Catch Me If You Can

Putting Location Based Promotions in your Retail Experience.

Location Based Apps

Time, space, and place.  Thanks to GPS technology and the advancement of mobile applications, retailers can now pinpoint the timing of promotions, capture consumers in the right space, and place promotions at their consumers’ finger-tips.

NTTDoCoMo, the largest mobile operator in Japan, has been a well-known trailblazer in local promotions.  Its location-based technologies enable retailers to covert mobile marketing into offline buying – for instance, by sending time-limited GAP coupons to mobile users in the vicinity of a GAP store.  It’s also paved the way for offline marketing into mobile shopping – for instance, people attending a fashion show can purchase outfits through the mobile site, exclusive to attendees.

In the US, some retailers are exploring this terrain with what’s distinctly referred to as “mobile loyalty programs”.  A well-publicized and well-executed example of this is McDonald’s, who gave foursquare mayors of McDonald’s locations, a free sandwich.  The result of McDonald’s Foursquare Campaign was an increase of 33% in checkins.  Shopkick launched a similar application earlier in 2010 which enables users to receive special promotions depending on their location in its retail partners’ stores.  Shopkick is particularly very promising and should be looked at with great enthusiasm by any retailer/retail marketer.

If you’re an innovative retailer who wants to stay ahead of the consumer curve, then location based promotions is something you’ll want to explore ASAP.

-johnny

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