In the run-up to the Super Bowl, the NFL installed wireless transmitters — beacons — in the stadium and in Times Square that could interact with fans’ smartphones and let them know where to buy their Seahawks gear or find the nearest bathroom.
It’s perhaps the biggest mainstream event yet to employ beacons for location-based marketing. The MLB has plans to do its own location-based marketing using beacons, as does Macy’s and American Eagle Outfitters.
A recent report from BI Intelligence takes a closer look at this kind of in-store, or “hyper-local targeting.” The concept isn’t new, but three technologies are making it a reality: push notifications, low-energy Bluetooth, and mobile payments.
And location-based marketing isn’t just about beacons. The report looks at three of the primary types of location-based marketing techniques — geofencing, geoconquesting, and geoaudiencing, each of which uses location somewhat differently to reach consumers.
Location-based marketing also requires users to opt-in and share their location, something many consumers aren’t often inclined to do.
The report identifies some the latest and most effective location-based apps that are giving consumers’ reasons to share their locations. Research increasingly supports the notion that local apps and advertising lead to in-store purchases, which means there’s even more reason to use location-based mobile marketing to nudge consumers down the purchase funnel.
- Location-based services enjoy widespread acceptance, but adoption isn’t growing. 70-four per cent of U.S. smartphone owners say they use mobile location-based services.That percentage is flat compared to last year.
- Check-ins are becoming passé. The percentage of U.S. adults who reported using local-social networks to “check in,” decreased from 18% in February of last year to 12% this year.
- Apps like Life360 and Waze prosper because consumers feel like they’re getting great value out of sharing not just their location, but other information too.
- Research increasingly supports the notion that local apps and advertising leads to in-store purchases. Mobile-local campaigns allow marketers to nudge customers down the purchase funnel, and “close the loop,” with in-store foot traffic and purchases.
- Geoaudience profiling, geoconquesting, and hyper-local in-store campaigns are three primary strategies used to segment audiences and target consumers based on location.
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