News Brief

For Release 7/12/2011

TEXTING: THE NEW VOICE OF THE CUSTOMER

SMS Text More Popular Than Voice or Web for Customer Comments

Burlingame, CA July 12, 2011 Consumers overwhelmingly prefer to provide customer feedback and reviews via text message instead of voice or web surveys, both at the point of service and during follow-up surveys at home, and do so with dramatically higher participation rates than in traditional web-based reviews. These are the results found in actual customer trials by Loyalmobs, Inc., a provider of real-time customer feedback measurement and reputation management services that can be accessed via text, voice, or web. This mirrors the general trend in telecommunications usage by Americans, moving increasingly to mobile phones and texting. Over 250 million Americans carry mobile phones according to Nielsen Mobile, and a typical US mobile subscriber placed or received 204 phone calls each month but sent or received 357 text messages per month.

Texting: not just for teens anymore. While teenage girls 14-17 send an average of 100 text messages a day, Shane Snow of Mashable reports that adults embrace text messaging as well, sending an average of 10 text messages a day each. In the general US population, those 35 years and older account for 60% of the population, and 50% of the text message senders. 25-35 year olds, 16% of the population, represent 25% of the text message senders. This embrace of text messaging by a broad demographic is also reflected in their choice of communications mode to respond to customer survey requests.

Texting option at Point-of-Service increases customer participation rates. Chicken-N-Mo, a restaurant serving up Southern-style food and hospitality in Spokane, Washington (and listed in the Best of the Northwest), has used Loyalmobs Incorporated's customer satisfaction measurement and reputation management system to gather real-time customer feedback and reviews. In six weeks Chicken-N-Mo received 68 customer reviews in response to their request via tabletop and countertop signage, over 90% of which were via text message. This is an average of one review per seven tables per day for the restaurant, which far exceeds the participation rate they had received via other customer review services. For example, over a 3 year period Chicken-N-Mo has received only 34 reviews on Yelp!, a web-based review site.

Cellular makes immediate solutions to problems possible. Using mobile phones to provide feedback provides other advantages as well. In addition to the increased customer customer participation rate, the Loyalmobs system provides immediate alerts to store management in the event of a negative customer review, and enables a direct dialogue between the merchant and consumer via text or voice, as the consumer prefers. This allows the merchant to respond to the customer and address any problems while they are still on-site, turning unhappy customers in happy customers.

Texting most popular for real estate agent as well. John King, a Broker Associate with Keller Williams Realty in Palo Alto, California used Loyalmobs's new customer feedback measurement and reputation management system to survey his client base via e-mail. Clients were asked to rate their experience with King, and given the option of responding via text message, voice response, or a link to a web survey. In seven days he received over 50 reviews, the majority of which were via text message. Text messages were more frequent than voice or web responses combined. In addition, the active customer engagement approach taken by Loyalmobs dramatically increased client participation, compared to the four Yelp! reviews that King has received over two and a half years.

Turning happy customers into promoters. In addition to gathering customer reviews and easily allowing merchants to post their choice of positive reviews on their own web site, the Loyalmobs service also automatically encourages happy customers to promote the business being reviewed through their social networks. John King's clients who provided a positive review were also asked to "like" his Facebook page, tweet and follow his Twitter feed, and post comments on their Facebook wall and other review sites.

"We recognized that enabling consumers to use the ubiquitous technology they already had in their pocket would dramatically increase response rates and enable real-time, two-way dialogues to increase customer satisfaction," said Pardner Wynn, Chief Technology Officer and co-founder of Loyalmobs. "What we didn't expect was how dominant texting has become. We designed Loyalmobs to allow any cell phone user (not just smartphone users) to provide feedback and reviews via text, voice, or web surveys, using local telephone numbers or QR codes to make access as easy as possible. Given the choice, consumers clearly prefer using SMS text messaging to provide feedback."

About Loyalmobs: Loyalmobs is a mobile comment card service that provides real-time customer satisfaction measurement and reputation management. Unlike traditional voice or web customer satisfaction surveys, Loyalmobs's unique technology and methodology uses ordinary cell phones (no application download is required). Consumer participation rates are thus dramatically increased and merchants can respond to unhappy customers while they are still on premise. Happy customers are encouraged to promote the business through their social networks. For more information, pricing, and complete details on the Loyalmobs solution, see http://www.buzzbeeper.com.

For Further Information Contact:
Dave Mandelkern, co-founder
415.531.4238
news2011@buzzbeeper.com

Links to customer web sites referenced in this release:

http://www.chicken-and-more.com/reviews.html

http://www.akrealty.com/Testimonials/?ID=3502