SMS users are open to brand marketing
(SMS Research by - Lintas Media Services, Research & Technologies in partnership with Interactions, Lintas Media Services)

From conveying simple need-based messages to friends and loved ones to going all the way to downloading pictures and tunes and mails… we all have seen the role of SMS evolve to reach a dynamic position. Today as consumers, we experience the emerging usage of SMS for brand communication, in the most personalised manner possible. As an advertiser, I am posed with a sea of questions… Where does SMS stand in the consumer's perspective as a medium of brand communication?… What is the profile of those consumers who are ready to learn about my product by means of a single message on their phone? How do I, as an advertiser, reach out to them using SMS?

Intellect, the Research and Technologies Unit of Lintas Media Services in association with Interactions, Lintas Media Services, has conducted an extensive research that probes the psyche and the demographics of the SMS marketing consumers. "We continuously need to explore the relationships of the consumers with these emerging media. We also need to develop aids for the advertisers to target and reach these consumers."

The study, conducted in February 2004 covered the SEC A segment of Students and Working Executives/ Businessmen in the top 4 metros - Mumbai, Delhi, Kolkata & Chennai. This study is a sequel to a recent study by Intellect titled 'Selling Made Smarter' which investigated the growth of advertising through SMS.

The aim remains to provide the advertiser with a constructive understanding of his consumer's thought process, experiences, expectations and acceptance of SMS as a medium of brand communication. From here on, we shall see the answers shaping up an insight into the mind of the consumer.

To what extent is my consumer exposed to Brand Marketing SMS?

A huge potential exists as far as communicating consumers via marketing is concerned and this is evident from the fact that only 14% of the respondents have been exposed to advertising through SMS. An untouched 86% have yet to experience a brand communication on their cell phones. Of the ones that have been exposed to such a communication, about 97% have read the actual message before deleting it, A favourable 36% also acted on the message after reading it. This depicts the readiness of the respondents to be a part of the entire communication process.

How open is my consumer to the idea of receiving Brand Marketing SMS on her cell phone?

Probing their openness to the idea of accepting brand communication on their cell phones, the respondents portrayed a very positive picture. 66% are willing to accept advertising through SMS on their cell phones.

The willingness is more amongst students and the younger age group i. e 15-24 years than that amongst working executives and those in the higher age group. Males are more willing to receive marketing SMS than females.

Avoidance of SMS (termed as deleting the SMS without reading it carefully) is much lower for this medium compared to the conventional media. 32% are in the habit of reading every SMS that they receive; another 53% hardly ever or only sometimes delete the SMS without reading carefully. In a scenario where television, print, cinema, etc all have high ad-avoidance, this is a very critical media.

One more noteworthy fact stays that apart from E-mail, SMS is the only medium that allows Permission Marketing. While the students are open to receiving advertisements through SMS anytime there is a promotion; male working executives/ businessmen between the group 35-44 are open to receiving advertising through SMS but only with prior permission being given.

Will the consumer of my product be ready to accept communication by me via SMS?

While it is quite exciting to know that today's consumer is welcome to the idea of being exposed to brand communication via SMS, we still need to advertise only certain categories using the SMS medium. We need to know the product categories that interest the consumers through SMS.
The most preferred categories by the consumers were found to be Music/Entertainment/Gifting/Toys, Personal Products, Publications/ Books, and Local Hotels/Cinemas/Discs/Events.

Not only the product category, but also the nature of information demanded by the respondents regarding a particular category holds considerable importance.

Students are more inclined towards being informed on 'offers and promotions' for Music/ Gifting (60%), Cars, (56%), Utilities (56%), Stationary (55%), Book & Publications (53%) and Impulse Foods (50%). Working Executives/ Businessmen show a higher affinity towards 'offer and promotion' information for Household FMCGs (83%), Kitchen Foods (83%), House Fittings (78%), Durables (73%), Pharma (63%), Personal Products (54%), Local Entertainment (51%) and Impulse Foods (50%)

While most students prefer 'detailed information' on Music/ Gifts/ Toys; Working Executives demand detailed information on Personal Products

Of the information seekers, the male skew is more towards Durables (85%), Impulse foods (80%), Cars (79%), Stationary (68%), Household FMCGs (67%), Utilities (67%), Local Entertainment (66%), Pharma (63%), Books & Publications (62%), Music and Gifting (60%), Personal Products (58%), House Fittings (50%).

Females are keener to know about offers and promotions on Kitchen Foods (58%) and House Fittings (50%).

When do I reach my consumer?

The timing and frequency of reaching a consumer is very important for any communication planning and the study has explored these areas. About 30% are open to receiving advertisements through SMS anytime there's a promotion. 34% prefer being asked before they are sent advertisements through SMS while 34% prefer it not very frequently.

While, 17% are open to receiving advertisements through SMS more than 3-4 times a week, on the whole, 86% are open to the idea of receiving brand marketing SMS once a month and more.

There is no specific pattern to the timing desired by the consumers. Anytime between morning to evening is acceptable. This is so since finally, the choice of opening the actual message lies with the consumer. Over 66% feel that they do not have to see or answer an SMS immediately when it is received.

In a nutshell…

SMS comes across as a medium which makes the consumer reachable at all times, is personal, allows permission marketing and is interactive. Most importantly it is acceptable to the consumer as a means to communicate information on various products and services.

Besides this the study also uncovers the cell phone usage behaviour of the segments. The study also covers information on the services used by cell users, billing information, share of SMS in the monthly cell phone spends. It has also established the affinity of consumers to using SMS and the reasons for this affinity.

Overall, the study is a wealth of data available for targeting consumers using SMS.