Sunday, January 28. 2007

MoVoxx and Mobile Coupons

The latest entrant into the mobile coupon space is San Francisco startup MoVoxx. In contrast to the mobile download-based CellFire, MoVoxx is SMS-based. This has the clear advantage of a much wider addressable market, without the daunting porting investment. CellFire has recently launched a WAP-based version of it's service called "CellFire Express", which seems like the right way to address this.

A second important difference in these two service offerings is the way in which they are approaching advertising customers. CellFire is making direct relationships with local Bay Area businesses, and currently has nine customers (these are listed on their web site.) MoVoxx on the other hand is partnering with print media (such as the San Jose Mercury News), and it appears will leverage existing customer relationships held by print media partners.

With these service differentiators, MoVoxx has taken positive steps in proving out the mobile coupon space. The next move will require carrier involvement, taking advantage not only of mobility, but a second characteristic unique to the mobile environment, location. By leveraging LBS, carriers can transform the concept of putting coupons on phones from a paper saving convenience into a unique marketing opportunity.

Comments

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While I understand your point about the differentiation between these services, as a Cellfire customer, I must attest to its ease of use--and the thrill of seeing it in action!

It took only minutes to download, takes seconds to update my phone with new coupons, and most retailers, who are not exclusive to the Bay Area--it is a national service available on Cinglular and Verizon--seem to have adjusted quite quickly to adopting it as a coupon vs. a paper coupon.

I don't have time to cut out paper coupons, and Cellfire works great for me when I'm out and about, whether renting movies from Hollywood Video or some other local retailer I often frequent.

Thanks for your post.

JC

#1 jcohen on 2007-01-30 14:38 (Reply)

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