POS-based SMS voucher platform launched for retailers
Using existing POS systems, UK retailers can now use a system from The Logic Group and Eagle Eye Solutions to accept and validate SMS vouchers in real time, measure the effect that advertising has on sales, and provide customers with instantly redeemable offers.
The Logic Group has launched a system that enables retailers to accept and validate vouchers in real time, using the company's proprietary transaction processing application in conjunction with retailers' existing POS systems.
SMS vouchers The vouchers are issued by Eagle Eye's SMS engine and are sent by brands and retailers to customers' mobile phones as SMS messages in the form of an eight digit code, which is entered by the shop assistant into the POS terminal. The transaction is then routed to Eagle Eye Solutions for validation via The Logic Group's Managed Transaction Service.
Marketers can then measure the direct effect their advertising has on sales, provide advertisers with instant ROI data, provide retailers with in-store footfall data, and give consumers instantly redeemable offers.
Popularity of the mobile channel Mobile vouchers are relatively new to the UK market, and are consistently proving to be popular with retailers, marketers, and consumers. They can be acquired from a participating web site or sent out by brands and retailers to a database of mobile consumers, and are generally delivered in the form of a text message.
According to Julian Reiter, managing director for Eagle Eye Solutions, "Retailers spend millions of pounds on marketing campaigns with around 8 billion promotional coupons being issued each year."
Complementing loyalty schemes In order to justify the expense of promotional couponing campaigns, retailers must be able to identify a clear ROI and, by monitoring consumer behaviour and having the means to track responses to individual campaigns and promotions, they can easily see which are the most successful.
As Reiter explained, this kind of marketing initiative complements existing loyalty programmes because retailers can automatically monitor their customers' buying patterns and then market to them accordingly.