Startup Cellfire has been testing a Java-based mobile coupon offering for the last six months and is now going national with Cingular, reports ClickZ. It has already signed well-known national marketers T.G.I. Friday's, 1-800-Flowers.com, Hollywood Video and Carlson Travel to nationally distribute their coupons, and it's in talks with carriers other than Cingular.

Cellfire says tests had coupon redemption rates between 15 and 25 percent. Its system is based on a downloadable Java application, distributed via Motorola's HelloMoto.com, Cingular's mobile site and Cellfire.com; it is being promoted via an online ad campaign and is compatible with 43 phone models, according to Cellfire CEO Brent Dusing.

Using the application, consumers can browse for coupons from advertisers in their area and redeem them by showing them to cashiers, who enter the relevant code; retailers are therefore able to track conversions.