Australians keen on mobile deals

07 June 2011

SYDNEY: A majority of Australian mobile phone users would be interested in receiving location-based offers while shopping, a study has revealed.

Navteq, part of telecoms giant Nokia, commissioned Galaxy Research to survey 606 wireless subscribers in the 18-59 year old demographic.

Approximately 40% of contributors already owned a handset boasting GPS functionality, the results showed.

More specifically, 70% of this audience currently leverage navigation services, and almost half utilise these platforms to find restaurants and stores.

Two-thirds of the sample, and 75% of individuals possessing devices with geo-positioning capabilities, were open to viewing targeted deals when visiting bricks and mortar outlets.

However, 41% of those in favour wished to select at what times they received discounts, measured against 34% likely to leave any such feature running.

Enthusiasm peaked among 18-34 year olds, 83% of which found being sent information an appealing prospect, alongside 49% anticipating turning this function on having reached the desired stores.

Across the group willing to consume this form of marketing, 89% expressed the strongest interest in comparing prices.

"Most people want to see some kind of value offer," Kirk Mitchell, Navteq's vp, sales, Oceania, said. "People are aware by shopping around a little bit that the price variance is quite high.

"Tech-savvy Australian consumers are pre-disposed to finding the best deals and location-based advertising offers them just that, as long as they offer real and immediate value."

In identifying categories where mobile promotions could be especially attractive, 51% of the panel mentioned buying petrol, 17% named out-of-home dining and 13% cited grocery goods.

A quarter of interviewees demonstrated worries that such communications may become "annoying or intrusive", and an additional 54% had "some level of concern" overall, Navteq's analysis stated.

Mat Baxter, chief executive of Universal McCann Australia, suggested rising smartphone penetration should further encourage the positive trends now starting to emerge.

"Every day we use our phones to check-in and make our location known," he said.

"This is paving the way for location-based services that can deliver highly relevant and timely discounts, promotions and coupons direct to our phones."

Data sourced from ARN, B&T, The Australian; additional content by Warc staff