In a first for a wireless carrier, AT&T is to use its phones’ location-sensing ability to target text ads with coupons and other offers to participating subscribers.

Published: 08 Mar 2011

In a first for a wireless carrier, AT&T is to use its phones’ location-sensing ability to target text ads with coupons and other offers to participating subscribers.

AT&T is working with Placecast to deliver advertising and offers to subscribers’ cellphones via its “ShopAlerts by AT&T” programme.

The service, which targets the ads based on a person’s location, age and gender, is currently only available in New York, Los Angeles, Chicago, and San Francisco.

According to a report filed by The AP, AT&T is only able to locate its subscribers to within a mile or so, so its ability to sense that subscribers are in a receptive mood for the offer — like when they’re heading to shop — is limited. The service locates subscribers based on which cell towers communicate with their phones, rather than using the more accurate Global Positioning System chips that many phones have. This means ShopAlerts will work with any phone, not just smart phones that can run third-party applications.

JetBlue Airways is another participant in the programme and could use AT&T’s service to send promotions when passengers are approaching an airport.