Shopkick, Yowza, MobiCoupons, Groupon, Foursquare, Gowalla and Brightkite are all mobile applications that offer location-based coupons. By definition location-based media delivers content to a users mobile device depending on where they are located. It is a new way to deliver a targeted marketing message to users in a specific geographic location.

From an advertising perspective, this medium is particularly effective, and for number of reasons‚ most importantly because the mobile channel is ideal for reaching today’s technologically-savvy consumers within the context of a place, location or proximity to a retail space.

Mobile coupon redemption rates can often exceed 50%, compared to 2% typical for paper coupons‚ and everyone from large retailers to brick and mortar stores are taking advantage of this by providing coupons based on a consumers mobile phone location. As Social Media was the fastest growing activity use of mobile subscribers in 2010 (up by 56%), you will also see mobile social network-based loyalty programs being developed more frequently, as well as the creation of more advanced mobile advertising platforms.

Digital coupons target consumers at the right place and at the right time, and as a result consumers are far more likely to visit the store, interact with a brand, or make a purchase. It’s time to think about how to include mobile marketing and couponing into your marketing plan.