Monday 28 March 2016

Marketers value location-based ads, but in-store experience is lacking: Forbes exec

Still from Louis Vuitton mcommerce film

Still from Louis Vuitton mcommerce film

By Brielle Jaekel

NEW YORK – A Forbes executive at the Mobile Marketing Association’s Mobile Location Leadership Forum March 24 predicted that location-based ads will eventually make up 40 percent of ad spend and the number of location-aware applications will triple by 2019.

The executive emphasized how important it is for retailers to tap into mobile for better retail experiences, as 44 percent of consumers claim their devices are essential to purchasing decisions. But location-based advertising and data are key to making that happen, and the number of retailers valuing this information is growing.

“Connecting that critical micromoment in ways using location is the key,” said Bruce Rogers, chief insights officer and head of the chief marketing practice at Forbes Media. “Personalization is an important part of location, being contextually relevant is key.
“While we have lots of connected customers and media to do that, local and location on mobile is the most personal,” he said. “We are also thinking about faster content, how do we create content for that moment once you know where someone is and what their intention is based on their location.
“It is a pretty complex ecosystem to be able to connect that.”
Mobile and location
Mr. Rogers explained that 90 percent of sales still occur at in-store locations, but consumers are still heavily connected to their devices while shopping, which means marketers have a direct line to in-store consumers. Retailers are really looking to transform the in-store experience, and mobile is the key to doing so.

When talking to retailers, Forbes discovered that 56 percent of marketers value location-based data most. But the challenge is how to put it all into context.

Retailers must be relevant to consumers at the most effective times by paying attention to the consumer journey through location information. There is a wide range of ways with which to connect to consumers and marketers need to determine what will be helpful at the most time.
Location through mobile is one of the most personal connections to consumers, which is what they are looking for, especially on mobile. Marketers need to speak to their demographics as a friend, and create more in-the-moment experiences that are personalized and hit at the right time.
Missed potential
Every brand and retailer is interested in creating an experience in which purchasing an item is as easy as ordering a ride share from Uber. Location may be to the key to creating the relevant and convenient experience.

A substantial number of retailers believe that they are successful in providing an overall seamless shopping experience, with 64 percent claiming so. However, only 45 percent think positively of their retail experience within the last thousand feet of stores.

The gap in on site marketing experience shows real need for improvement, as it is an area that has significant potential in connecting to consumers.

“It is not just advertising, location is really business intelligence,” Mr. Rogers said. “It is not just about marketing messages and about understanding your supply chain.
“It is about understanding your ecosystem around your entire operation and making it more efficient,” he said.


from
http://www.luxurydaily.com/marketers-value-location-based-ads-but-in-store-experience-is-lacking-forbes-exec/

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