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Lost at sea? Location-based services to the rescue!

The document discusses location-based services (LBS) that utilize GPS technology to allow users to share and discover their real-time locations through mobile devices. It highlights the value for users, including incentives and social interactions, as well as current demographics with 4% of online adults using LBS, primarily among younger and Hispanic populations. The document also reviews various LBS platforms like Foursquare, Gowalla, and Facebook Places, examining their features, user engagement, and promotional outcomes.

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LOST AT SEA? Location-based services to the rescue! December 14, 2010 Stacy Lukasavitz Digital Communications Analyst/Strategist MSL Ann Arbor ©2010 06.29.2010 | P1
Agenda §  Location-Based Services §  What are they §  Value for users §  Demographics §  Big fish - overview & examples §  Smaller (but growing) fish & overview §  Coming tides §  Augmented Reality §  What it is §  Early examples §  AR browsers §  What AR means for PR §  Takeaways §  Q&A ©2010
WHAT ARE LOCATION-BASED SERVICES? ©2010 06.29.2010 | P3
Location-based (or “geolocation” or “geosocial”) services §  Use internet-connected mobile devices’ geolocation (GPS) capabilities to let users notify others in real-time of their locations by “checking in” to that location §  Usually run on stand-alone apps or accessible through mobile web browsers §  Offer various features and capabilities depending on the service ©2010
A few of the fish in the sea… ©2010
WHAT IS THE VALUE OF LOCATION-BASED SERVICES? (a.k.a. Why does anyone care?) ©2010 06.29.2010 | P6
What is the value for users? §  Some have gaming aspect, can unlock “badges” or become “Mayor” if they check into somewhere the most (read: bragging rights) §  Ability to discover useful tips left by other users §  (“Try the pulled pork!” or “After 3:00 pm all bakery items are half off!”) §  Some use them to meet up with people nearby §  (“Bob just checked in at Tom’s Diner, stop in and say hi!”) §  … and of course, INCENTIVES in the form of discounts, coupons, etc. Brands are becoming more and more creative every day as to what kind of value they can offer with LBS strategies. ©2010
Value controversy “I have no interest in enlisting in a virtual scavenger hunt, or unlocking merit badges — what is this, the Cub Scouts? — or becoming the narcissistic “Mayor” of my local coffee shop. Thanks for the offer, but I’m afraid I already have some semblance of a life.” “I’ve heard LBS executives state that they think LBS is currently where Facebook was 3 years ago and I’m inclined to agree. . . It’s time to stop assuming that since you heard about Foursquare back in 2009 that it should be a widely adopted and mature platform by now. When we step outside of our tech bubble we see that the general public is just discovering LBS.” ©2010
LBS on Gartner’s Hype Cycle proliferation of GPS enabled smartphones TechCrunch ©2010
HOW BIG IS THE LBS WAVE & WHO IS RIDING IT? (a.k.a. Demographics) ©2010 06.29.2010 | P10
How big is the LBS wave? §  Pew Research Center’s Internet & American Life project finds that 4% of online adults use a service such as Foursquare or Gowalla that allows them to share their location with friends and to find others who are nearby. §  On any given day, 1% of internet users are using these services. §  These findings coincide with a similar study done by Forrester Research published in July 2010 (Pew Research Center, “4% of online Americans use location=based services.” November 4, 2010) http://pewinternet.org/Reports/2010/Location-based-services.aspx ©2010
… and who is riding it? ©2010
A drop in the ocean? ©2010
Who’s riding the LBS wave §  7% of adults who go online with their mobile phone use a location-based service. §  8% of online adults ages 18-29 use location-based services, significantly more than online adults in any other age group. §  10% of online Hispanics use these services – significantly more than online whites (3%) or online blacks (5%). §  6% of online men use a location-based service such as Foursquare or Gowalla, compared with 3% of online women. (Pew Research Center, “4% of online Americans use location=based services.” November 4, 2010) http://pewinternet.org/Reports/2010/Location-based-services.aspx ©2010
Who’s riding the LBS wave ©2010
Who’s riding the LBS wave ©2010
User base is small, but influential (and growing) ©2010
LBS users make bigger waves ©2010
… and dive deeper into the research waters via mobile. ©2010
A CLOSER LOOK AT THE BIG FISH … and how they’ve been fried so far. ©2010 06.29.2010 | P20
The big fish §  Foursquare §  Gowalla §  Facebook Places §  Whrrl §  Loopt §  MyTown ©2010
Foursquare §  Launched in 2009 §  5+ million users (December 2010) §  October 2010: Announced 200 millionth check-in (2.5 mos after announcing its one millionth check-in) §  Credited with creating the geolocation gaming aspect – users unlock badges, compete for “mayorships” which may entitle discounts §  Major partnerships include Starbucks, History Channel, Bravo, MTV, VH1 ©2010
Example Partnership Badges ©2010
Successful Foursquare Promotions §  Starbucks – First Nationwide “Mayor” Special May-June 2010* §  History Channel (April 2010) – populated tips of historical factoids at various venues across the USA to coincide with its new show “America – The Story of Us” (think “pop-up video”) §  Bravo TV (February 2010) – users can earn special badges and prizes when checking into 500+ locations chosen by Bravo that correspond with shows including “Top Chef,” “The Millionaire Matchmaker,” & “The Real Housewives” *while considered a successful promotion overall, not all stores were “in the know,” including the downtown Ann Arbor Starbucks ©2010
Not-So-Successful Promotion – McDonald’s §  April 16 (4/16 “Foursquare Day”) McDonald’s tried a promotion offering random $5 and $10 gift cards to Foursquare users who checked in that day (total spent = $1000) §  McDonald’s CLAIMED a 33% increase in foot traffic because of this promotion, the press went wild §  REALITY: Measured wrong metric, analysis incorrect. ©2010
Not-So-Successful Promotion – McDonald’s What happened? §  McDonald’s measured check-ins, equated that to foot traffic. Check-ins != foot traffic or sales. §  McDonald’s have approx. 26 million customers per day. A 33% increase = 7.8 Foursquare users. Foursquare only had about 3 million accounts (1 million active users) at the time. §  So what increased 33%? Check-ins by people using Foursquare, which equaled roughly 700 more check-ins than their average of 2,000 check-ins per day. §  LESSON: Know goals, know what to measure, and how to interpret what you find. This was not part of a long-term strategy, it was more or less a stunt. ©2010
McDonald’s Foursquare check-ins ©2010
Gowalla §  Launched 2009 §  500,000+ users (November 2010) §  Passport theme – each place checked into, users receive a “stamp” §  Gowalla periodically offers customized stamps for businesses at $100 each §  Both businesses and users can leave messages for people who check in ©2010
Gowalla §  Key feature: Trips – lists of places to check into/ check out that users AND brands can create (much like a guided tour) §  November 2010 – Disney partnered with Gowalla for extensive program consisting of custom Disney Land and Disney World stamps, including specific “Trips” where users can earn special pins ©2010
Pins are equivalent of Foursquare badges – must complete certain milestones to receive. ©2010
+ SXSW 2010 – Chevy and Gowalla partnered up at SXSW 2010 in Austin, TX to give users that checked in when they arrived at the airport, free Chevy car service downtown to their hotels. Why It Is Unique: Created an immediate and surprise real world service opportunity ©2010
Facebook Places §  August 2010 Facebook debuts location-sharing feature Places, people freak out about privacy again §  No game mechanics, incentives for users §  Businesses have option to claim their business, which is then blended into their FB page §  Facebook instantly has upper hand with 500+ million users §  Nobody seems to care ©2010
Claimed FB Place combined with Page ©2010
Facebook Deals §  November 2010 Facebook purportedly “changes the game” by unveiling Facebook Deals program §  Allows any business with a Facebook Page & claimed location to offer deals to anyone who checks in on their iPhone* §  FB partnered with “big” retail like Chipotle, H&M, and 24 Hour Fitness to kickoff §  4 types of deals: §  Individual Deals - for discounts, free stuff or other rewards §  Friend Deals - where you and a pal claim something together §  Loyalty Deals - for the regulars §  Charity Deals - which allow you to donate to a cause §  Suddenly, that 500+ million user base advantage? Yeah, it’s a lot more relevant now. *other mobile platforms to follow, as always ©2010
First “big” Facebook Deals promo flops §  November 5, 2010: Gap says “first 10,000 customers” to check in at a Gap via Facebook Places receives a free pair of jeans (up to $59.50 value) or 40% any one item. §  RESULT: MASS CONFUSION. ©2010
First “big” Facebook Deals promo flops §  Each participating store only had 10-20 pair of jeans to give away §  Many users didn’t know what Places was, or that they had to check in on iPhone or Android and wrote “check in” on the Gap’s FB Page §  Store employees didn’t understand they needed to see the check-in on a phone; many gave jeans away to whoever mentioned the promo (some didn’t even know about the promo) ©2010
(Not quite.) “Really? Have you looked at the GAP Facebook page to see everyone's feedback? This thing looks like a huge flop. People are super confused, nobody knows what Places is or how to check in, and the "first 10,000" wording is super-misleading when it's really the first handful or so of customers at each “I'm surprised to see the Gap/Facebook individual location. “ promo characterized as a success. All I've heard is about how pissed off people are, how the promotion was poorly conceived and difficult to understand, etc.
 “OMG! Super pissed! I checked-in on Facebook. I followed the instructions and what...they didn't have Clue: When tons of people are hitting your any free jeans left! Gap just gave them away to the Facebook page with either complaints or first 100 people that showed up! WTF is that?! My check-in and e-mail confirmation rightfully says I entries that read "check in," you're not should get a free pair as I was #27 to check in. Gap looking at a successful situation.” stores need to follow the rules! They owe me..and everyone else that checked in. Horrible experience.” ©2010
Lesson Learned: LBS & promotions therein still have a long way to go to hit mainstream. ©2010
Whrrl §  Launched October 2007 §  450,000+ members (November 2010) §  Premise: To get people to try new things §  People join “Societies” that match their interests; inspire others to try new experiences through recommendations/notes that capture real-world experiences §  Users can earn “influence points” as they try new things, successfully inspire others; leveling up in Societies unlocks powers & Society Rewards from merchant, brand partners §  Unique feature: Ability to create stories of your experiences with photo, tweets, text (like a PP deck) ©2010
Whrrl Example story created by user ©2010
Whrrl Noteworthy: March 2010 Whrrl partnered with Experience Music Project in Seattle to bring rock and roll history to 6 major cities across USA. Check into certain venues unlocks societies, reveals interesting stories, trivia about famous musicians who once performed there. Why this is unique: National content distribution by a non-profit/ museum; this was before History Channel’s Foursquare partnership ©2010
Big box stores Target, Wal-Mart, Best Buy bet on Whrrl this holiday season with Holiday Deals Society ©2010
Underdogs Dogfish shark •  iPhone-only app by Booyah, has over 2.8m users •  Monopoly-like game where users can “own” virtual venues they check into, can collect rent, etc. •  Has social aspects like “friending,” etc. •  Major partnerships include Travel Channel’s Food Wars TV show, clothier H&M •  One of earliest LBS pioneers, launched in 2005 •  Far less coverage, but boasts 4+ million users, quietly becoming huge presence •  Notable: Partnered with Virgin America, users who checked into SFO, LAX airports OR certain taco trucks in 4 hour window got 2-for-1 airfare to Cancun, Virgin claims 5th highest revenue day ever, Loops claims 1,800 check-ins ©2010
SMALLER (BUT GROWING) FISH ©2010 06.29.2010 | P44
Different and on the rise •  Scavenger hunt •  Brands: Coca-Cola, Smithsonian, GameStop •  Example: Visitors to 10 malls this holiday season are challenged to earn points toward rewards by accomplishing tasks like taking a photo of a Coke as the mall. Rewards range from coke bottle openers to gift cards redeemable on location. •  On-site sensors – built in hardware, not GPS •  Brands: Target, Best Buy, American Eagle •  Example: Enter a Best Buy location, your phone recognizes it and you get points and a message that there are deals available at this location. You can also use it to scan items and get more points and other potential deals. ©2010
Different and on the rise •  Scans products •  Brands: Altoids, Pepsi, Ben & Jerry’s •  Example: People that pick up Altoids and scan its bar code with Stickybits get a $10 iTunes gift card •  Check-ins, scans products •  Brands: Belkin, Energizer, Tyson Foods •  Example: Shoppers receive points just for checking in, also for scanning bar codes. Can redeem points as currency for gift cards, airline miles, gadgets, etc. ©2010
Geolocation = another opportunity for PR to shine §  Relationship building §  Events §  Thought leadership / knowledge resource §  Image management §  Promotions §  Awareness building §  … really, the possibilities are endless. ©2010
COMING TIDES FOR LBS ©2010 06.29.2010 | P48
Coming tides for Foursquare… §  Loyalty card linking – recently Foursquare partnered with SoCal supermarket chain Vons and PepsiCo §  Foursquare users register via a special web page to link their Vons card to their account §  The card then “knows” all your previous 4sq activity & bases coupons/rewards on your habits §  E.g. If you’ve earned the “Gym Rat” badge, you may get a coupon for a free Sobe drink; if you always check in somewhere early in the morning, maybe Quaker Oatmeal §  “Semantic geosocial promotion” ©2010
What’s next §  Gowalla 3.0 – December 2010 §  iPhone* app creates unified check-in service, pulls in check-ins from friends on other LBS networks, even if they’re not on Gowalla §  Synced up venues between their own place database, Facebook’s place database, Foursquare’s place database, and even Twitter’s place database --> §  1 Gowalla check-in = check-in on all services at once, even allows earning Foursquare badges & tips, Facebook Deals §  WHY? CEO Josh Williams sees a “socially curated guidebook” not focused on deals/coupons or game mechanics, but on useful info & fun, unique experiences *Android, Blackberry, and iPad apps coming soon ©2010
AUGMENTED REALITY ©2010 06.29.2010 | P51
Augmented what? §  Augmented reality (AR) is a term for a live direct or indirect view of a physical real-world environment whose elements are augmented by virtual computer-generated sensory input such as sound or graphics. §  Augmentation is conventionally in real-time and in semantic context with environmental elements §  Information about the surrounding real world of the user becomes interactive and digitally usable. - Wikipedia http://en.wikipedia.org/wiki/Augmented_reality ©2010
You’re already familiar with it! ©2010
Lego AR kiosks §  Started January ‘09, by April 2010 Lego had AR kiosks in ALL Lego stores §  Idea: show parents and their kids what the finished Lego construction they were considering buying would look like before purchase. §  Currently one of the most well-known uses of AR, per my non-scientific polling ©2010
First AR iPhone app: Yelp (August 2009) §  “Easter Egg” discovered by Robert Scoble §  After Yelp app is downloaded, shake iPhone 3x, which activates “Monocle” §  Point camera, restaurant, hotel, etc. ratings & reviews are overlaid onto screen ©2010
General Motors testing AR windshield §  AR windshield would highlight hazards, road edges, landmarks, etc. in dark or foggy conditions §  Has 3 cameras to track the driver’s head and eyes to determine where they’re looking, and an array of infrared and visible sensors to identify objects outside the car, the edges of the road, vehicles in the driver’s blind spot, or moving animals at the side of the road. ©2010
Wikitude World Browser §  First AR browser for smartphones, published almost simultaneously with first Android devices at end of 2008 §  Scans your surrounding for geo-referenced content using the camera and the device’s sensors. The objects’ info is displayed on screen where the real object is located. §  Collects the closest places of all local content providers, so you immediately know what’s happening around you §  Each place (or POI, Point Of Interest) belongs to provider, so called “Worlds”. Local Worlds are listed on start-up, each one providing information of places around you. (E.g. check “Wikipedia” to see all Wikipedia information around you, or “pizza” to see all things related to pizza around you) ©2010
Wikitude World Browser ©2010
Lonely Planet Compass Guides §  Lonely Planet created 10 enhanced Wikitude “Compass Guides” to various cities for Android market in US, including Boston, Chicago, Miami, New York, Los Angeles, D.C., Seattle §  Enabled with GPS so you can see your current location and plot itineraries on dynamic maps; §  Augmented reality camera-view to visualize data overlays of Lonely Planet recommended points of interest §  Hundreds of listings for places of interest – bars, clubs, restaurants and more – search by category, distance, or by address §  Helpful information on the city, its history and events and more ©2010
Layar §  AR browser that takes idea of Wikitude browser to next level §  Raised $17.4m of funding in 2010 §  Users can set preferences, bookmarks, and view various content (layers) per the layer catalog §  First AR browser brands are really catching onto §  Brands with Layers include 7-11 Stores (shows store locations), ApartmentsForRent.com (find listings for apartments), AllMenus.com, CareerBuilder, various universities (campus tours)… the possibilities are many ©2010
Layer of local tweets ©2010
Example layers on cities ©2010
What AR means for PR §  Though AR is still in its infancy, it provides both opportunities and challenges for the PR field §  Biggest opportunity (and challenge) = CONTENT §  Beyond the shiny, AR is simply another means in which a brand can share information §  Our challenge as PR pros is the same as social media - to give consumers information they find valuable, allow them opportunity to share and interact with that info as they see fit. §  PR pros need to know where brand relationships are being made, and need to ensure proper placement and consistency of messaging. §  The same questions apply: §  Is the strategy consistent with the overall goal(s) of the brand? §  How will consumers find this outlet valuable? §  What need/problem does it solve? ©2010
Takeaways §  Both LBS & AR are still nascent, but LBS are catching on faster §  These new channels aren’t just for brick-and-mortar companies §  Many big brands are experimenting with their feet in both ponds §  Brands who jump in the waters first are getting accolades for even trying, seen as trailblazers §  All, thus far, seem to be B2C §  Though fragmented now, the user will eventually have a more streamlined experience though the evolution of the technologies (e.g. Gowalla) §  Regardless of the technology, the fundamentals of our strategies remain the same ©2010
Q&A ©2010 06.29.2010 | P65
STACY LUKASAVITZ Digital & Social Communications Analyst/Strategist
 MSL Ann Arbor
 o: 734.214.1550 x127 
 e: stacy.lukasavitz@mslgroup.com t: @damnredhead ©2010 06.29.2010 | P66

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Lost at sea? Location-based services to the rescue!

  • 1.
    LOST AT SEA? Location-based services to the rescue! December 14, 2010 Stacy Lukasavitz Digital Communications Analyst/Strategist MSL Ann Arbor ©2010 06.29.2010 | P1
  • 2.
    Agenda §  Location-Based Services §  What are they §  Value for users §  Demographics §  Big fish - overview & examples §  Smaller (but growing) fish & overview §  Coming tides §  Augmented Reality §  What it is §  Early examples §  AR browsers §  What AR means for PR §  Takeaways §  Q&A ©2010
  • 3.
    WHAT ARE LOCATION-BASEDSERVICES? ©2010 06.29.2010 | P3
  • 4.
    Location-based (or “geolocation”or “geosocial”) services §  Use internet-connected mobile devices’ geolocation (GPS) capabilities to let users notify others in real-time of their locations by “checking in” to that location §  Usually run on stand-alone apps or accessible through mobile web browsers §  Offer various features and capabilities depending on the service ©2010
  • 5.
    A few ofthe fish in the sea… ©2010
  • 6.
    WHAT IS THEVALUE OF LOCATION-BASED SERVICES? (a.k.a. Why does anyone care?) ©2010 06.29.2010 | P6
  • 7.
    What is thevalue for users? §  Some have gaming aspect, can unlock “badges” or become “Mayor” if they check into somewhere the most (read: bragging rights) §  Ability to discover useful tips left by other users §  (“Try the pulled pork!” or “After 3:00 pm all bakery items are half off!”) §  Some use them to meet up with people nearby §  (“Bob just checked in at Tom’s Diner, stop in and say hi!”) §  … and of course, INCENTIVES in the form of discounts, coupons, etc. Brands are becoming more and more creative every day as to what kind of value they can offer with LBS strategies. ©2010
  • 8.
    Value controversy “I have no interest in enlisting in a virtual scavenger hunt, or unlocking merit badges — what is this, the Cub Scouts? — or becoming the narcissistic “Mayor” of my local coffee shop. Thanks for the offer, but I’m afraid I already have some semblance of a life.” “I’ve heard LBS executives state that they think LBS is currently where Facebook was 3 years ago and I’m inclined to agree. . . It’s time to stop assuming that since you heard about Foursquare back in 2009 that it should be a widely adopted and mature platform by now. When we step outside of our tech bubble we see that the general public is just discovering LBS.” ©2010
  • 9.
    LBS on Gartner’sHype Cycle proliferation of GPS enabled smartphones TechCrunch ©2010
  • 10.
    HOW BIG ISTHE LBS WAVE & WHO IS RIDING IT? (a.k.a. Demographics) ©2010 06.29.2010 | P10
  • 11.
    How big isthe LBS wave? §  Pew Research Center’s Internet & American Life project finds that 4% of online adults use a service such as Foursquare or Gowalla that allows them to share their location with friends and to find others who are nearby. §  On any given day, 1% of internet users are using these services. §  These findings coincide with a similar study done by Forrester Research published in July 2010 (Pew Research Center, “4% of online Americans use location=based services.” November 4, 2010) http://pewinternet.org/Reports/2010/Location-based-services.aspx ©2010
  • 12.
    … and whois riding it? ©2010
  • 13.
    A drop inthe ocean? ©2010
  • 14.
    Who’s riding theLBS wave §  7% of adults who go online with their mobile phone use a location-based service. §  8% of online adults ages 18-29 use location-based services, significantly more than online adults in any other age group. §  10% of online Hispanics use these services – significantly more than online whites (3%) or online blacks (5%). §  6% of online men use a location-based service such as Foursquare or Gowalla, compared with 3% of online women. (Pew Research Center, “4% of online Americans use location=based services.” November 4, 2010) http://pewinternet.org/Reports/2010/Location-based-services.aspx ©2010
  • 15.
    Who’s riding theLBS wave ©2010
  • 16.
    Who’s riding theLBS wave ©2010
  • 17.
    User base issmall, but influential (and growing) ©2010
  • 18.
    LBS users makebigger waves ©2010
  • 19.
    … and divedeeper into the research waters via mobile. ©2010
  • 20.
    A CLOSER LOOKAT THE BIG FISH … and how they’ve been fried so far. ©2010 06.29.2010 | P20
  • 21.
    The big fish §  Foursquare §  Gowalla §  Facebook Places §  Whrrl §  Loopt §  MyTown ©2010
  • 22.
    Foursquare §  Launched in 2009 §  5+ million users (December 2010) §  October 2010: Announced 200 millionth check-in (2.5 mos after announcing its one millionth check-in) §  Credited with creating the geolocation gaming aspect – users unlock badges, compete for “mayorships” which may entitle discounts §  Major partnerships include Starbucks, History Channel, Bravo, MTV, VH1 ©2010
  • 23.
  • 24.
    Successful Foursquare Promotions §  Starbucks – First Nationwide “Mayor” Special May-June 2010* §  History Channel (April 2010) – populated tips of historical factoids at various venues across the USA to coincide with its new show “America – The Story of Us” (think “pop-up video”) §  Bravo TV (February 2010) – users can earn special badges and prizes when checking into 500+ locations chosen by Bravo that correspond with shows including “Top Chef,” “The Millionaire Matchmaker,” & “The Real Housewives” *while considered a successful promotion overall, not all stores were “in the know,” including the downtown Ann Arbor Starbucks ©2010
  • 25.
    Not-So-Successful Promotion –McDonald’s §  April 16 (4/16 “Foursquare Day”) McDonald’s tried a promotion offering random $5 and $10 gift cards to Foursquare users who checked in that day (total spent = $1000) §  McDonald’s CLAIMED a 33% increase in foot traffic because of this promotion, the press went wild §  REALITY: Measured wrong metric, analysis incorrect. ©2010
  • 26.
    Not-So-Successful Promotion –McDonald’s What happened? §  McDonald’s measured check-ins, equated that to foot traffic. Check-ins != foot traffic or sales. §  McDonald’s have approx. 26 million customers per day. A 33% increase = 7.8 Foursquare users. Foursquare only had about 3 million accounts (1 million active users) at the time. §  So what increased 33%? Check-ins by people using Foursquare, which equaled roughly 700 more check-ins than their average of 2,000 check-ins per day. §  LESSON: Know goals, know what to measure, and how to interpret what you find. This was not part of a long-term strategy, it was more or less a stunt. ©2010
  • 27.
  • 28.
    Gowalla §  Launched 2009 §  500,000+ users (November 2010) §  Passport theme – each place checked into, users receive a “stamp” §  Gowalla periodically offers customized stamps for businesses at $100 each §  Both businesses and users can leave messages for people who check in ©2010
  • 29.
    Gowalla §  Key feature: Trips – lists of places to check into/ check out that users AND brands can create (much like a guided tour) §  November 2010 – Disney partnered with Gowalla for extensive program consisting of custom Disney Land and Disney World stamps, including specific “Trips” where users can earn special pins ©2010
  • 30.
    Pins are equivalent of Foursquare badges– must complete certain milestones to receive. ©2010
  • 31.
    + SXSW 2010 – Chevy and Gowalla partnered up at SXSW 2010 in Austin, TX to give users that checked in when they arrived at the airport, free Chevy car service downtown to their hotels. Why It Is Unique: Created an immediate and surprise real world service opportunity ©2010
  • 32.
    Facebook Places §  August 2010 Facebook debuts location-sharing feature Places, people freak out about privacy again §  No game mechanics, incentives for users §  Businesses have option to claim their business, which is then blended into their FB page §  Facebook instantly has upper hand with 500+ million users §  Nobody seems to care ©2010
  • 33.
    Claimed FB Placecombined with Page ©2010
  • 34.
    Facebook Deals §  November 2010 Facebook purportedly “changes the game” by unveiling Facebook Deals program §  Allows any business with a Facebook Page & claimed location to offer deals to anyone who checks in on their iPhone* §  FB partnered with “big” retail like Chipotle, H&M, and 24 Hour Fitness to kickoff §  4 types of deals: §  Individual Deals - for discounts, free stuff or other rewards §  Friend Deals - where you and a pal claim something together §  Loyalty Deals - for the regulars §  Charity Deals - which allow you to donate to a cause §  Suddenly, that 500+ million user base advantage? Yeah, it’s a lot more relevant now. *other mobile platforms to follow, as always ©2010
  • 35.
    First “big” FacebookDeals promo flops §  November 5, 2010: Gap says “first 10,000 customers” to check in at a Gap via Facebook Places receives a free pair of jeans (up to $59.50 value) or 40% any one item. §  RESULT: MASS CONFUSION. ©2010
  • 36.
    First “big” FacebookDeals promo flops §  Each participating store only had 10-20 pair of jeans to give away §  Many users didn’t know what Places was, or that they had to check in on iPhone or Android and wrote “check in” on the Gap’s FB Page §  Store employees didn’t understand they needed to see the check-in on a phone; many gave jeans away to whoever mentioned the promo (some didn’t even know about the promo) ©2010
  • 37.
    (Not quite.) “Really? Have you looked at the GAP Facebook page to see everyone's feedback? This thing looks like a huge flop. People are super confused, nobody knows what Places is or how to check in, and the "first 10,000" wording is super-misleading when it's really the first handful or so of customers at each “I'm surprised to see the Gap/Facebook individual location. “ promo characterized as a success. All I've heard is about how pissed off people are, how the promotion was poorly conceived and difficult to understand, etc.
 “OMG! Super pissed! I checked-in on Facebook. I followed the instructions and what...they didn't have Clue: When tons of people are hitting your any free jeans left! Gap just gave them away to the Facebook page with either complaints or first 100 people that showed up! WTF is that?! My check-in and e-mail confirmation rightfully says I entries that read "check in," you're not should get a free pair as I was #27 to check in. Gap looking at a successful situation.” stores need to follow the rules! They owe me..and everyone else that checked in. Horrible experience.” ©2010
  • 38.
    Lesson Learned: LBS & promotions therein still have a long way to go to hit mainstream. ©2010
  • 39.
    Whrrl §  Launched October 2007 §  450,000+ members (November 2010) §  Premise: To get people to try new things §  People join “Societies” that match their interests; inspire others to try new experiences through recommendations/notes that capture real-world experiences §  Users can earn “influence points” as they try new things, successfully inspire others; leveling up in Societies unlocks powers & Society Rewards from merchant, brand partners §  Unique feature: Ability to create stories of your experiences with photo, tweets, text (like a PP deck) ©2010
  • 40.
    Whrrl Example story created by user ©2010
  • 41.
    Whrrl Noteworthy: March 2010 Whrrl partnered with Experience Music Project in Seattle to bring rock and roll history to 6 major cities across USA. Check into certain venues unlocks societies, reveals interesting stories, trivia about famous musicians who once performed there. Why this is unique: National content distribution by a non-profit/ museum; this was before History Channel’s Foursquare partnership ©2010
  • 42.
    Big box storesTarget, Wal-Mart, Best Buy bet on Whrrl this holiday season with Holiday Deals Society ©2010
  • 43.
    Underdogs Dogfish shark •  iPhone-only app by Booyah, has over 2.8m users •  Monopoly-like game where users can “own” virtual venues they check into, can collect rent, etc. •  Has social aspects like “friending,” etc. •  Major partnerships include Travel Channel’s Food Wars TV show, clothier H&M •  One of earliest LBS pioneers, launched in 2005 •  Far less coverage, but boasts 4+ million users, quietly becoming huge presence •  Notable: Partnered with Virgin America, users who checked into SFO, LAX airports OR certain taco trucks in 4 hour window got 2-for-1 airfare to Cancun, Virgin claims 5th highest revenue day ever, Loops claims 1,800 check-ins ©2010
  • 44.
    SMALLER (BUT GROWING)FISH ©2010 06.29.2010 | P44
  • 45.
    Different and onthe rise •  Scavenger hunt •  Brands: Coca-Cola, Smithsonian, GameStop •  Example: Visitors to 10 malls this holiday season are challenged to earn points toward rewards by accomplishing tasks like taking a photo of a Coke as the mall. Rewards range from coke bottle openers to gift cards redeemable on location. •  On-site sensors – built in hardware, not GPS •  Brands: Target, Best Buy, American Eagle •  Example: Enter a Best Buy location, your phone recognizes it and you get points and a message that there are deals available at this location. You can also use it to scan items and get more points and other potential deals. ©2010
  • 46.
    Different and onthe rise •  Scans products •  Brands: Altoids, Pepsi, Ben & Jerry’s •  Example: People that pick up Altoids and scan its bar code with Stickybits get a $10 iTunes gift card •  Check-ins, scans products •  Brands: Belkin, Energizer, Tyson Foods •  Example: Shoppers receive points just for checking in, also for scanning bar codes. Can redeem points as currency for gift cards, airline miles, gadgets, etc. ©2010
  • 47.
    Geolocation = anotheropportunity for PR to shine §  Relationship building §  Events §  Thought leadership / knowledge resource §  Image management §  Promotions §  Awareness building §  … really, the possibilities are endless. ©2010
  • 48.
    COMING TIDES FORLBS ©2010 06.29.2010 | P48
  • 49.
    Coming tides forFoursquare… §  Loyalty card linking – recently Foursquare partnered with SoCal supermarket chain Vons and PepsiCo §  Foursquare users register via a special web page to link their Vons card to their account §  The card then “knows” all your previous 4sq activity & bases coupons/rewards on your habits §  E.g. If you’ve earned the “Gym Rat” badge, you may get a coupon for a free Sobe drink; if you always check in somewhere early in the morning, maybe Quaker Oatmeal §  “Semantic geosocial promotion” ©2010
  • 50.
    What’s next §  Gowalla 3.0 – December 2010 §  iPhone* app creates unified check-in service, pulls in check-ins from friends on other LBS networks, even if they’re not on Gowalla §  Synced up venues between their own place database, Facebook’s place database, Foursquare’s place database, and even Twitter’s place database --> §  1 Gowalla check-in = check-in on all services at once, even allows earning Foursquare badges & tips, Facebook Deals §  WHY? CEO Josh Williams sees a “socially curated guidebook” not focused on deals/coupons or game mechanics, but on useful info & fun, unique experiences *Android, Blackberry, and iPad apps coming soon ©2010
  • 51.
    AUGMENTED REALITY ©2010 06.29.2010 | P51
  • 52.
    Augmented what? §  Augmented reality (AR) is a term for a live direct or indirect view of a physical real-world environment whose elements are augmented by virtual computer-generated sensory input such as sound or graphics. §  Augmentation is conventionally in real-time and in semantic context with environmental elements §  Information about the surrounding real world of the user becomes interactive and digitally usable. - Wikipedia http://en.wikipedia.org/wiki/Augmented_reality ©2010
  • 53.
  • 54.
    Lego AR kiosks §  Started January ‘09, by April 2010 Lego had AR kiosks in ALL Lego stores §  Idea: show parents and their kids what the finished Lego construction they were considering buying would look like before purchase. §  Currently one of the most well-known uses of AR, per my non-scientific polling ©2010
  • 55.
    First AR iPhoneapp: Yelp (August 2009) §  “Easter Egg” discovered by Robert Scoble §  After Yelp app is downloaded, shake iPhone 3x, which activates “Monocle” §  Point camera, restaurant, hotel, etc. ratings & reviews are overlaid onto screen ©2010
  • 56.
    General Motors testingAR windshield §  AR windshield would highlight hazards, road edges, landmarks, etc. in dark or foggy conditions §  Has 3 cameras to track the driver’s head and eyes to determine where they’re looking, and an array of infrared and visible sensors to identify objects outside the car, the edges of the road, vehicles in the driver’s blind spot, or moving animals at the side of the road. ©2010
  • 57.
    Wikitude World Browser §  First AR browser for smartphones, published almost simultaneously with first Android devices at end of 2008 §  Scans your surrounding for geo-referenced content using the camera and the device’s sensors. The objects’ info is displayed on screen where the real object is located. §  Collects the closest places of all local content providers, so you immediately know what’s happening around you §  Each place (or POI, Point Of Interest) belongs to provider, so called “Worlds”. Local Worlds are listed on start-up, each one providing information of places around you. (E.g. check “Wikipedia” to see all Wikipedia information around you, or “pizza” to see all things related to pizza around you) ©2010
  • 58.
  • 59.
    Lonely Planet CompassGuides §  Lonely Planet created 10 enhanced Wikitude “Compass Guides” to various cities for Android market in US, including Boston, Chicago, Miami, New York, Los Angeles, D.C., Seattle §  Enabled with GPS so you can see your current location and plot itineraries on dynamic maps; §  Augmented reality camera-view to visualize data overlays of Lonely Planet recommended points of interest §  Hundreds of listings for places of interest – bars, clubs, restaurants and more – search by category, distance, or by address §  Helpful information on the city, its history and events and more ©2010
  • 60.
    Layar §  AR browser that takes idea of Wikitude browser to next level §  Raised $17.4m of funding in 2010 §  Users can set preferences, bookmarks, and view various content (layers) per the layer catalog §  First AR browser brands are really catching onto §  Brands with Layers include 7-11 Stores (shows store locations), ApartmentsForRent.com (find listings for apartments), AllMenus.com, CareerBuilder, various universities (campus tours)… the possibilities are many ©2010
  • 61.
    Layer of localtweets ©2010
  • 62.
    Example layers oncities ©2010
  • 63.
    What AR meansfor PR §  Though AR is still in its infancy, it provides both opportunities and challenges for the PR field §  Biggest opportunity (and challenge) = CONTENT §  Beyond the shiny, AR is simply another means in which a brand can share information §  Our challenge as PR pros is the same as social media - to give consumers information they find valuable, allow them opportunity to share and interact with that info as they see fit. §  PR pros need to know where brand relationships are being made, and need to ensure proper placement and consistency of messaging. §  The same questions apply: §  Is the strategy consistent with the overall goal(s) of the brand? §  How will consumers find this outlet valuable? §  What need/problem does it solve? ©2010
  • 64.
    Takeaways §  Both LBS & AR are still nascent, but LBS are catching on faster §  These new channels aren’t just for brick-and-mortar companies §  Many big brands are experimenting with their feet in both ponds §  Brands who jump in the waters first are getting accolades for even trying, seen as trailblazers §  All, thus far, seem to be B2C §  Though fragmented now, the user will eventually have a more streamlined experience though the evolution of the technologies (e.g. Gowalla) §  Regardless of the technology, the fundamentals of our strategies remain the same ©2010
  • 65.
    Q&A ©2010 06.29.2010 | P65
  • 66.
    STACY LUKASAVITZ Digital & Social Communications Analyst/Strategist
 MSL Ann Arbor
 o: 734.214.1550 x127 
 e: stacy.lukasavitz@mslgroup.com t: @damnredhead ©2010 06.29.2010 | P66