilst many are reluctant to take the plunge and invest already tight budgets into new marketing concepts, e-commerce experts at txt2buy believe that those who fail to do so through fear that it could take customers away from their high street stores, could also be putting potential sales at risk. 

"Mobile commerce (m-commerce) is fast becoming a hot topic of interest for retailers due to the recent explosion of mobile apps into the market and the extending capability of handsets, but many retailers are reluctant to explore its benefits and would rather let others take the lead and watch from the sidelines before commiting their budgets to it," explains Gordon Ellis-Brown, marketing and m-commerce expert at txt2buy.

Ellis-Brown says that whilst it can be argued that m-commerce is reducing the need for shopping via a bricks and mortar store, if handled correctly, m-commerce will not cannibalise your existing customer base.

"Embracing the potential of m-commerce will help create a truly multi-channel strategy which will engage a far wider spectrum of customers than ever before and give you a platform to reach out to them, wherever and whenever they want to access and purchase your products or services. The answer lies in simplifying, not complicating, your marketing strategy and making sure m-commerce is relevant and aligned to support your objectives," adds Ellis-Brown.

Fear of cannibalisation stifles adoption of m-commerce

There is no doubt that the speed at which technology is advancing is revolutionising the customer experience and retailers are feeling the pressure when it comes to releasing their own iPhone App or adding new functions to their ecommerce site.

However, whilst many are reluctant to take the plunge and invest already tight budgets into new marketing concepts, e-commerce experts at txt2buy believe that those who fail to do so through fear that it could take customers away from their high street stores, could also be putting potential sales at risk. 

"Mobile commerce (m-commerce) is fast becoming a hot topic of interest for retailers due to the recent explosion of mobile apps into the market and the extending capability of handsets, but many retailers are reluctant to explore its benefits and would rather let others take the lead and watch from the sidelines before commiting their budgets to it," explains Gordon Ellis-Brown, marketing and m-commerce expert at txt2buy.

Ellis-Brown says that whilst it can be argued that m-commerce is reducing the need for shopping via a bricks and mortar store, if handled correctly, m-commerce will not cannibalise your existing customer base.

"Embracing the potential of m-commerce will help create a truly multi-channel strategy which will engage a far wider spectrum of customers than ever before and give you a platform to reach out to them, wherever and whenever they want to access and purchase your products or services. The answer lies in simplifying, not complicating, your marketing strategy and making sure m-commerce is relevant and aligned to support your objectives," adds Ellis-Brown.

Fear of cannibalisation stifles adoption of m-commerce

There is no doubt that the speed at which technology is advancing is revolutionizing the customer experience and retailers are feeling the pressure when it comes to releasing their own iPhone App or adding new functions to their ecommerce site. 

However, whilst many are reluctant to take the plunge and invest already tight budgets into new marketing concepts, e-commerce experts at txt2buy believe that those who fail to do so through fear that it could take customers away from their high street stores, could also be putting potential sales at risk.

“Mobile commerce (m-commerce) is fast becoming a hot topic of interest for retailers due to the recent explosion of mobile apps into the market and the extending capability of handsets, but many retailers are reluctant to explore its benefits and would rather let others take the lead and watch from the sidelines before commiting their budgets to it,” explains Gordon Ellis-Brown, marketing and m-commerce expert at txt2buy.

Ellis-Brown says that whilst it can be argued that m-commerce is reducing the need for shopping via a bricks and mortar store, if handled correctly, m-commerce will not cannibalise your existing customer base. 

“Embracing the potential of m-commerce will help create a truly multi-channel strategy which will engage a far wider spectrum of customers than ever before and give you a platform to reach out to them, wherever and whenever they want to access and purchase your products or services. The answer lies in simplifying, not complicating, your marketing strategy and making sure m-commerce is relevant and aligned to support your objectives,” adds Ellis-Brown.

New ‘txt2buy’ service hopes to revive offline advertising

Dubbed the PayPal of mobile, the txt2buy service enables retailers to add a simple promotion code and SMS number to their print, TV or radio advertising. Customers respond to the advert via SMS and following a one-time registration process with txt2buy, will then be able to purchase from any retailer who uses txt2buy codes in their advertising.

“Txt2buy is a compelling new service that enables marketers to build stronger and longer-term relationships with customers, with massive cross and up-sell opportunities,” said Gordon Ellis-Brown, marketing and brand director at txt2buy.

Txt2buy say that SMS promotions work best as part of TV or print campaigns and will help brands to maximise impulse purchases from offline advertising, as transactions can be completed in a matter of seconds and initiated as soon as the customer sees the advertisement, wherever they are.

Pay By Text Service txt2buy Launches

The service is called txt2buy and is the product of a company of the same name. It involves retailers adding a simple promotion code and SMS number to their print, TV or radio advertising. Customers can then respond to the ad by texting the relevant number with the promotional code. A one-time registration process is required. 

txt2buy says that SMS promotions work best as part of TV or print campaigns and will help brands, marketers, and their agencies maximise 'impulse' purchases from offline advertising, as transactions can be completed quickly and initiated as soon as the customer sees the ad.

Marketing and brand director at txt2buy, Gordon Ellis-Brown says: "txt2buy is a compelling new service that has the potential to revolutionise how brands engage with a larger customer base than ever before. It is by far the most convenient way to close a sale, as consumers don't need internet access to purchase - all they have to do is send a simple text. Any phone that can send SMS messages can buy using txt2buy, meaning it isn't restricted for those with the latest smartphones either. The service enables marketers to build stronger and longer-term relationships with customers, with massive cross and upsell opportunities."

The future of retail is in your customer’s hands

Retailers get text appeal with txt2buy

The marketplace is saturated with news of new mobile phone Apps, fragmented m-commerce solutions and the latest smartphone technology, but the reality is that the ‘tried and tested’ SMS is all any retailer needs to reach over 50 million consumers in the UK.

txt2buy is a new service which enables every consumer in the UK who owns a mobile phone to  purchase instantly and securely from any advert by simply sending a text. Following an easy registration process with txt2buy, consumers simply send the appropriate keyword as seen in a retailer’s advertisement to the txt2buy shortcode to automatically place an order for their chosen product.

Despite successful implementation of a similar offering in the USA, such a service has not been available in the UK until now and its introduction is predicted to inject a much needed boost for the UK retail industry. In fact, txt2buy is already in early stage trials with some of the most established UK retail brands and is due to appear in mainstream advertising campaigns from as early as July 2011.

According to the founders of txt2buy, the compelling new service has the potential to revolutionise how retailers engage with a larger customer base, more than ever before. It is quickest way to close a sale, as consumers don’t need internet access to purchase – all they have to do is send a simple text.

 The fact that it works with current technology means that there is no upfront investment, expensive software or training required. As well as measuring offline spend, txt2buy is able to capture that data and offer massive opportunities for up-selling and cross selling. It also offers another channel to increase sales through online marketing too.

But what is perhaps it’s best feature is that it is the quickest and easiest way for a consumer to purchase a product through mobile and allows retailers to capture impulse buys and close sales ahead of the competition. There is no limit to consumer spend either.

Retailers are constantly looking for ways to measure return on advertising spend and strategies to successfully capture more customers and drive more sales without investing large sums of money. With txt2buy making all offline marketing instantly measurable, it seems txt2buy could well be the answer the high street is looking for.

For more information visit www.txtbuy.com

ENDS:

Notes to editor

txt2buy is a service that enables every consumer in the UK to respond and purchase instantly and securely from any advert by simply sending a text – any time, anywhere, 24/7.

The key benefits to retailers, direct marketing companies and online retailers are compelling: txt2buy generates incremental sales from your existing marketing spend and gets you closer to your customers, enabling you to close a sale ahead of your competitors.

It is run by a team of senior industry professionals who have extensive mobile, commercial, marketing and technical expertise gained across multiple industry sectors and audiences. They are currently the pioneers of this emerging market.

Gordon Ellis Brown is available for interview. Please contact Becky Lewis or Catrina Laskey on 01603 743363 or email becky.lewis@mediajems.co.uk / catrina@mediajems.co.uk   

The future of retail is in your customer’s hands

Mobile commerce (m-commerce) is fast becoming a hot topic of interest for retailers due to the recent explosion of mobile apps into the market and the extending capability of handsets . M-commerce is  the equivalent to e-commerce but conducted through mobile devices including smart phones, non-smart phones, tablets and notebooks. It covers everything where products/services can be bought via a mobile.

Recent research conducted by eBay has shown that m-commerce could deliver a £4.5bn boost to Britain’s economy by 2016, with a further £13bn by 2021* which shows the potential of this powerful technological trend. Other research has also predicted that by 2013, internet sales via mobiles will have doubled to £275 million, driven by a 119% rise in the m-commerce population, improvements in mobile technology, better interoperability and greater take-up of smartphones and Android devices.**

Whilst it can be argued that m-commerce is reducing the need for shopping via a bricks and mortar store, I would argue that if handled correctly, m-commerce will not cannibalise your existing customer base, but help create a truly multi-channel strategy which will engage a far wider spectrum of customers than ever before and give you a platform to reach out to them, wherever and whenever they want to access and purchase your products or services.

Recently, m-commerce has seen high levels of interest and innovation with major companies introducing new devices such as mobile phones and new tablets. New way to pay for items using your mobile phone have been released including contactless payments and nearfield communications (NFC).

NFC technology enables consumers to buy items using their mobile phone where users simply swipe their mobile phone over a scanner to pay for their items. This is just one of the latest developments in mobile shopping that creates new ways of selling and buying.

However, due to limited hardware and the technology being specific to smartphones, the majority of the UK consumer market who currently do not own a smartphone are missing out. Until now!

There is an emerging service which relies on a simple text message and takes just a few seconds to close a sale, without having to be anywhere near a store, or a computer, or even mobile internet access…

txt2buy is the first of its kind in the UK and is a service that offers retailers the chance to improve their upselling and cross selling opportunities through the use of existing technology. The service enables every consumer in the UK to respond and purchase instantly and securely from any advert by simply sending a text - anytime, anywhere with no reliance on mobile internet, apps or QR codes. It uses existing technology that’s already in consumer’s pockets.

With significant benefits for all retailers, direct marketing and online companies and with minimal additional cost, txt2buy generates incremental sales from existing marketing spend and enables companies to capture impulse and close the sale there and then, ahead of their competitors.

Not only is this breakthrough technology a faster, simpler way for customers to purchase the things they want, but retailers can also benefit but securing more impulse purchases and sealing deals ahead of their competition. I really believe this new product has the potential to revolutionise how we shop on the high street. It is quicker than online, because you don’t need to be somewhere that has internet access to do your shopping – all you have to do is send a text.

Retailers are constantly looking for ways to measure return on advertising spend and strategies to successfully capture more customers and drive increased sales without investing large sums of money. It seems that innovations such as txt2buy could well be the answer the embattled high street has been waiting for.

The high street is desperately seeking innovative ways to increase sales and it is slightly ironic that perhaps the best ‘new’ innovation of 2011 is in fact utlising existing technology that consumers have had access to for years!

*- http://www.computing.co.uk/ctg/news/2074799/ebay-calls-ofcom-unlock-commerce-potential

**- http://www.internetretailing.net/2010/06/mobile-commerce-set-to-double-by-2013-%E2%80%93-but-for-now-its-just-part-of-the-shopping-experience-finds-verdictovum-study/

Advertising ROI in question as retailers fail to track response and close s

Measuring the effectiveness of adverts with promotional codes and suchlike has been fairly standard in the world of direct response advertising for many years, but has been challenging to implement and under-utilised in offline advertising campaigns. I regularly come across retailers that are not effectively tracking their customers’ buying behaviour - they do not know how their advertising and marketing has influenced what they have bought. The reality is that in order to really know your customer and understand your market, it is absolutely essential that retailers are fully aware of why their customers enter their store and why they are driven to purchase. Ultimately, a failure to incorporate tracking methods will contribute to lost sales.

I am a firm believer that through understanding the buying behaviour and measuring response to different media and campaign messages, particularly in the current climate where every piece of marketing has to be optimised to ensure survival, companies can maximise their existing spend and ROI.

Consumers are exposed to marketing messages and routes to market in more ways than ever before, from adverts on tubes and buses through to promotions embedded in computer games and iPhone Apps. Any savvy retailer mindful of budget and ROI needs to know which strategies will work for them and which won’t. If there is a way of better understanding which messages drive consumers to purchase with you, surely it is better to know than to remain in the dark?

The Mobile Revolution

For years, direct marketing through leaflet distribution and vouchers have been great ways to collect data. Customers would simply enter their details onto the back of the coupon to hand it over at the counter, after which the retailer will know where the customer lives and what they bought. As technology has evolved, the use of the internet has taken over and we see data capture every day in the form of newsletters, promotional codes, loyalty cards, user accounts and so on.

The next phase in the technology revolution is the utilisation of mobile for commerce. We are already seeing a surge in the number of retail related mobile Apps and technologies such as QI codes, scanning product bar codes via mobile entering the scene, but I believe the real innovation is about to come.

One of the drawbacks of smart phones, tablets and other modern devices is that you can only ever target that section of the market that has adopted that particular technology and in retail, your customer base may well be far wider than that. An ideal solution is one which didn’t rely on super-fast internet access or the latest mobile device, but could be used by anyone who had a basic mobile phone – which is actually 50 million customers across the UK.

A new solution that is now available to retailers is the ability to target any customer who possesses even the most basic of mobile phone and gives them the ability to instantly respond to an advert or marketing message and purchase the item then and there. Using existing technology already in consumers’ pockets, there is no upfront investment required and all retailers need to do is add a simple text code call to action to their existing advertisement or marketing campaign.  Customers can respond via text message and after a basic registration, will be able to order their product in just a minute or two and it will be delivered direct to their home.

I believe that text campaigns are a much needed addition to any retail communications strategy and will help retailers to gain immediate traction from their advertising with a bigger audience then ever before, wherever and whenever they interact with their audience.

You can find out more about how txt2buy are helping retailers utilise the power of text here (www.txt2buy.com)

The Mobile Revolution

Next time you are out shopping, think about how you use your mobile phone. Most consumers use their mobile for a host of different things – compare shopping with friends, take pictures of product and also share new purchases on social networking pages.

The modern consumer is technology savvy and fully embraces new and relevant innovations and products that enter the market. The problem is that the consumer tech market is saturated with ideas, gadgets, Apps and endless product upgrades, meaning that it can be difficult for retailers and consumers to see the wood from the trees when it comes to which are useful, practical and will actually enhance their shopping experience.

Today’s multi-channel market (online, mobile, in-store, voice etc) presents massive opportunities and providing integrated cross-channel strategies that add real value to customers. Solutions that are easy to use create a coherent experience and connect on a one-to-one basis more than ever before. And the mobile needs to be central to this strategy, closing the 360 marketing circle, engaging with the customer and capturing the need there and then. Every channel has a specific role and the brands that are leading the way in multi-channel customer engagement are the ones that have figured out how to best maximise these touch-points in different ways.

M-Commerce

Mobile commerce (m-commerce) is fast becoming a hot topic of interest for retailers due to the recent explosion of mobile apps into the market and the extending capability of handsets . M-commerce is the equivalent to e-commerce but conducted through mobile devices including smart phones, non-smart phones, tablets and notebooks. It covers everything where products/services can be bought via a mobile.

M-commerce is already transforming the mobile into a personal trusted device from which customers can reliably and securely conduct transactions such as banking, payment and ticketing – irrespective of time and place. This will transform everyday life, giving users total freedom. With the unique advantages of mobility, availability and personalisation, mobile commerce will add a powerful new dimension to customer service and be a source of substantial new revenue and place the mobile firmly at the centre of consumers' lives.

So it is no wonder that mobile commerce is fast becoming the channel of choice as it adds another dimension to shopping on a whim. Online shopping requires less commitment than venturing onto the high street, but mobile takes that a step further and enables customers to act on an impulse to buy as soon as they feel it, wherever and whenever, and without the need for a computer or even mobile internet access. It can all be done through a simple text message. 

txt2buy

txt2buy is a brand new channel available to retailers, giving them the ability to target any customer who possess even the most basic of mobile phones and gives them the ability to instantly respond to an advert or marketing message and purchase the item then and there. Using technology already in consumers’ pockets, there is no upfront investment required and all retailers need to do is add a simple text code to their advertisement or marketing campaign.  Customers can respond via text message and after a basic registration, will be able to order their product in just a minute or two for delivery direct to their home.

2011 and beyond

By the end of 2011, it is expected that over half of all mobile phones in use by customers in the US will be smartphones*. The UK will quickly follow. As smartphones continue their huge consumer adoption rate and consumers use the mobile web with increasing frequency, mobile commerce will continue its impressive growth.  Consumers expect the mobile web experience to be as good as the traditional web, but with additional features that maximise the capabilities of their phones such as location-aware services.

Android will likely jump to 50% market share in in 2012**. Apple will continue to grow and lead the market with innovation. SMS will continue to be the driving force in non-voice communication and will also facilitate m-commerce, as mentioned above with services such as txt2buy.

The tablet will blur the lines between commerce and mobile. Digitally-savvy consumers are already using tablets to make purchases, and this trend will accelerate as consumer adoption of tablets continues to rise. The tablet user is typically from a high-tech, affluent demographic, and for brand-conscious companies looking to target these consumers, tablets provide an engaging channel to repackage their web content to create a unique brand experience for the consumer. Tablets will be used by consumers as a tool to more deeply engage with the brand and inform purchasing decisions, and will ultimately be used by more brands and consumers to enhance the overall shopping experience.

In summary, it is difficult to know whether any single m-commerce solution will become a “killer” in the marketplace, however, the key advantage of m-commerce may be its ability to support a wide variety of attractive and innovative solutions from SMS to apps. This will be the key characteristic of m-commerce - highly-personalised, context-aware, location-sensitive, time-critical solutions, all conducted in a very secure environment.

*Source: http://gigaom.com/2010/03/26/1-in-2-americans-will-have-a-smartphone-by-christmas-2011/

**Source: http://www.webpronews.com/android-market-share-half-by-2012-2011-04

Is fear of Cannibalisation preventing retail growth?

As an expert in mobile marketing myself, I have noticed over the years how the technology has changed and how it has affected various different strategies. Of course some are more successful than others and when times are hard and sales are down, it is often tempting to revisit your marketing strategy and even introduce more channels to potentially help improve your sales.

So if you are introducing mobile to your multi-channel strategy, it must be viewed in collaboration with other channels. This will work to extend your reach and help gain those incremental sales. By adding mobile to your marketing strategy you will add immediacy, but it will also enable the capturing of impulse purchases, which means that you will remain one step ahead of your competition.

When considering mobile in tandem with more traditional marketing methods, it offers a much more instant process both for the retailer and the customer. Bricks & mortar sales activity is obviously the best place to begin your marketing strategy. This is quite easy to decipher, as you will be able to tally up sales with increased footfall, different merchandising and sales promotions. But it can’t always help in explaining why customers have come to your store in the first place and more importantly, how many haven’t and have chosen to go elsewhere for the same or similar product.

This is where you need to begin to implement methods that involve tracking sales. This has always been a challenge for retailers, but things are improving, as more ecommerce sites take advantage of customer registrations, newsletter sign-ups and opt-ins for communications via mobile, email, post etc. The next challenge is how to ensure that your strategies aren’t simply picking customers from one pot and dispersing them into an array of other pots, without adding any more to the mix.

Mobile commerce (m-commerce) is fast becoming a hot topic of interest for retailers due to the recent explosion of mobile apps into the market and the extending capability of handsets. M-commerce is the equivalent to e-commerce but conducted through mobile devices including smart phones, non-smart phones, tablets and notebooks. It covers everything where products/services can be bought via a mobile.

Recent research conducted by eBay has shown that m-commerce could deliver a £4.5bn boost to Britain’s economy by 2016, with a further £13bn by 2021* which shows the potential of this powerful technological trend. Other research has also predicted that by 2013, internet sales via mobiles will have doubled to £275 million, driven by a 119% rise in the m-commerce population, improvements in mobile technology, better interoperability and greater take-up of smartphones and Android devices.**

Whilst it can be argued that m-commerce is reducing the need for shopping via a bricks and mortar store, I would argue that if handled correctly, m-commerce will not cannibalise your existing customer base, but help create a truly multi-channel strategy which will engage a far wider spectrum of customers than ever before and give you a platform to reach out to them, wherever and whenever they want to access and purchase your products or services.

If the mobile channel is used intelligently you can not only close sales you may otherwise have lost to your competition but you can develop a closer relationship which will generate ongoing revenue through repeat purchases, cross sell and up sell.

But consider how you are going to implement it, mobile must be integrated with your other channel activity to give the customer greater choice and a seamless route to immediately respond. This will guarantee optimum results.

So in terms of whether the fear of cannibalisation is preventing retail growth, I think that it is more of a lack of knowledge of how to use all the marketing strategies to the best of their ability. Integrating strategies can also work and when done properly, this can guarantee results.

Fear of cannibalisation stifles adoption of m-commerce

There is no doubt that the speed at which technology is advancing is revolutionizing the customer experience and retailers are feeling the pressure when it comes to releasing their own iPhone App or adding new functions to their ecommerce site.

However, whilst many are reluctant to take the plunge and invest already tight budgets into new marketing concepts, e-commerce experts at txt2buy believe that those who fail to do through fear that it could take customers away from their high street stores, could also be putting potential sales at risk.

“Mobile commerce (m-commerce) is fast becoming a hot topic of interest for retailers due to the recent explosion of mobile apps into the market and the extending capability of handsets, but many retailers are reluctant to explore its benefits and would rather let others take the lead and watch from the sidelines before commiting their budgets to it,” explains Gordon Ellis-Brown, marketing and m-commerce expert at txt2buy.

Ellis-Brown says that whilst it can be argued that m-commerce is reducing the need for shopping via a bricks and mortar store, if handled correctly, m-commerce will not cannibalise your existing customer base.

“Embracing the potential of m-commerce will help create a truly multi-channel strategy which will engage a far wider spectrum of customers than ever before and give you a platform to reach out to them, wherever and whenever they want to access and purchase your products or services. The answer lies in simplifying, not complicating, your marketing strategy,” adds Ellis-Brown.

Keep it simple

At Txt2buy we are focused on providing a user friendly and highly secure mobile payments solution. Technical Director Daniel Rosenberg notes, “We decided to use existing mobile and payment infrastructures in order to maximise the potential use of the platform. It made little sense to exclude mobile users without smart phones, or those who struggle to use their features. Everyone with a mobile phone knows how to text and more importantly, does so as a means of efficient communication.”

The usage of SMS continues to grow month on month, year on year with the age range of those texting diversifying massively. Texting is becoming as popular amongst 35 – 50 year olds as it is amongst the teen demographic. According to the Mobile Data Association the daily average of text message sent in 2009 was 265 million. The total number of text messages sent in 2009 was 96.8 billion. This huge figure represented a 23% increase on the total number of text messages sent in 2008, highlighting the massive increase in the use of SMS. The MDA also concluded on 28/1/2010 that within the UK 11 million text messages are sent every hour. These figures represent the exponential growth of SMS.

Txt2buy Marketing Director, Simon Rabin, notes “It is both due to the ever increasing popularity of SMS and the rising number of debit and credit cards issued in the UK, which lead us to the conclusion that synchronizing the two would result in the most universal and straightforward to use mobile commerce approach.” He went on to say that, “There is no need to confuse people with downloadable applications and we saw no reason to offer the Txt2buy mobile payment solution to only those with smart phones. WAP has never really taken off and although mobile internet usage is increasing, the majority of the nation don’t have the capability on their handset and don’t even use it if they do. Therefore the simplest solution was to combine SMS, which is the most used mobile feature and debit or credit cards, which are the most widely used payment methods in order to create the UK’s most secure and simplistic mobile payment facility.”

Back to basics

How magazines can monetize mobile

The growth of SMS

There are a number of reasons why the Txt2buy platform incorporates existing mobile and payment infrastructures as opposed to using WAP, mobile internet and smart phone Applications.

At Txt2buy we are focused on providing a user friendly and highly secure mobile payments solution. Technical Director Daniel Rosenberg said, “We decided to use existing mobile and payment infrastructures in order to maximise the potential use of the platform. It made little sense to exclude people without smart phones or people with handsets lacking mobile internet capabilities. Everyone with a mobile phone knows how to text and more importantly, does so as a means of efficient communication.”

The usage of SMS continues to grow month on month, year on year with the age range of those texting diversifying massively. Texting is becoming as popular amongst 35 – 50 year olds as it is amongst the teen demographic. According to the Mobile Data Association the daily average of text message sent in 2009 was 265 million. The total number of text messages sent in 2009 was 96.8 billion. This huge figure represented a 23% increase on the total number of text messages sent in 2008, highlighting the massive increase in the use of SMS. The MDA also concluded on 28/1/2010 that within the UK 11 million text messages are sent every hour. These figures represent the exponential growth of SMS usage and according to Marketing Director of Txt2buy, Simon Rabin, “It is both due to the ever increasing popularity of SMS and the rising number of debit and credit cards issued in the UK, which lead us to the conclusion that synchronizing the two would result in the most universal and straightforward to use mobile commerce approach.” He went on to say that, “There is no need to confuse people with downloadable applications and we saw no reason to offer the Txt2buy mobile payment solution to only those with smart phones. WAP has never really taken off and although mobile internet usage is increasing, the majority of the nation don’t have the capability on their handset and don’t even use it if they do. Therefore the simplest solution was to combine SMS, which is the most used mobile device feature and debit or credit cards, which are the most widely used payment methods in order to create the UK’s most secure and simplistic mobile payment facility.”