Opportunity awaits when you're in the right place at the right time. That's the exact principle behind location-driven marketing.
Location-driven marketing uses a customer's current location to send tailored mobile marketing promotions at the most opportune place and time. Its goal is to increase open rates and redemption rates, giving companies a better return on their mobile marketing investment.
Locaid, a Location-as-a-Service (LaaS) provider, recently launched Locaid Campaigns, a cloud-based location campaign management platform that offers location-driven marketing tools to help optimize a company's mobile marketing return on investment (ROI).
Using Locaid, businesses have access to real-time, location-based marketing and consumer behavior intelligence that can help them send hyper-relevant offers, increase store traffic, analyze text message marketing and push campaigns, and more.
According to the news release, location-enabled advertising spending accounted for 8 percent of total mobile advertising expenditures in 2012. By 2017, it is expected to reach 33 percent. Yet, companies are struggling to optimize their ROI.
To help businesses launch more effective campaigns, Rip Gerber, CEO of Locaid, offered the following tips on location-driven mobile marketing best practices:
1. Put your customers first. Your customers are digital omnivores. They use a number of digital channels to interact with your brand. Make sure you have an integrated strategy that is optimized for whatever channel they use to interact with you.
2. Use the right tools. Make sure you choose a campaign management platform that is simple to employ; has the location reach you need to get to 100 percent of your customers; gives users the ability to manage their profile, interests and frequency of offers received; and can deliver highly contextual and targeted offers so opt-out rates are very low.
3. Don’t rely on an app. More than 4 billion people in the world still have feature phones. That’s 4 billion people your app can’t reach. Leveraging Locaid’s LaaS platform, your offers can reach 100 percent of consumers, whether they are using a smartphone, feature phone or driving a connected car.
4. Only use location as necessary. Location provides a highly effective way to send locally targeted, relevant content to your customers at times that most benefit your business. Having happy hour? You only need to look up the location of your customers and send them a promotional message once a day to drive traffic. Sales slow between 10 a.m. to 11 a.m.? Look up the location of all customers in the area at 9.30 a.m. and send them a coupon to redeem when they buy something during (what used to be) that slow hour.
5. Analyze. Location gives you a new data point for analyzing customer behavior. The key is to make sure you turn that information into market intelligence for well-informed business decisions.