Originally posted 2014-08-01 11:00:25.

By Christina Severino | amdlawgroup.com

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In addition to the soaring popularity of social media, the advances in technology have lead many fashion and beauty brands to target consumers through mobile technology. Companies such as Target offer an SMS service in which they send coupons to customers on a regular basis, right to their mobile device.

Along with text messaging, brands are utilizing the application technology on smart phones to reach more customers. Brands such as Gucci and Victoria’s Secret have created mobile applications for use on smart phones that customers may download onto their phones. These apps enable consumers to view and purchase items available on the brand’s traditional e-commerce webpage. Many brick-and-mortar stores are also using mobile app devices such as iPhones and iPads to process sales and email customers receipts. This technology enables the employee to come to the customer and perform transactions on the spot.

Even though advertising technologies are becoming more prevalent, many legal issues are raised. For example, the use of SMS text messaging to solicit and advertise brushes against the current legislation of the Telephone Consumer Protection Act, which includes spam phone calls, and may also include text messaging. Under the Act, consent and geo-location targeting limitations are set in place. However, when a customer opts for the respective brand to send them text messages regularly for sales or promotions, they oftentimes do so willfully by accepting the brand’s terms when signing up.  Many brands target only those individuals who have provided their contact information during a transaction in store or online. Geo-location should also be done with caution by using software that warns the customer when the app is attempting to pinpoint their location. This preserves the customers’ autonomy and privacy. Brands should also take heed in avoiding data collection and transference to third-parties.

Another implication of mobile marketing is whether the luxury brand’s image will be negatively impacted. Sending out massive text messages to customers may push them further away, by either creating an impersonal touch or even cheapening the exclusivity of the brand. Similarly, spying on customers with tracking software may diminish consumer trust in the brand. From a brand’s perspective, it is essential to continue guarding your reputation by preserving the image and rapport built with your fan base in any new marketing approach… With new technology comes greater responsibility!

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Resource:
http://www.luxurydaily.com/gucci-counsel-says-consumer-consent-essential-in-mobile-marketing/

Image Credit: https://flic.kr/p/bV9J19 

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