This post is part of Mashable’s Spark of Genius series, which highlights a unique feature of startups. The series is made possible by Microsoft BizSpark. If you would like to have your startup considered for inclusion, please see the details here.
Name: GroupMe
Quick Pitch: GroupMe makes life easy for you and your groups with free group texting. It's your real life network, in your pocket.
Genius Idea: There are plenty of mobile applications that support group texting -- even the once location-focused Brightkite has entered the space -- but GroupMe's approach is by far the simplest. The SMS-based and device-independent service also has the most potential to connect real life friends and family members through group texting.
You can use GroupMe to start a private chat with groups of up to 25 people. Enter your name and phone number on GroupMe's website to get started. The service will follow up with a text message from a unique phone number -- that phone number will serve as your group's number for texts and conference calls. You, and all other group members, can then add group members via SMS using the syntax "#add name phone number."
Other SMS hashtag commands include #list to see a list of all group members in the chat, #name to set or change your name and, most importantly, #mute to mute or unmute the texts. iPhone users can optionally download the GroupMe iPhone app to manage their groups and add new group members from their iPhone's existing contact list. If you register your account, you can also manage the group from the web and see the entire text thread online.
The beauty of GroupMe is that everything is routed through SMS, so you can have group chats with any of your friends, so long as they can send and receive SMS. This could also be a downside if your friends don't have unlimited texting, but eventually the iPhone app will let you chat within the app (and save your SMS). Still, the experience is fast and compelling, almost more so than the new Facebook Groups.
Where GroupMe shines is in actual use. This is one of those services that could easily become part of your daily routine, because it's both practical and addicting. The use cases are endless: support groups, parents groups, one-time event groups, family or friend chat; it's even applicable for business-related purposes. Just be careful not to abuse the texting privilege with chatters who may not want to be inundated with texts (though they can use the #exit command to leave a group).
GroupMe is a free service to use -- standard text message rates apply -- but the service itself is certainly not free to operate. GroupMe is powered by Twilio's voice and SMS platform, which charges per group phone number, per text and per minute for each call. For the time being, GroupMe can use its $850,000 in angel funding to cover the costs, but the startup will need to find a way to monetize.
GroupMe has already taken one step forward on the monetization road. In an interview with Mashable, co-founders Jared Hecht and Steve Martocci explained that sponsored groups are a very real business opportunity for the young startup. That theory was tested last weekend at Austin City Limits. The festival launched a branded GroupMe initiative so attendees could create their own event-themed SMS groups and opt-in to receive relevant updates -- think band and beer style tips -- from the festival.
Right now, the guys believe they've hit on something pretty big, and they have the numbers to back up that confidence. GroupMe officially launched in mid August and has since seen upwards of three million SMS messages sent via their platform. "We're seeing hockey stick growth," says Hecht, "there's now more than 100,000 messages sent per day, and on some days it's more than a quarter of million."[source]
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