For many marketers, it’s not so much a question of if they should focus on brand engagement, but rather how they should best go about doing so. Proximity-sensing advertising is one way to connect with prospects—in real-time—using smartphone, beacon, and GPS technology. Since 81% of Americans own a smartphone and 1 in 5 smartphone users solely access the internet through their devices now, investing in mobile technology is more urgent than ever. Marketers using proximity-based technology have seen app engagement rates increase up to 600% in seven months.
What Are the Benefits Proximity-Sensing Advertising Can Provide?
You may be wondering how an advertisement arriving via smartphone actually engages a shopper, rather than being ignored, deleted, or forgotten. Here are the ways proximity marketing augments consumer engagement:
- …can offer immediate deals. Price is a leading factor influencing 81% of engagement. In surveys, 61% of consumers say “surprise gifts and offers” are the best ways to engage them. Deals don’t need to erode profit margins like coupons do in order to be successful. Offering a VIP service or reward points toward a desirable gift can be just as engaging.
- …can persuade shoppers in a timely setting. When consumers are initially deciding which brand to purchase, quality will most likely be one of their first considerations. Quality is a factor in 80% of shopper engagements. If a shopper is having trouble deciding which brand offers superior quality, a proximity-triggered video demonstration can draw attention to the differences and influence the purchase.
- …are convenient. Convenience influences 55% of consumer engagement. With proximity ads, shoppers don’t need to go out of their way to research when faced with a decision; the information they need is automatically sent based on their proximity to the product, past purchase history, and loyalty program data.
- …are omnichannel. Modern shoppers want to engage across platforms—online, offline, and on-the-go. Beacons help brands cross that final frontier of omnichannel marketing to connect with shoppers as they’re passing the store, entering the store, down a particular aisle, or even passing a competitor’s location.
- …can be personalized. Proximity beacons can capture information on how individual shoppers travel around the store, where they linger, which products they pick up, how often they shop, what times they shop, and what they buy. This data can then be used to advertise more effectively based on behavior patterns.
- …can work in tandem with gamification strategies. Why not invite shoppers on a scavenger hunt for the chance to win prizes and transform an ordinary shopping trip into a memorable experience? It’s all possible with proximity marketing platforms.
How Shopkick Engages Shoppers With Proximity-Sensing Advertising
Proximity-sensing advertising campaigns involve some fairly complex technology, but implementing them within your own marketing strategy doesn’t have to be complicated. When you partner with an existing mobile omnichannel marketing platform like Shopkick, it’s as easy as sharing a video or a lookbook through our popular shopping app and capitalizing on an existing points-based rewards strategy. If you already have a loyalty program, no problem! You can easily integrate with Shopkick’s existing platform. Your current customers will be delighted to double up their rewards and earn free gift cards with Shopkick.
A partnership with Shopkick is an effective way to introduce your brand to an entirely new audience and drive sales. Here’s an example of how a Shopkick partnership unfolds:
- Rimmel London, a leading make-up company, approached Shopkick to drive awareness, consideration, and trial of their suite of products within the crowded beauty aisle.
- To garner pre-shop consideration and awareness, Shopkick leveraged in-app content to shape consumers’ perception of Rimmel London as a top beauty brand.
- Once consumers were in-store, proximity messaging was used to deliver messages to shoppers in-store and keep Rimmel London top-of-mind.
- Shopkick then drove “trial-in-aisle” by encouraging shoppers to find the product at-shelf and scan its barcode in exchange for kick rewards. By offering additional kicks for purchasing, Shopkick increased incremental conversion.
The campaign resulted in a 14% gain in market share stolen from competitors, with 38% of purchasers being first-time Rimmel London users. Rimmel London earned a 5:1 return on investment (ROI) on the campaign.
Proximity-based advertising is a modern marketing strategy that effectively drives coveted in-store engagement, consideration, and trial at the most crucial point of sale.
To implement it in the fastest, least costly, and most effective way possible, choose a partner like Shopkick who has all the necessary technology and tools in place and ready for your use.
Image courtesy of STEKLO