Tag: location based marketing technology

Location based marketing appears to appeal to app users

Smartphone owners appear to be happy to opt in for geolocation technologies and the benefits they offer.

Although assumptions had been made that location based marketing techniques would put consumers off because of a feeling of being tracked and stalked, new research is showing that as long as the method is used properly, consumers can actually find it to be quite appealing.

Research conducted by Urban Airship, a mobile marketing provider, shows that consumers are happy to opt-in.

At the same time, though, new American legislation could actually create a dramatic change in the landscape for location based marketing using apps, as the concerns over the privacy of smartphone users continues to grow. There are some who have equated the use of geolocation technology to stalking, and they are determined to put a stop to it. This is interesting news as it appears to be in direct conflict with the sentiment of the majority of device using consumers, at the moment.

That said, as location based marketing has not yet become mainstream, consumers may not yet know its full potential.

Location based marketing - app usersAs geolocation technology is only just getting started, many consumers may not yet be fully informed about what it entails and what risks it could pose to their mobile security. At the same time, it could be that consumers feel that the advantages still outweigh the potential risks and are willing to share their location with the applications on their smartphones and tablets.

Urban Airship conducted an analysis of 4 billion push messages that were sent by over 1,000 mobile apps. What they determined was that 62 percent of device users were fine with sharing their location to a provider that would send push marketing messages. Among those applications that were analyzed, the opt-in rates for providing location data ranged from an average of 60 to 80 percent.

The Urban Airship CEO, Scott Kveton, explained that the location based marketing analysis showed that “assumptions around consumers being reluctant to share location are false and massively short-sell mobile,” and pointed out that, on the whole, device owners “value the location-based functionality of apps.”

Mobile marketing offers a new real time strategy through Smart Ads

One firm is now providing what it calls a first of its kind in terms of advertising service to smartphone users.

A mobile marketing firm called Smart Communications has announced that it will be beginning a first of its kind form of advertising service, called Smart Ads, which use geolocation technology in real time.

This ad service is meant to give brands the opportunity to target consumers using their smartphones through geo-fencing.

Geo-fencing is a type of location based mobile marketing strategy that defines a physical boundary in a real world space – such as a shop location – allowing that space to be programmed to complete various types of actions. For example, when a consumer that has opted in enters the space with his or her smartphone, he or she may automatically be sent a promotional coupon that they can redeem with a purchase, or they may receive an ad of the latest contest that is currently running. The specific command is triggered for the device as the consumer enters the applicable area.

The company claims that this is the first and only mobile marketing service of its nature.

Mobile Marketing - Geolocation TechnologyAccording to the media convergence group head at Smart Communications, “Unlike other mobile ads solutions in the market, Smart Ads is the first and only service capable of determining the real-time location of subscribers who have opted-in or signified interest to accept mobile ads. A subscriber’s location in real time is our main differentiator. Brand offers delivered while they are still within the specified location.”

What this means is that consumers who opt in will be able to obtain offers and deals for products that are the most relevant to those specific individuals, while they are located near a branch or a shop location. At the same time, this is very appealing to advertisers, as it will give them the opportunity to target promotions based not only on the actual real time location of a user, but they will also be able to add filters based on network usage profiles, individual demographic, and various forms of audience segmentation.

Smart Communications underscored the fact that this mobile marketing program is an opt-in only, in order to respect the privacy of the smartphone users.