Filed under: Consumer experience, Competitive strategy, McDonald’s (MCD), Clorox Co (CLX), General Mills (GIS), Procter and Gamble (PG), Wendy’s Intl (WEN), Burger King Hldgs (BKC)

McDonald (NYSE: MCD) has issued a press release recently concerning the use of cellphone coupon marketing. The fast-food juggernaut wants its consumers to have the ability to snag a coupon whenever they desire and by
hooking up with a company called Cellfire, McDonald’s is hoping it can establish a relationship with some of the
hip texters out there.

Cellphone users who download the Cellfire app can then text a certain number and receive a special code good for a specific offer. According to the release, McDonald’s fans can take advantage of a free iced coffee promotion through April 27 in certain locations in Utah, Wyoming, and Nevada.

McDonald’s knows we’re an on-the-go society, and it obviously wants to leverage the fact that mobile devices are no longer just for speaking — we text, we play games, we surf the net, and, as I recently observed, we have the ability to even shop on Amazon on our cells (I say “we,” but I should point out that I don’t own a cell phone, believe it or not). However, as I said in my previous post, I’m not so certain that Amazon’s text-shopping service will take off.

In this case, though, I think consumers might indeed be apt to send a swift text and save some cash at their favorite fast-food joint. It’s a simple protocol that just might inspire a significant amount of users to cease at their local Mickey Dee’s establishment while running here and there. Certainly a lot of the youthful demographic will be targeted with this initiative.

I see the merit in this experiment. According to a Brandweek piece, consumer companies such as Procter & Gamble (NYSE: PG), Clorox (NYSE: CLX) and General Mills (NYSE: GIS) are also interested in coupon distribution via cellphones.

Obviously, traditional methods of distributing coupons won’t disappear, but cell-phone marketing seems to me to be a great way to market to the youth and anyone who’s away from home. Fast-food entities such as Burger King (NYSE: BKC) and Wendy’s (NYSE: WEN), in addition to McDonald’s, will benefit from an exploration of the limits of cell-phone targeted coupons.

Disclosure: I don’t own shares in any of the companies mentioned here; positions can change at any time.

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This entry was posted on Wednesday, April 9th, 2008 at 6:29 pm and is filed under Companies Competitive Strategy. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.