Trials will begin this autumn for a new retail promotion channel which hopes to harness the growing popularity of mobile phones to target customers while they are out shopping. SpotFlash’s ZagMe system allows retailers to send SMS messages containing special offers and promotions to registered consumers when they are in the vicinity of stores.
The trial of the system is to take place at the Lakeside Shopping Centre in Thurrock, Essex. Shoppers will be offered the chance to register, at which time they will specify what their shopping preferences are, including stores or products they want to ‘block’. Once registered, they can ‘activate’ their mobile phone when entering the centre, after which promotional details of interest to them will appear as text messages.
The company’s director of marketing, Russell Buckley, said, “SpotFlash is an innovative new marketing channel that provides an exclusive ‘call to action’ to a shopper already in the vicinity, making them more disposed to buy. If the retailer gets the promotion right too then the conversion rate is highly increased.”
The trial launch will offer the chance for retailers to use the promotional tool for free, but in future it is anticipated that retailers would pay for the use of the service through agencies, as part of marketing campaigns.
This method of promotion, which is expected to utilise WAP once it is widely adopted, could potentially allow retailers a high level of accuracy in targeting customers with offers. Its inventors expect the elusive young adult (18-24 year old) age group to show the most interest in the the system during the trial, as research has shown that this group are most frequent users of SMS, sending up to 10 messages per day.
SpotFlash is a fully funded start up which was conceived by former Andersen Consulting associate partner Bill Green. Green is also a process re-engineering specialist with experience of the internet, voice recognition and loyalty programmes. If the trial is successful, the company plans to roll out the system nationwide, implementing emerging technology in wireless, data and location identification.
SpotFlash: 020 7535 8819
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