Advertisers Now Harness the Power of Location-Based Apps
1. Advertisers
Now
Harness
the
Power
of
Location-‐Based
Apps
By:
Kyle
Nussbaum
The
popularity
of
mobile
advertising
has
increased
as
brands
have
harnessed
the
effectiveness
of
location-‐based
technology.
Before,
mobile
ads
and
messaging
functioned
like
it
was
on
a
desktop
platform,
with
banners,
overlays
and
pre-‐roll
videos
that
targeted
a
specific
demographic
based
on
tracking
measures.
Although
the
messaging
might
resonate
with
the
viewer
and
create
awareness,
it
was
not
within
moments
of
making
a
stop
or
purchase
decision.
Now,
the
way
we
shop
and
awareness
of
brand
activity
has
changed
dramatically
and
provides
a
message
that
just
might
resonate
based
on
interests,
preferences
and
apps
we
regularly
use
on
devices
that
we
can’t
live
without.
In
a
cluttered
market
place
where
multiple
advertisers
are
vying
for
attention,
location-‐based
advertising
through
mobile
provides
a
relevant
message
that
offers
value,
gives
specific
directions
to
obtain
it
and
is
convenient
for
the
user
based
on
proximity
to
store
location
through
geo-‐fencing
where
consumers
within
a
set
mile
radius
of
a
location
are
served.
And
this
is
very
exciting
for
the
industry.
In
January,
an
IAB
study
concluded
that
66%
of
marketers
believed
location-‐based
advertising
the
most
exciting
mobile
opportunity
in
2016.
(https://econsultancy.com/blog/67418-‐what-‐is-‐location-‐based-‐advertising-‐why-‐is-‐it-‐
the-‐next-‐big-‐thing/)
The
most
effective
mobile
ads
in
this
context
are
those
that
provide
a
specific
offer
that
will
likely
propel
the
viewer
to
take
action.
Generic
messaging
creates
awareness,
just
as
traditional
advertising
does,
but
a
substantial
offer
increases
2. follow-‐through
in
that
moment
since
they
are
in
a
direct
position
to
make
that
decision.
Initial
hic-‐ups
of
early
location
based
campaigns
have
been
learned
from
and
better
targeting
tactics
have
been
formulated.
Early
days
saw
advertisers
starting
broad,
but
as
the
ability
and
technology
to
narrow
this
focus
down
to
those
more
likely
to
act,
ROI,
effectiveness
and
click-‐thru
rates
have
inevitably
increased.
(http://www.adweek.com/news/technology/are-‐marketers-‐finally-‐getting-‐hang-‐
location-‐based-‐mobile-‐ads-‐167212)
One
such
campaign
that
we
executed
on
behalf
of
Wendy’s
is
on
the
Waze
platform,
which
bills
itself
as
the
world’s
largest
community-‐based
traffic
and
navigation
app.
A
location
such
as
Philadelphia,
where
this
campaign
is
live,
has
over
450,000
people
who
use
the
app
on
average
13.9
times
a
month,
and
during
this
time
spend
9
hours
on
it
while
driving.
With
so
many
smart
phone
users
that
launch
these
type
of
apps
that
utilize
location-‐based
technology,
there
are
plenty
of
opportunities
for
advertisers
to
reach
this
audience.
When
a
“Wazer”
as
the
company
calls
them
drives
near
a
store
location,
a
brand
logo
will
appear
and
they
can
click
on
it
for
more
information
and
directions.
As
noted
earlier,
having
a
valuable
offer
will
increase
the
amount
of
clicks
that
ultimately
end
with
a
transaction.
For
Wendy’s,
we
took
two
approaches
that
both
resonated
well
with
the
audience.
A
great
offer
already
available
in
the
store
like
$1.99
Baconator
Fries
and
an
offer
exclusively
on
the
platform
such
as
buy
any
premium
salad
get
a
free
small
green
tea
or
bottled
water
free.
It
‘s
actually
somewhat
surprising
to
see
how
many
brands
still
use
generic
messaging,
when
prime
opportunities
exist
to
really
provide
a
value
proposition.
At
this
time,
a
brand
can
really
stand
out
from
the
competition
with
a
strong
offer,
and
when
messaging
speaks
to
a
user’s
value,
then
creative
with
the
copy
”free”
or
to
a
lesser
extent
strong
value
price-‐point
will
stay
top-‐of-‐mind
with
drivers,
capable
of
inspiring
them
to
re-‐route
to
the
nearest
Wendy’s
location.
3. During
the
course
of
this
eight-‐week
flight
that
began
in
August
and
ended
in
September,
the
campaign
generated
9.6K
clicks
and
over
4,000
navigations
to
Wendy’s.
The
navigation
rates
were
high,
which
topped
the
QSR
category
benchmark.
Most
importantly,
navigation
rates
reflect
trips
to
the
nearest
Wendy’s
location
that
appeared
on
the
user’s
mobile
device.
Awareness
of
an
offer
or
nearby
Wendy’s
location
has
been
generated,
but
action
and
the
option
to
navigate
to
the
restaurant
simultaneously
demonstrates
the
effectiveness
of
location-‐based
mobile
advertising.
So
path-‐to-‐purchase
options
have
changed
dramatically,
but
how
about
the
actual
store
experience?
Advertisers
can
now
target
customers
while
they
are
inside,
as
mobile
devices
have
become
integral
not
just
to
someone’s
social,
personal
or
work
life
but
also
to
the
shopping
experience.
Customers
are
starting
to
use
it
as
method
of
payment,
and
some
retailers
have
done
away
with
the
traditional
cash
register
and
complete
transactions
on
iPads
or
similar
devices.
Brands
have
created
apps
that
enhance
the
customer
experience
by
encouraging
shoppers
to
share
what
they
are
doing
and
where
they
are
to
receive
coupons
and
discounts;
they
have
built
digital
maps
that
navigate
through
the
store
and
show
price
points;
they
allow
loyalty
members
to
pre-‐order
food
or
beverages
in
order
to
skip
lines.
The
brick
and
mortar
store
experience
is
no
longer
contained
in
four
walls,
just
as
TV
is
no
longer
watched
in
just
a
family
room.
Mobile
technology
featured
in
brand
apps
that
are
activated
based
on
location
in
a
particular
store
have
made
shopping
an
interactive
experience.
Looking
at
where
mobile
was
a
few
years
ago
in
relation
to
brands
and
advertising
we
have
come
a
long
way,
but
can
even
go
further.
And
that
should
excite
us!
As
recent
as
2013,
several
major
brands
and
retailers
didn’t
even
have
a
mobile
website,
yet
alone
a
specific
app
or
presence
on
a
traffic-‐based
app.
We
are
starting
to
see
effective
mobile
advertising
because
brands
now
understand
how
it
drives
transactions
in
real
time
and
are
allocating
more
dollars
to
this
medium.
Not
only
can
brands
create
awareness
in
the
traditional
sense,
now
they
can
deliver
conveniently
close
to
their
locations
or
while
in
the
store.
It’s
up
to
agencies
and
advertisers
to
stay
on
top
of
this
technology,
to
utilize
it
in
their
own
lives
to
understand
it
and
the
possibilities,
and
think
of
innovative
ideas
through
it
that
can
have
a
profound
effect
on
the
bottom
line.