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It's
Dec. 20, and you decide it's time to catch up on last-minute holiday
shopping. As you walk into the mall, your all-in-one phone, pager,
email and organizer vibrates indicating a new message: "Doing
Some Last-Minute Shopping? Stop by GiftShop next to the food court.
Give the cashier this 10-digit [personal identification number],
1873673847, and receive 25 percent off everything."
Welcome
to the future of email marketing, real-time
personalized direct marketing. What once seemed a distant technology
is now a matter of time.
The merging
of Global Positioning System satellite technology with the exploding
usage of mobile communication devices will allow this story to become
a reality.
In many
ways, this targeting capability is brought to you by the Department
of Defense. The DOD's GPS, a constellation of 24 satellites orbiting
Earth, is what will enable this new channel of direct marketing.
GPS satellites
transmit signals to GPS receivers grounded on Earth with pinpoint
accuracy. These receivers are in vehicles, aircraft or other satellites.
They are used in air, land or sea navigation, mapping and other
applications where accuracy is essential. GPS capabilities are already
appearing in the newest mobile devices and cell phones.
GPS technology
will not only drive sales in bricks-and-mortar environments but
also will be a tremendous source for increased online sales. The
rapid growth of electronic wallets will allow GPS technology to
change the buying experience for consumers. MasterCard and Microsoft
have been the early players in this growing arena.
E-wallets
allow for payment and personal information to be stored in a central
location so you can access it when you need to pay for something
online. Your e-wallet assists you in filling out online order forms
quickly and easily whenever you shop. Marketers will be able to
leverage GPS technology with growing e-wallet usage by sending personalized
event- or location-triggered offers that can be responded to instantly.
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An
example of this is a concert at a major arena. As you enter the
parking lot after the concert lets out, you receive an offer to
get 50 percent off compact discs of the artist you just saw. This
message is sent to individuals who attended the concert, and the
purchase takes place via your mobile device, which has your e-wallet
information. With one press of a button, your purchase is complete.
Like
all new marketing channels, the Internet has given birth to this
advertising vehicle that will be a flag raiser for privacy advocates
of every kind. Our traditional email inboxes are invaded daily,
creating a greater backlash than the past 30 years of direct mail
and telemarketing combined.
This
mobile device marketing channel will need to become the most highly
permissioned form of marketing to allow for any general acceptance.
Knowing
where a consumer is at all times and having the ability to send
marketing messages to these individuals may create an environment
too sensitive to use.
One model
that will be introduced will be free cell phone service in exchange
for receiving advertisements. Following the free Internet service
provider model that companies such as NetZero have tried to evolve,
free cell phone usage will expand the existing mobile communication
market while it will have the ultimate permissioned environment
established for marketing purposes. Whether this is a viable business
model remains to be seen. Nevertheless, it will allow for strong
testing grounds for the next generation of email marketing.
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