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BizReport : Mobile Marketing : March 17, 2009

Mobile coupon campaign success for Planet Funk

A chain of fashion clothing stores in the U.S. used mobile coupons to bolster sales in the run up to Christmas, 2008, with amazing results.

by Helen Leggatt

Planet Funk, a trendy clothing store whose customer base is young, fashionable and permanently attached to their mobile phones, formulated a campaign around mobile coupons in November, 2008. Their aim was to strengthen sales during a period that many said would be the worst holiday shopping season in decades.

"Mobile is a natural fit for our customers and being able to give them such coupons -- both in the store and online -- that can be instantly received on their phones is a no-brainer," said Kitri Lomaka of Planet Funk.

The coupon campaign was promoted online via the store's website, blog and on various mall websites where the store was featured. Offline, the campaign was promoted via signage in all Planet Funk stores that displayed the shortcode and corresponding keyword.

The results were phenomenal. Planet Funk created over 20% of their total December revenue via the mobile campaign. Nearly 2,000 coupons were generated and 91% were redeemed. In addition, 15% of those that redeemed coupons opted-in to receive future mobile campaigns.

The relatively inexpensive exercise meant that Planet Funk's ROI soared to 377%, as well as bolstering the clothing store's mobile database.

"We now realize that mobile marketing can not only be affordable for companies like ours, but also wildly profitable if handled the right way," added Lomaka.

Tags: mobile campaign, mobile coupon, mobile phone, Planet Funk, ROI

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  • Kitri,

    Congratulations to you guys at Planet Funk. And Helen thanks for shining a light on this simple new technology. We at Gopons Mobile Coupons ran a special holiday promotion with Maui Clothing Company throughout the Hawaiian Islands.

    Our overall coupon usage was up 72%. But through a targeted campaign, mobile coupon clipping for Maui Clothing Company was up 186%. The response was excellent.

    Businesses need to see and hear more about the success of using mobile coupons to promote themselves. The customer demand is definitely there. And using mobile coupons to promote your business can bring more bang for the advertising buck.

    Helen, again, thank you. And Kitri, again, congratulations.



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