5 ways to use location data to enhance marketing
Drive business growth by tapping into increased opportunities to gain mobile-user insights
Location data represents a whole new frontier for many marketers. It extends the ability to understand customers and potential prospects by enabling a better understanding of peoples’ movements in the physical world. The ubiquity of mobile devices and increased connectivity via WiFi and beacons (think IoT) opens a whole new world of data collection and analysis that can transform the way products and businesses market themselves to drive growth. Within the MENA region, location data is still relatively nascent and remains largely untapped; however, there are some immediate use cases that marketers can consider as they explore the value of location data. Here are 5 ways in which location data can deliver new opportunities and help increase performance:
Utilizing data to improve audience targeting online is nothing new. For years, marketers and agencies have leveraged data in order to improve the relevance of advertised messages to its specified recipients. However, for the most part, data gathered around online users was almost entirely confined to their online personas and behaviors. With location data, you can now explore enhanced tactics. Build audiences based on your (or the competitors’) store visitors with the aim of finding prospects who are ‘in-market’ for a particular product or service. Analyze aggregate level movements of devices and segment those who display specific lifestyle cues such as frequent travelers to airports, regular coffee drinkers, beachgoers, and so on.
- Customer retention
Have you considered customers who used to be regulars but no longer visit your place of business? Perhaps they have lapsed or are now visiting competitor venues? Gaining insight into customer movements can help you build strategies that create opportunities to bring them back. Focus on lapsed customers with tailored messaging or promotional offers at scale so that you can entice some (or more) of them to return.
- Enhanced CRM
Integrating location data into your CRM plans can add new attributes to better profile your customers. Extend your understanding of customer journeys beyond your storefront. How do they travel to your store, where do they come from and where do they live? What are their shopping habits in the wider marketplace? CRM efforts are generally centered on learning as much as you can about customers and prioritizing those that represent the highest potential value to your business; location data can add new layers to this knowledge base.
- Venue optimization
When your customers arrive at your store/branch/mall/hotel/showroom, where do they go? Are all your products easily visible or do people tend to congregate in specific areas before leaving? Are you maximizing your venue layouts to ensure optimal sales potential? Retailers have been making big improvements in their venue designs but often, the results can be mixed. Collecting customer movements at scale can reduce the guesswork and open avenues for venue optimization.
- Competitive intelligence
How does your venue footfall compare with that of your competitors’? How does this compare in terms of day-of-week, time-of-year or specifically, during peak periods? If you don’t know the answer, you need to consider developing a location data strategy to help uncover these insights. In some instances, location data has been used to better pinpoint store locations as part of expansion efforts.
This Insights article was created by Dimitri Metaxas, Co-Founder & CEO at IQ data
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