Location-based mobile marketing yields gains for retailers
Retail customer trends have shown that shoppers are increasingly turning to their mobile devices to look up product and store information and to make purchasing decisions. Merchants are taking advantage of this trend by offering mobile apps and responsive websites to reach consumers more effectively. In fact, compared to other industries, retailers are now leading the charge for mobile apps.
According to Inside Mobile Apps, xAd's 2013 Year in Review Report showed that retail apps were the most popular category, ahead of auto, banking and finance, restaurants and telecommunications. This is largely due to the fast-paced nature of retail transactions compared to other sectors – shoppers often need to make decisions about products relatively quickly and want convenient options.
"The rise of geo-precise targeting is a testament to how effective techniques like geo-fencing and geo-conquesting are for driving customers to visit retail locations," said xAD CEO Dipanshu Sharma, as reported by Mobile Apps. "This is particularly true for retailers, where consumers are often looking to make a fast transaction."
Enhancing mobile marketing strategies, location-based services enable retailers to target their advertisements and promotions more effectively. The majority of customers are receptive to messages they receive while shopping in stores, Information Age explained. Stores can use geo-location technology, like iBeacons, or offer free WiFi to identify shoppers and send them promotions.