Location based marketing: An overview
Location Based Marketing (LBM) can be coined as an advanced marketing strategy. It may be conceived as the message delivered in the last minute but can be the best minute to multiply the chances of winning the targeted customer.
When messages are received in appropriate times the reaction will be more favourable. We are prone to act on a message when it is exactly what we call for at that time.
In such case we will act upon the message and try to get most out of it without any delay. Here, both the one who receives messages and the one who sends messages are benefited. Location based marketing is more personal.
Coming to the tools of location based marketing, smartphones are really smart enough to take this place. Smartphones and other high end mobile phones that can track user movements automatically can participate in location based marketing.
How Location Based Marketing works?
LBM delivers right message in right time at the right location. Once the mechanism is prepared and consumers opt-in for location based marketing, they can get the power of LBM.
For example, when you pass by a grocery store, immediately you will be flashed with a message of sale discount available there. When you visit a restaurant, you may be surprised to be called by your name as the restaurant might know you based on your social media presence.
There might be concerns in certain segment of customers about losing their privacy by subscribing to LBM (Location Based Marketing). Just like the means of controls adopted in usage of social media networking sites, location based marketing depends on how users opt-in for these services.
The greatest disadvantage with these service is, the customer’s location will be revealed unless he opts out of the service. As more and more brands participate in these kinds of promotions, customer’s privacy concerns may evaporate.
The Location Based Marketing strategy should drive real traffic by making consumers spend at targeted locations. Local business groups may take advantage of this Location Based Marketing during the initial phase of its launch.
As marketers do more analysis and research on consumer’s habits and spending behaviors it can be adapted to non-local business groups as well in future.
Location Based Marketing has huge potential to be utilized at national and global levels in the coming days. On the technology front, LBM promoters are looking forward to a more compelling means of tracking individuals.
Technology should enable the search and location of a person with pin point precision. It is not only the ability to track the street and the building but also the ability to locate in which floor you are present is important.
As social media presence has become a huge success for many business organizations, LBM will also bloom in the coming months and years.
Organizations should chalk out a strategy to adapt new technologies so that they will be in the fore front of usage and implementation of new strategies.
One more possible explosion in the marketing sphere may happen in the form of combined power of LBM and social media networking sites.
Business groups that venture into Location Based Marketing can establish their presence in the long run as they will be able to minimize the pitfalls and maximize the benefits.