January 5, 2016, 12:04 PM

Mobile coupons work if you follow some basic rules

Redemption rates vary widely, but can be high when consumers request a mobile coupon.

Lead Photo

Marketers should add a mobile coupon strategy to their grab bag of campaigns.

At first, the move to issue mobile coupons to consumers was driven by retailers wanting to provide a smartphone-savvy consumer experience. Early adopters were looking for a solution that would limit their coupon liability exposure through the use of one-time-use mobile coupons.

Today, a majority of retailers are seeing the ROI in implementing a mobile coupon strategy as their use is gaining wide acceptance by consumers who, surprise, surprise, forget to stuff circulars and mailers in their glove boxes when they leave home. Not so with a smartphone.

According to analyst firm eMarketer, this year about 40% of companies with more than a hundred employees have used mobile coupons for marketing purposes. Also, eight in 10 adult mobile coupon users already redeem coupons or codes via their mobile devices for online or offline shopping. Over the next two years, nine in 10 adults will do so.

CodeBroker did a study that measured redemption and ROI rates for retailers who use mobile coupons. Redemption rates vary depending on the medium. Redemption rates as high as 85% were realized from on-demand promotions, when consumers text to a retailer’s code to receive a coupon.

A successful mobile marketing strategy is dependent on several factors. Namely, the value of the offer, the level of consumer engagement with the brand, the sense of urgency the retailer creates with the promotion, and the mobile coupon delivery channel.

The following infographic depicts redemption data from a variety of retailers both large and small, as well as different segments within the retail industry. Based on an analysis of hundreds of mobile promotions and the delivery of over 150 million mobile coupons to consumers, the data has been segmented into select distribution channels.


CodeBroker provides retailers a mobile couponing platform.

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