July 7, 2015
Nearly 40% of the US’s millennial generation moms can now be reached through beacons, states inMarket. As per inMarket, this is based on the interaction of more than 36 million monthly active app users going to US retail stores with beacons through its platform.
Proximity marketing can be effective at bus stops, sporting arenas and large events in general—all areas where beacons or even NFC (near field communication) tags could create multichannel campaigns. Many proximity marketing companies are providing add-on features which help in measuring advertising and promotion effectiveness, and better understand the customer journey. In the case of proximity marketing—which was initially driven by SMS and WiFi—the transformation started with the introduction of NFC. After that, Bluetooth low energy (BLE) technology gave a meaningful direction to proximity marketing efforts.
InMarket is a Los Angeles-based company which works on iBeacon technology. The company partners with retailers and allows them to reach many of the shop’s customers through the app by sending interactive alerts and other content on their devices while shopping in the stores. InMarket had rolled out its iBeacons across grocery stores such as Giant Eagle and Safeway. The company says that on average, its platform generates a 14% increase in products in a basket during a store visit. This is with regard to users of all demographics.
The company recently announced that out of the 41 million moms (born between 1982 and 2000), 20% can be reached through beacons. For marketers, the 18-to-34 demographic is a more attractive target because of their spending habits, and also mothers because they are the decision-makers in retail shopping.
To reach 38% of millennial moms is impressive, backing the fact that the beacon is eventually creating its impact. But the one question that the company needs to address is: out of the reachable millennial moms, what percentage actually purchase something because of beacon-based promotions? According to analyst firm GrowthPraxis.com, other questions for proximity marketing players would be: