Another company that has centered its business around short message codes is ShopText, which launched in November 2006. “We're a direct-to-consumer mobile commerce company for physical goods,” said Mark Kaplan, ShopText founder and chief marketing officer. “We have the first end-to-end system for using text messaging to close the loop between the media, product and the consumer. It creates a point-of-sale opportunity out of traditional media and events.”

The company is working with Cosmo Girl, Lucky, Details and other print publications to offer advertisers a new way to reach potential purchasers of their products. Print ads invite readers to send short message codes to ShopText to request product samples or to purchase products. Consumers can register with ShopText for any promotion the company supports by providing their street address and payment information, which can be done through text messaging or by replying later via an e-mail sent out automatically by ShopText.

According to Kaplan, 50% of consumers who initiate a text message to ShopText complete the registration process. “We issue you a unique PIN number, and from then on, you can shop till you drop,” he said.

In some ways, ShopText's business model resembles that of companies that provide ringtones, cellular “wallpaper” and other electronic content. As with such offerings, cellular operators get a cut of ShopText's revenues. However, unlike those offerings, ShopText has the extra task of processing orders for physical goods. “On the back end, we integrate the datastream to get the fulfillment taken care of,” Kaplan said. “It's not something that downloads and gets consumed.”

Kaplan used the term “impulse-enabling” to describe ShopText's technology. “If you're in a park reading a magazine, what's the likelihood that you'll remember to go to a Web site later to request information?” he asked.

Creative new short message applications such as premium television voting, reverse auctions and impulse-enabled fulfillment should help drive text messaging to the ambitious growth targets that cellular operators have set. As we saw with Internet promotions, however, what's hot today may quickly become passé, requiring content providers, network operators and advertisers to continually devise new applications in order to fuel continued momentum.

Both Limbo and ShopText are already plotting their next moves. Limbo expects to join ShopText in the merchandise fulfillment business, as auction participants have requested the ability to purchase the products they see promoted through Limbo's offering.

Meanwhile, Kaplan says ShopText's next venture will enable attendees of an upcoming concert tour to purchase merchandise through their cell phone using short message codes. “You could order a CD of the concert you're at while you're there and have it shipped so you don't have to carry it around with you,” he said.