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Location-Based Marketing- A Win-Win For Customers & Retailers |

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Location-Based Marketing- A Win-Win For Customers & Retailers


By  - August 29, 2014
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When you think of GPS, the first thought that most likely comes to mind is a tool that provides directions to where you want to go.  With this type of capability embedded in every mobile phone, and with a mobile adoption rate nearing 80%, almost everyone on the planet has a hand-held GPS device. As you can imagine, this represents exciting opportunities for businesses of all types.

 

Although GPS helps people find their way around, retailers can use this technology with location-based marketing (a form of reverse GPS) to locate customers that are near their stores and motivate them drop in with a personalized mobile ad.  While we are just skimming the surface of its capabilities, mobile apps with embedded location-based services (LBS) is transforming the marketing industry and comes at a time when brick and mortar stores are vigorously competing with online retailers.

 

In order for location-based marketing to work, retailers need to provide a mobile app with exclusive benefits for customers.  Once the app is installed, retailers can use location-based marketing deliver special offers, timed discounts and other promos.

In addition, retailers can use a really cool feature known as geo-fencing to set marketing triggers when a mobile user is within certain geographic areas, like driving near a competitor, for instance. This automatically triggers an ad or an SMS notification to be sent to the user in the form of an offer or a discount that brings them to your store. For example, you notice that a frequent diner is about to pull in to the parking lot of a fast food place, your mobile app would send a special offer that “steers” them to your restaurant located nearby.  This is just one example as the possibilities are endless.

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Location-based marketing is a win-win for both customers and retailers. Because the notifications received through location-based marketing are most relevant to the customer they usually prompt them to make the purchase almost immediately. This increased conversion rate is something that marketers maximize with very creative techniques and crazy offers such as a discount timer that counts down the expiration of a valuable special.

 

If you’re looking for a creative way to drive more sales to your establishment, consider investing in a mobile app with location-based services. Mobile users love these kinds of offers and most of them are comfortable with sharing their location data with these apps in return for the specials.

 

 

 

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