The Impact Of Geolocation Data On Retail Marketing Strategy

One of the most crucial pillars of the highly digital existence that we witness today is mobile ownership. Besides encouraging an increasingly digital lifestyle, mobile ownership has also overhauled businesses across a variety of industries, especially retail. Studies conducted in the United States show that about 68 percent of Americans own smartphones, while 45 percent have other mobile devices, such as tablets.

This staggering growth in mobile ownership has empowered retailers with a remarkable scope to aim at consumers that form their target audience using geolocation data. It is a known fact that mobile devices have an in-built ability to keep an eye on and report the device user’s real-time location with a dependable level of accuracy. While geolocation, even in its most original avatar had sufficiently proven to be highly valuable, it has consistently evolved right along with the many technologies impact the mobile landscape.

Let’s take a look at some of the ways geolocation offers the opportunity to transform the face of any retail business completely.

1. Location-based marketing: While there are several means to utilize geolocation for marketing initiatives driven by location, beacon technology is currently among the most popular methods. It allows retailers to identify precisely where the customer is at any given moment and then use that information to send them customized offers, push notifications, coupons, and other promotional content.

2. Micro-moments: Research has shown that 50 percent of customers who run a local search on their mobile phone end up visiting a store within a day. Also, at least 18 percent of the searches above end in the customer purchasing within 24 hours. It is micro-moments like these that can significantly enhance business for a retailer. Hence, one must ensure that their mobile content plan is streamlined for every stage of customers’ journeys.

3. Geo-targeted mobile advertisements: Today a variety of technology giants offer a plethora of geo-targeting services, which, in turn, allow retailers to reach their customers based on details like country, state, city, and postal code to allow them to determine the ideal placement for potential ads. Using such levels of information to target one’s audience helps make sure that the message gets through to precisely the people it is aimed at.

4. Better customer experience: Besides fine-tuning one’s marketing efforts, geolocation technologies can also be leveraged to improve the overall customer experience. Case in point, understanding the target audience’s preferences can be used by retailers to come up with appropriate strategies that can tend to their mobile customers’ needs and desires. One of the best examples is Taco Bell, which uses geolocation to determine when a customer who placed an order is near the store and then ensures their order is ready as soon as they walk in.

Hopefully, the above discussion amply demonstrates the immense potential of location-based services applications for your retail business! So remember, it’s never too soon to embrace such a progressive technology to grow your business.