Discover how proximity marketing benefits positively impact your strategy

The majority of shoppers (82%) make their purchasing decisions while in-store, typically after seeing, holding, and interacting with the product. Retailers need to find a way to reach customers at this pinnacle moment when they’re weighing their options. Store associates have been one of the only effective ways for retailers to influence the decision-making process in real-time, but technology—specifically proximity marketing—is swiftly moving in as the preferred way to personalize the shopping trip and deliver information, guidance, and tips during critical moments along the path to purchase. 

The positive impact proximity marketing benefits have had on retailers has driven this marketing strategy to the forefront of the industry. Whether you use beacons or GPS technology, reaching shoppers on mobile devices with relevant, real-time messaging will be a boon to your retail business in 2021. 

Here are some core proximity marketing benefits you can expect to see if you decide to implement the strategy: 

1. Influence Customers On-the-Go. 

Proximity marketing falls under the omnichannel strategy of retail marketing, which aims to reach and influence consumers through the various channels in which they shop. Omnichannel retail eCommerce in 2020 has had a significant impact on in-store purchases. Whether you think of it as delivering a consistent experience across channels or establishing a presence where people are buying, omnichannel is not so much a “trend” as it is the most effective way to conduct business. 

Mobile has become one of the most important components of omnichannel shopping. People spend nearly 4 hours per day on mobile devices, and 82% of shoppers consult their smartphones before making an in-store purchase. 

Proximity marketing messages can be delivered through a complimentary app, or can simply target shoppers passing by the store (so long as they have Bluetooth enabled). The average click-through rate of proximity marketing messages can reach 80%, which is significantly higher than the 0.119% click-through rate of Facebook ad CTRs and 1-3% email open rate. 

2. Access Touchpoint Opportunities. 

A touchpoint refers to any given time a customer comes into contact with your brand. Storefronts, showrooms, employees, checkouts, email communications, TV ads, billboards, in-store displays, online ads, coupons, mobile texts, and app interactions can all be considered touchpoints. 

The average sale requires about eight touchpoints, though it could be more or less depending on your niche. Every opportunity you have to leave a favorable impression helps bring a shopper one step closer to a purchase, whether it’s the first or it’s been a while since the last.

With proximity marketing, beacon technology can send relevant messaging to customers at the most opportune times, creating multiple touchpoints in one consumer journey. For instance, a shopper may be greeted upon entering a retail store with personalized recommendations. Later on, they may receive notice of a nearby deal on a wish-listed item, and then be offered a reward for interacting with or purchasing the product. 

Together, these messages can positively influence the consumers’ path to purchase, encouraging them to select your product over the competition. 

3. Increase Engagement.

Sustaining engagement is necessary to keep customers loyal. Since it’s 5x to 25x cheaper to retain an existing customer than it is to solicit a new one, investing in engagement is critical. 

Engagement-related activities keep shoppers informed of new arrivals, promotions, and product recommendations while providing retailers with valuable feedback. Engagement is necessary to improve marketing campaign return on investment (ROI), keep customers happy, and grow referrals. 

Proximity marketing is one of the most effective ways to increase engagement. In 2020, 48% of retailers said they would use location data to engage customers. Proximity marketing provides a means to target customers in real-time at the point of purchase. Beacons can drive relevant promotions, answer questions, and provide additional incentives to “buy now.” 

4. Drive Immediate Conversions.

Today’s shoppers seek a “hyper-relevant” experience, which is when a retailer knows who the customer is and what the customer is trying to achieve in a real-time shopping context. Targeted promotions, in-store analytics, and proximity marketing solutions help deliver hyper-relevance to consumers. 

These tactics will improve a brand’s or retailer’s perceived value, and will also prompt an uptick in sales conversions. Hyper-relevant location-based notifications increase sales by an average of 24% when delivered directly near the products or services promoted. 

To see proximity marketing in action, you can look to Purina’s holiday campaign with Shopkick.  When Purina partnered with the mobile shopping rewards app, their goals were to increase awareness and use in-store messaging to drive trial and consideration of their products at Target during the busy holiday season. 

Shopkick first promoted in-app content to shoppers at-home to drive awareness and interest. Shopkick then leveraged proximity messaging to drive shoppers in-store and greet them once they entered the store, keeping Purina top-of-mind. Finally, to drive product engagement and incremental conversion, Shopkick used reward incentives to encourage shoppers to seek out the product at-shelf. 

Of all sales driven, 85% were incremental, and 36% of shoppers were previously unfamiliar with the product before introduction through the Shopkick app. Forty-seven percent of shoppers also reported future purchase intent. 

Are You Ready to Reap Proximity Marketing’s Benefits?

Proximity marketing’s prominence is growing among retailers who are looking to impress consumers with an elevated level of personalization and timeliness. With competition increasing by the minute, it is imperative for retailers to find ways to differentiate themselves in order to gain market share. Proximity marketing is retailers’ key to differentiation in 2021. 

Want to learn more about how proximity marketing benefits retailers? Read our success stories and contact Shopkick to learn how to become a partner and integrate proximity marketing into your 2021 strategy.

3 Goals You Can Reach in 2021: Part 3

In case you’re just joining us, we’ve been detailing how to take steps toward nine of the most common goals people set every year in January. We’ve talked about how to workout and read more, how to stick to a budget, and how to lessen screen time (even during a pandemic!). There’s more for you to explore here and here. 

As a reminder, we’re sharing simple steps you can start doing today to make goals a reality rather than something you simply write down. Today, we’re going to talk about the final three goals of the most popular annual goals: how to be more eco-friendly, how to stay organized, and how to try new recipes. Let’s keep the goal setting going! 

Be More Eco-friendly: 

Supporting and being kinder to our environment is an ongoing endeavor, rather than something we can solve in one swift motion. But, if we all make even small changes, they do add up! So, consider the ways your family lives, and think about ways you might be able to make revisions. Here are a few ideas:

Recycle: Many communities pick up recycling each week or there are centers within driving distance where you can drop off your recycling. Rather than tossing water bottles, soda bottles, jars, newspapers, and more into the trash, consider rinsing them and placing them into a recycling can instead.

Reusable Bottles & Dinnerware: Consider choosing to use a reusable water bottle throughout your day rather than single use plastic. You can also opt to skip using paper plates and plastic utensils and instead turn to everyday dinnerware that can be washed and used again and again. 

Use Reusable Bags: When you make a trip to the grocery store, how many plastic bags do you typically leave carrying? Likely a lot, which is totally normal! Purchase a few reusable bags you can use each week to cut back on waste. The great thing about reusable bags is they can typically fit more than an average plastic bag, which means you’ll need to make fewer trips back and forth to your car to bring everything inside.

Get Organized:

Whenever the word “organize” is mentioned, typically feelings of overwhelm follow. But, they don’t have to! Rather than thinking you need to completely organize and overhaul your space at once, why not break things down into steps? Here are a few ideas:

Tackle One Area: This might look like a room, or it might look like a drawer! There aren’t rules about how slow or fast you need to organize.

Set a Timer: Think about seeing what you can get done in a block of time. Five, 10, 15, or 60 minutes will definitely allow you to make a dent or complete an entire project! 

Look to the Pros: There are plenty of articles about organization, and some of them are definitely worth the read! We like this piece by Real Simple about how organization pros create order. The tips are 100% doable!

Tidy: Whether it’s at the end of the day or one day a week, think about tidying up your space. Organization doesn’t work unless you do, and your new process will take time to get used to. The key thing is remembering how you feel when everything is in order!

Try New Recipes:

If you’re becoming tired of your meal rotation, it’s likely time to mix it up. Consider trying even one new recipe each week. 

Think about collecting recipes to try and pinning them onto a board on Pinterest. Move the ones you love to a new board after you’ve made them, and delete the ones you know you never want to make again. You can also mix things up by trying rotating through new recipes for breakfast, lunch, dinner, and snack, so your list is never completely filled with recipes that have many steps (dinner recipes, we’re looking at you!).   

We also post plenty of recipes in the app!

Now that we’ve reached the end of our review of some of the most popular goals and resolutions, which ones are on your list? Let us know on Facebook!