Geo-marketing being utilized more and more

Geotargeting

Geomarketing
Foursquare, the location-based marketing service, has announced a partnership with a series of daily deal coupon businesses, which is expected to bring geo-marketing out of the “dabbling” stage and into much more common use, for a major impact on mobile marketing.

Geo-marketing has been effective, but has been only very lightly used in Australia and the United States so far. It has, however, created quite a stir in certain occasions, such as when thousands of customers rushed to Gap stores mere hours after receiving instructions to obtain one of 10,000 vouchers for jeans.

Foursquare is a site that allows its users to “check in” to various venues and locations in a manner similar to Facebook Places. It has connected itself with a number of daily deal coupon businesses such as Gilt Groupe and Living Social. Though Groupon, Cudo, and Spreets have already skyrocketed into popularity in Australia, the location-based marketing element of their potential has barely been touched.

Nielson research from 2010 showed that 41 percent of businesses in Australia had taken part of some form of social media activity. However, only one fifth of those had made geo-targeted promotions, offers, or content.

Research director of media Melanie Ingrey from Nielson, said that “Location-based social networking services have definitely caught the eye of marketers.” She went on to explain that the capability of geo-marketing to target customers with an offer that is specific to their location, combined with promotion techniques that are reward-based, can drive consumers into the brick-and-mortar shops so that they can “check in” and find out what opportunities are available for them, as the company is simultaneously given the chance to engage with them.

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