In-the-moment marketing can be very effective if the right content is delivered right on time. Imagine receiving a personalized offer ” 30% off just for you” form your favorite pizza brand present on the 3rd floor of your favorite shopping mall while you are shopping on the ground floor! That’s Proximity Marketing!
Effective digital strategy and right platform can increase revenue growth for retail store meanwhile improving in-store and shopping experience for the retailer. Below are the contextual understanding and use cases.
What is Proximity Marketing
Proximity marketing is the localized distribution of content associated with a particular location. It is based on location technology allowing users to access the location information with their mobile device in real time and at the right moment.
There can be action or a bundle of action that can use location-based technology to communicate with users via smart devices. The actions can be any kind of content like a promo-video at concerts, information about emergency exits in shopping complexes, discount offers, social applications, retail check-ins loyalty points and etc which gets triggered with specific location condition.
Pillars of Proximity Marketing
Proximity marketing consists of three fundamental pillars :
- A Location Device: to detect user presence and deliver the content
- A technological Platform: that manages and connects all the information and,
- A Mobile device: that acts as a communication channel between users to users and brands
Proximity Marketing technologies: Beacon (Bluetooth or Wi-fi) and Geofencing
There are 2 technologies which are predominantly governing proximity marketing, Beacons and Geofences. Beacons help in targeting and delivering the content to customers indoor such as Shopping malls meanwhile geofence is a better option for outdoor locations such as concerts and events. FEBA dashboards support the use of both the technology simultaneously form the same account.
A location-based marketing platform could incorporate location intelligence and behavioral data in order to improve audience segmentation and delivery of automated personalized contents.
Business Use Case
IKEA Austria launched its first beacon deployment in its store in Graz. In-store push notifications are sent to visitors who have the IKEA Family app installed on their mobile devices. Beacon inside provided the beacons that were installed in the lobby, in the restaurant, and in the checkout area.
Lenskart conducted a pilot run of proximity marketing with FEBA for their store at Phoenix Market City Kurla, Mumbai, India targeting every visitor present in Phoenix mall having FEBA installed in their phones with 5 simultaneous offers.
If you have any questions about Location Marketing, technologies and business cases, please feel free to get in touch with us. We’re always glad to help!