Location-Based Marketing and Big Data Analytics: Is Your Business Ready?

Is your business ready for the big data explosion? Are you in a position to leverage the raft of new information that big data analytics is highlighting and able to exploit these new insights for the maximum commercial gain? Is your business equipped to take advantage of location-based marketing and big data? These are the questions that will be addressed at Whitehall Media’s Big Data Analytics Conference in June, 2013. Here are the views of Rob Agterberg from The Smart Cube.

The rise of social media and the inclination to share one’s location provides a unique opportunity for marketers to drive brand engagement and consumption. In fact, the next few years might witness exponential growth in location-based marketing (LBM) and allied services.

The LBM ecosystem is expanding fast. According to Pyramid Research, global market revenue for mobile location-based services and location-enabled mobile apps should reach more than $10.3 billion by 2015. The Yankee Group anticipates 70 million mobile coupons worth $2.4 billion to be redeemed in 2013. More potential consumers “checking in” means more opportunity for consumers to “check out” when offers are presented at the right place and at the right time.

Some recent examples of LBM include brands such as American Express and Starbucks which recently began incorporating Facebook check-ins into their loyalty programs. In the UK, Nestle “hid” GPS trackers in some of its chocolate bar wrappers such as KitKat and Yorkie. A team tracked the users after they opened the wrapper and contacted them within 24 hours to deliver a cash prize.

Data from SMSs, emails, videos, social networking messages, image and graphics uploads, and cloud computing is inundating the web every minute. And all of this can be tracked right to the exact street from where it originated. Big Data analytics can help analyse data from social media to detect new market trends and change in demand, and send tailored recommendations to mobile devices at just the right time—when customers are at the right location to take advantage of offers.

Advertising rules may also witness a complete overhaul, with abundant data and tracking capabilities coming into the ecosystem. Digital and mobile advertising is easier to track; hence, we might experience a huge shift in how media plans take shape—integrating LBM to deliver maximum impact, aiding higher purchase conversion and brand engagement.

As other social networking sites launch ‘location-aware applications’, the adoption of LBM by marketers will no doubt continue to evolve. However, with so much data around consumer location and transaction behaviour, brands will need to invest in analytical capabilities that provide actionable insight. It is now up to the marketers and their agencies to leverage this technology to create truly innovative marketing campaigns, with targeted messaging and personalized product offers.

Article provided by The Smart Cube

Click here to find more information about Whitehall Media’s Big Data Analytics conference.