Starbucks and L’Oreal Test Location-Based SMS Coupons in UK

O2 has partnered with location services platform Placecast to enable brands to automatically deliver targeted SMS and MMS to more than 1 million opted-in O2 customers in the UK based on their exact whereabouts.

Starbucks and L’Oreal are the first two brands to test the location-based messaging service in the UK for a six-month trial period. The idea lets Starbucks and L’Oreal fence off geographic zones and push SMS discounts to O2 customers who enter those areas.

Starbucks is offering O2 customers 50% off discounts which will be delivered to individuals who have expressed an interest in food and beverage while L’Oreal will offer a Buy-One-Get-One-Free discount on a hair care product to customers interested in beauty.

The partnership between Placecast and O2 is a first of its kind in the UK and one that I find quite interesting. The combination of geo-fencing technology and carrier distribution is a potentially huge way to deliver mobile marketing messages to the consumers who want them.

O2, Geo, Starbucks, Location Based, SMS Coupons