Seattle Post-Intelligence writes:

Cellfire’s system requires consumers to download software to their phones. The company then transmits coupon offers to the phone, where consumers can choose what they want. But there’s no charge to the consumer, Dusing said.

So far, Cellfire has signed up eight advertisers, including Hollywood Video and TGI Friday’s, who pay for the service. Dusing claims a redemption rate of 17 percent to 23 percent, far ahead of traditional paper coupons.

For now, the privately held Cellfire works only on Cingular cell phones. Dusing expects both the number of advertisers and cell phone carriers to increase, and expects to offer targeted coupons using ZIP codes.

Retailers are at least trying phone coupons. Quickpons’ Web site offers discounts from hundreds of retailers in dozens of categories.

Published by

Rajesh Jain

An Entrepreneur based in Mumbai, India.