White Paper: MMA/iLoop Mobile Location Technology Roadmap

The "Why" of Location-enabled Mobile Marketing: Understanding Location as the Key for Creating Customer Value and Engagement October 18, 2011 MMA EDUCATIONAL SERIES Sponsored by:Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

2 Copyright © 2011, LOC-AID Technologies. Patents pending, all rights reserved. Confidential - Do Not Copy or DistributeMobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

3Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

Entering your store? At the office? At home? Going to the mall?4 Copyright © 2011, LOC-AID Technologies. Patents pending, all rights reserved. Confidential - Do Not Copy or DistributeMobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

“50% of mobile users served location- based messaging take action” – Mobile Marketing Association & Luth Research, 20105Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

Standalone GPS Wi-fi/IP Carrier-based/Cell ID Carrier-based/A-GPS Other12Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

Carrier-Based App-Based US Addressable Subs 285 million 50 million Adoption Hurdle NO Download App Download Required Platform specific (iPhone, Android, Platform-specific App NO – All phones Blackberry, Windows, etc.) Speed 0 - 10 seconds 15 – 30 seconds Accuracy 5 – 500 meters 5 -100 meters Indoor Coverage YES NO Downtown Coverage Better Worse Battery Drain None Severe Data Integrity App Allowed Network Secure (Spoofing Permitted)13 Copyright © 2011, LOC-AID Technologies. Patents pending, all rights reserved. Confidential - Do Not Copy or Distribute 13Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

http://InstantLocateDemo.loc-aid.com • Locate your own phone for real-time location fix • See accuracy levels with “least expensive” (cell ID) & “most accurate” (AGPS) • See how opt-in procedure works (Your phone will be opted-out automatically in 10 minutes)14Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

Consumer Enterprise15 LaaS Copyright © 2011, LOC-AID Technologies. Patents pending, all rights reserved. Confidential - Do Not Copy or Distribute LBSMobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

Solutions customized by location Location-enabled loyalty/CRM Location-based SMS promos Real-time interaction by location Heat Maps/statistics & reports Cross-carrier and device-agnostic Copyright © 2011, LOC-AID Technologies. Patents pending, all rights reserved. Confidential - Do Not Copy or Distribute16Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

Location-based messaging Location-enabled loyalty/CRM Solutions customized by location Real-time interaction by location Location-based SMS promos Cross-carrier and device-agnostic Heat Maps/statistics & reports Copyright © 2011, LOC-AID Technologies. Patents pending, all rights reserved. Confidential - Do Not Copy or Distribute17Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

• MMA: Marketing budgets overall are -70%, however mobile marketing budgets are +26% every year • MMA: Mobile marketing redemption rates often exceed 3X vs. other media channels • Airwide Solutions says 89% of major brands plan to market via mobile phones by 2011 • Forrester: 24% of US adult iPhone users and 21% of Android users have used a mobile shopping application in the last three months • 60% of major brands have deployed text messaging (SMS) campaigns, while 33% have deployed multimedia messaging (MMS) campaigns18 Source: Mobile Marketing AssociationMobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

+ Location = Proximity Marketing Pushing targeted content based upon mobile location and time-of-day (and other demo’s) to maximize call-to-action or response19Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

• Over 2/3 of UK mobile phone owners say they would opt-in to location services to receive relevant content • Those younger than 35 were more likely 30% Interest to share location data, with popularity dropping as the age of the user climbed Not Interested 70% • Customer reviews and sales promotions were the most popular content to receive based upon location Interest in Opt-in to location services Source: Fiercewireless August 19, 2011 Nearly 70% of UK consumers keen on location services20Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

• Respondents were conflicted in their attitude toward mobile coupons with a location-based element • More than 2/3 are at least somewhat agreed that location-based offers were very convenient and useful • Location services are new enough that many consumers are not familiar with privacy protection in place • Nearly half have some concerns about privacy21Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

22 Copyright © 2011, LOC-AID Technologies. Patents pending, all rights reserved. Confidential - Do Not Copy or DistributeMobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

• Integrated into any traditional retail marketing channel (print, in-store, TV, Web, outdoor etc.) • Opt-in to weekly SMS messages on events, promos, and special offers • Opt-in available via online Web form or mobile site capturing customer profile data including location • User selectable alert message content preferences • All preference and profile data is captured for CRM database build, analysis, targeted messaging, and use in other marketing channels Web Opt-in24Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

Smart Messaging Example SMS Only Coupon: Contextually relevant It’s a scorcher in Freezing in NY today? coupon is delivered Miami today! Keep based on keyword + a Keep warm with with cool with breezy late wool sweater. 20% off summer skirts. 20% database referencing all sweaters at anyText STORE to 62407 to receive aSMS coupon every month for 20% off Database off at any store. Code withstore. Code 34r39r unique redemptionyour favorite 2010 fashions. t239r Exp. 8/31/10 code. 8/1/10 Exp. Weather Stock Market Contextually relevant Sends coupon for sweaters Sports Scores coupon delivered based on based on cold weather Location Look Up keyword + database with reading for opt-in location unique redemption code. Product Inventory Consumer Profile Data Past Consumer Purchases 62407 Any Other Event or Data Sets Database receives keyword opt-in and Store 62407 delivers a coupon based on external events or information in the database It’s a scorcher in Miami today! Keep cool with breezy late Miami summer skirts. Discount coupons: http://nyskirts/mobi OR….You can deliver a SMS Text opt-in for either Coupon with link to WAP single coupon or to opt-in page with multiple coupons to couponing alert group and barcode

Example: Location Aware Segmented Alerts MESSAGE LIST: Marketing Message Location 3 Kohl’s Savers Club Sat. only! Main & Oak St. store is offering 10% Bonus 95110 Buy off all purchases and 20% off KitchenAid Pro Line. Visit http://m.kohls.mobi for more offers. Kohl’s Savers Club Sat. only! Lincoln Ave. store is offering 20% off all 94109 Text KOHLS to 44264 Nike and Addidas shoes. Visit http://m.kohls.mobi for more offers. Bonus Buy Discounts! 44264 Kohl’s Savers Club Sat. only! 20% off all Nike and Addidas shoes. Visit Los Angeles http://m.kohls.mobi for more offers. 5 Kohl’sPhone ClubStreet Savers City State Sat. only! Lincoln Ave. store is offering 20% off all Zip Canal St. , NY, NY 22 Number 1 Nike and Addidas shoes. Visit http://m.kohls.mobi for more offers. 10023 (408) 176 Oak St. San Jose CA 95110 907-2322 Yes (415) 1222 Jones St. San CA 94109 44264 334-2232 Francisco Phone Street City State Zip Number (212) 12 Canal St. New York New York 10022 917-8596 (408) 176 Oak St. San Jose CA 95110 907-2322 Marketer sets up (415) 1222 Jones St. San CA 94109 Message List to map Kohls 334-2232 Francisco which locations they 6 want to send to and (212) 12 Canal St. New York NY 10022 what message each 917-8596 Kohl’s Savers Club location will receive. Sat. only! Main & Oak System compares St. store is offering 10% Message List locations Bonus Buy off all to stored users’ 2 locations at opt-in to purchases & 20% off segment messages KitchenAid Pro Line. sent. Visit Kohl’s Savers Club http://m.kohls.mobi 7 Reply YES to confirm Kohl’s Savers Club Step 3: Users confirm for more offers. you’d like us to use Thanx for joining. You’ll receive 1 and their location is your location, 1 captured. Opt-in msg/week. Text HELP msg/week. Text HELP for help. Text STOP to location is the only for help. Text STOP to user location used for cancel. Msg & data cancel. Msg & Data Rates May Apply. future alerts rates may apply. TC:www.m.mtiny.mob TC:www.tc.mtiny.mobi i 4 Step 4: Confirmation is Optional landing page sent to user of or site link in SMS26 successful opt-in.Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

Example: Message Broadcast with LBS 5 Subscriber (408) 907-2322 1 3 6 44264 44264 Kohl’s Savers Club Kohls Sat. only! Main & Oak St. store is offering 10% Yes Bonus Buy off all purchases & 20% off Before sending alert broadcast, system pings all KitchenAid Pro Line. 4 subscribers’ phones and compares present Visit 2 location with radii in the Message List locations to http://m.kohls.mobi deliver relevant marketing messages for more offers. Phone Street City State Zip Number (408) 176 Oak St. San Jose CA 95110 907-2322 Kohl’s Savers Club Kohl’s Savers Club (415) 1222 Jones St. San CA 94109 Reply YES to confirm Thanx for joining. 334-2232 Francisco you’d like us to use You’ll receive 1 (212) 12 Canal St. New York NY 10022 your location, 1 msg/week. Text HELP 917-8596 msg/week. Text HELP for help. Text STOP to for help. Text STOP to 7 cancel. Msg & Data cancel. Msg & data Rates May Apply. MESSAGE LIST: Marketing Message Location Radius Message Cap rates may apply. TC:www.tc.mtiny.mobi TC:www.m.mtiny.mobi Kohl’s Savers Club Sat. only! Main & Oak St. store is offering 1300 Oak St., 2 miles 5000 10% Bonus Buy off all purchases & 20% off KitchenAid Pro San Jose, CA 95110 Line. Visit http://m.kohls.mobi for more offers. Kohl’s Savers Club Sat. only! Lincoln Ave/1st St. store is 453 8th Ave., San 1 mile 4000 offering 20% off all Nike and Addidas shoes. Visit Francisco, CA http://m.kohls.mobi for more offers. 94117 Kohl’s Savers Club Sat. only! 20% off all Nike and Addidas 3444 Lennon Blvd., 10 miles 25000 shoes at 34 Grove St./Bush store. Visit http://m.kohls.mobi Fresno, CA 92331 for more offers.27 Kohl’s Savers Club Sat. only! Canal/Mercer St. store is 22 Canal St. , 0.25 miles 5000 offering 30% off all Nike and Addidas shoes. Visit NY, NY 10023Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing http://m.kohls.mobi for more offers. October 18, 2011- Sponsored by Locaid

Example: Geo-Fencing Step 5 & 6: User physically enters geo-fence. If triangulation is on their location is fixed and compared to the Message List. 1 Location relevant message is delivered with optional link to mobile landing page or site (steps 7 & 8). 3 44264 5 44264 Kohls Yes 7 2 Kohl’s Savers Club 4 Sat. only! Main & Oak St. store is offering 10% Bonus Buy off all Kohl’s Savers Club purchases & 20% off Reply YES to confirm you’d like us to use Kohl’s Savers Club KitchenAid Pro Line. Thanx for joining. Visit your location, 1 You’ll receive 1 http://m.kohls.mobi msg/week. Text HELP msg/week. Text HELP for more offers. for help. Text STOP to cancel. Msg & data for help. Text STOP to rates may apply. cancel. Msg & Data 8 TC:www.m.mtiny.mobi Rates May Apply. TC:www.tc.mtiny.mobi 6 MESSAGE LIST: Marketing Message Location Radius Message Cap Kohl’s Savers Club Sat. only! Main & Oak St. store is offering 1300 Oak St., 1 mile 5000 10% Bonus Buy off all purchases & 20% off KitchenAid Pro San Jose, CA 95110 Line. Visit http://m.kohls.mobi for more offers. User sees call to action in traditional Kohl’s Savers Club Sat. only! Lincoln Ave/1st St. store is 453 8th Ave., San 2 miles 4000 offering 20% off all Nike and Addidas shoes. Visit Francisco, CA media and texts keyword/short code http://m.kohls.mobi for more offers. 94117 to opt-in,. Double opt-in confirmation Kohl’s Savers Club Sat. only! 20% off all Nike and Addidas 3444 Lennon Blvd., 10 miles 2500028 message sent first. shoes at 34 Grove St./Bush store. Visit http://m.kohls.mobi Fresno, CA 92331 for more offers.Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

Case Study: Location-Aware Messaging What type of location was used?30Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

North Face Geo-Fenced SMS Campaign • 1,000 geo-fences created in various US cities • Urban areas had half mile perimeters, suburban areas up to a mile around the stores • SMS messages about offers and seasonal product arrivals • User opts-in to campaign to receive messages control number of messages per week • No app required to download What type of location was used?31Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

Jaguar chose to get early learning in location via ads within existing LBS application • Jaguar launched targeted ads within the Poynt app on iPhone/Blackberry/Android • Poynt connects consumers to local people, shops, and restaurants • Ads drive the consumer to the nearest dealership to schedule a test drive • Campaign ran Dec 2010 to Jan 2011; Poynt says click-through was 10X industry standards What type of32 Source: Mobilemarketingconsultancy.org March 1, 2011 location was used?Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

• 80,000 US neighborhoods and 21M local business • Location-based app auto detects your neighborhood to show the most popular businesses nearby • Allows Foursquare users to pre-check in before arriving What type of33 location was used?Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

Launched at the 2010 Winter Olympics  Leveraged location to obtain the closest Hockey House to the consumer’s phone  Consumers see advertised Short Code to join Hockey House and receive link to home page  Consumers also log into the Molson Canadian Hockey House mobile web page (where they find other Hockey Houses) What type of Results exceeded all expectations location was used?  Expected a 5% response rate  Actual response rate was 10%34Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

• Del Monte Kibbles ’n Bits – Create brand awareness when consumers were in close proximity to Target and pet food stores • SMS example: “Dogs are family, & family deserves more than just 1 boring taste. Get NEW Kibbles ’n Bits Bistro Meals dog food @ Target Rancho Santa Margarita 2day.”35Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

Participants were surveyed: • 60% said location-triggered messages are cool & innovative  • 79% said it increased their likelihood to visit a store  • 65% made a purchase as a result of a ShopAlerts message  • 73% would definitely or probably use the service in the future What type of36 location was used?Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

Retailer Express pushes location-based deals via branded shopping app • When the App user gets close to an Express, Proximity Perks promos and recent news pop up • Consumers show mobile coupon at register, learn about sale items at that location and share them with friends via Twitter/Facebook/email What type of37 location was used?Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

About iLoop Mobile • Leading technology and services making it fast and easy to create, manage and analyze mobile marketing campaigns and content delivery initiatives worldwide McDonalds: Enjoy one FREE Small McCafe. Code 34d83w • Award winning iLoop Mobile Platform is a Exp.1/6/10 Help:mmcoupons.com self-service SaaS solution with open APIs for Opt-out: Reply MCDONALD STOP creating state-of-the-art SMS campaigns, mobile sites, mobile coupons, mobile- enabled Web sites and other mobile marketing initiatives • Industry leader in mobile marketing strategy, managed service campaign delivery and professional services • Customers include Fortune 500 brands, agencies, media companies, and other tier- one companies39Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

Proximity Mktg Smartphone App Benefits Platform Drive messaging & Random impact; user decides Proactive interaction; Approach marketing based on when to interact Marketer-iniitated proactive location Reach Limited to smartphone users Smartphone + cell phone Reach 93% of mobile (~75M Users) users (300M+) subscribers App download required; No download; no app Convert location data into User App launch (battery drain); Dependencies Satellite “line of site” launch; indoor/outdoor value more easily/often; (outdoor only) “Location on demand” Marketer is in control User-initiated brand Strategic platform that Go beyond “app world” to Solutions engagement drives proactive brand leverage mobile into full (“whenever I feel like it”) engagement multi-media strategy Location-triggered, proactive User User awareness Engagement Only when app is launched comms to drive smartphone and usage app download/usage Targeted Cross-carrier, device-agnostic Broader consumer focus Marketing Smartphone-focused call-to-action messaging with location relevancy based on location40 Copyright © 2011, LOC-AID Technologies. Patents pending, all rights reserved. Confidential - Do Not Copy or DistributeMobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

Retailers are investing in mobile apps, but how can they cut through the noise and ensure their apps get used? • Forrester: 2011 Online Retail Technology Investment Outlook – 44% of US web retailers are investing in mobile apps vs. 15% in 2010 • Accordingly to Flurry, as of Aug 2011, an average application user has downloaded more than 63 applications to their Smartphone • What % of apps are downloaded? • What % of apps are used? Source: Flurry Blog, August 31, 2011. Internet Retailer (Forrester Research) June 22, 201141Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

Location-enable your mobile marketing investment Mobile/Internet Mobile App Mobile Web SMS Text From: GNC Your Rewards Mobile Location-aware Location-aware Location-aware Customer awareness, messaging to messaging with text with specific opt-in, & management drive app embedded links marketing of location programs downloads & usage messages Carrier-based location from Locaid42 Copyright © 2011, LOC-AID Technologies. Patents pending, all rights reserved. Confidential - Do Not Copy or DistributeMobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

Locaid 100% OF EVERY MOBILE FOR ANY LOCATES NETWORK DEVICE LOCATION LOC-AID runs the LOC-AID locates 350M LOC-AID delivers LOC-AID finds every largest LaaS gateway devices, real-time. ubiquitous location. device on the network. and carrier reach No app to download. Indoors and out. For any mobile No user action needed. GPS and CELL-ID. application. Any device. For the Fortune 1000. Anywhere. The world’s first and largest LaaS company43Mobile Marketing Association Any use of this material without specific permission of LOC-AID Technologies,"Why"strictly prohibited SponsoredMarketing CONFIDENTIAL AND PROPRIETARY. The Inc. is of Location-enabled Mobile October 18, 2011- by Locaid

• Real-time location • Privacy-protected OPT-IN • Unlimited geo-fences • Flexible location frequency (weekly, daily, hourly, every 5 minutes) • Support for coupons & bar codes • Comprehensive reporting analytics CONFIDENTIAL AND PROPRIETARY. Any use of this material without specific permission of LOC-AID Technologies, Inc. is strictly prohibitedMobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

1. Location can move mobile marketing away from “whenever I feel like it” engagement 2. Location will help us avoid the SMS marketing nightmare 3. Location helps protect your mobile number database 4. Location gives you a better shot at matching your offer (or app) with their moment of need45Mobile Marketing Association The "Why" of Location-enabled Mobile Marketing October 18, 2011- Sponsored by Locaid

White Paper: MMA/iLoop Mobile Location Technology Roadmap

by iLoop Mobile, Mobile Marketing on Jan 03, 2012

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White Paper: MMA/iLoop Mobile Location Technology Roadmap — Presentation Transcript

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