Stimulating customer response to promotions: The case of mobile phone coupons

Abstract

This paper explores whether the sending of direct mail (DM) coupons via mobile phone increases the probability of beauty salon customers using a coupon when visiting the store. Customer research was conducted after the statistical analysis of an experiment in 2004, in which a mobile DM coupon did not positively affect customers' store visit probability, but a coupon sent on a postcard did. This research examines the promotional effects of three types of mobile DM coupon on the probability of shop visit, coupon use and additional service purchase by adding two types of mail that might induce customers to take an action for strengthening recall of receipt. The variable of mobile DM coupon availability was statistically significant on store visit. The variable of mobile DM coupon type was statistically significant on coupon use probability, with positive effects of hyperlink vs negative effect of ordinary mail or telephone reservation mail (ie ‘ordinary mail’, ‘hyperlink mail’ and ‘telephone reservation mail’)