Bluetooth takes a bite back at the Credit Crunch?

Marketing agencies more than most companies tremble when the word “recession” hits the headlines, as businesses seek to reduce costs often starting with their marketing budgets. For example Law firms spend an average of 1.7% of their revenue on marketing many with external Agencies, however most are expected to cut their marketing budgets in 2009 by an average 11%.

According to IDC’s Rich Vancil events and traditional-media advertising will be hit the hardest in the Technology sector because of the global downturn. The same is true of the Automotive industry with Nissan withdrawing from the Detroit Auto Show in 2009 and General Motors slashing its marketing budget as it seeks government financing.

How can marketing agencies do “more with less” and continue to justify the value they bring to their clients, at this time? As always it comes through creative thinking and offering a fresh perspective to the client in order to help achieve their goals, which is why many Agencies are considering advertising on mobile phones as their response to the crisis.

With more mobile telephone contracts existing in the UK than actual citizens and over 261m subscribers in the US, mobile phones continue to be part of everybody’s day to day life, and large brands will follow the masses ‘Strategy analytics’ predicts mobile advertising spend to rise to $14.4bn in 2011. However the newest trend in this area is to use the often overlooked wireless technology, Bluetooth, which comes on every new phone as a way of promoting a campaign for free.

Bluetooth Proximity Marketing as it is called, does not require telephone numbers or use cellular networks for sending messages, removing the cost and complexity traditionally incurred with mobile marketing. With “Plug and Play” products now specifically designed for Agencies, traditional campaigns can easily incorporate Bluetooth Marketing without the need for technical know-how.

A leading light in providing agencies with Bluetooth Zones is market leader Huetouch, Nicholas Maguire their VP for Business Development said “As companies demand more out of diminishing marketing budgets, Bluetooth Advertising is giving extraordinary results as it continues to replace traditional leafleting, poster and billboard advertising.” He continues, “Everybody has a mobile phone, the ability to target a specific demographic at an appropriate time in an exact location, makes Bluetooth Marketing a powerful consumer targeting mechanism.”

It is not only the Bluetooth industry making these claims, the Public sector are rolling our Bluetooth Zones as a way of contacting citizens. From Drink Driving campaigns by Police forces to raising awareness of sexually transmitted diseases amongst clubbers, by the NHS.

Even the most effected sector in the credit crunch is finding hope in Bluetooth Marketing. Alexanders an independent Estate Agents in Wales, ran a Bluetooth Marketing Campaign for the launch of a new seaside apartment development, The Bluetooth Zone was in place for just three days and during this time 1,739 mobile phones were sent a free message, resulting in 50 enquiries, 20 viewings and 2 apartment sales!

Yes the Credit crunch is taking a large bite out of marketing budgets, but savvy agencies will use this time to expand their client base by moving from traditional areas such as print, exhibitions and events, and migrating their skills to the one area that is seeing an increased share of all our personal expenditure despite the downturn, the omnipresent cell phone.