BENEFITS OF PROXIMITY MARKETING AND HOW TO PLAN A CAMPAIGN
When it comes to mobile marketing, proximity marketing is one of
the fastest ways to gain a competitive edge for your business.
Whether you already have a mobile app, or are planning to develop
a mobile app, you need to know that personalization is now the key
success factor. Proximity marketing – aka personalization – is vital to
provide an awesome mobile app experience users.
This guest blog from our technology partner Kumulos not only
explains the benefits of proximity marketing but how to plan a
PROXIMITY MARKETING – WHAT IS IT?
Proximity marketing simply refers to communicating with customers
at the right place, at the right time, with a personalised mobile
message. It bridges the gap between offline and online marketing.
Beacons, geofencing and push notifications play a vital role.
There are so many benefits of proximity marketing – far too many
for one blog post. According to Beaconstac, proximity marketing is 16 times more effective than Google Pay per click! From easy
geotargeting to improve app engagement and improved retention,
you’ll be compelled to execute a proximity marketing campaign
THE POWER OF PROXIMITY MARKETING
For years, we have seen the power of proximity marketing. In
particular, the retail sector is notorious for geotargeting each other’s
outlets. Even back in 2014, Dunkin Donuts delivered discount
coupons to people near Starbucks. Needless to say, this gave them
substantially higher coupon redemption rates. Recently, the
initiative from Burger King is a great example of how to use the
power of relevance and immediacy by offering customers
something highly relevant and timely. Their proximity promotion was
designed to retain customers that may be tempted to a competitor
and promote a new feature in their app.
It’s not just retail which is benefiting from proximity marketing.
Beacons are effectively used across all industries including airports,
events, hotels, real estate and more. In fact, they work anywhere
that there are people with your app on their mobile device.
So, before executing a proximity marketing campaign, let’s take a
look at some of the benefits of adopting this personalised mobile
BENEFITS OF PROXIMITY MARKETING
1: Geotargeting Is Easy With Proximity Marketing
It’s so easy. Just pick a precise location so that when someone
enters, exits or lingers within that geofence, a push notification is
sent to that person’s mobile. Geofence technology can also send
messages to anyone present within a geofence immediately or with
a preset delay. If you use segments and channels you can send
different messages to different customers who enter the same
geofence and/or are near to a beacon. What’s more, beacons
provide more detailed location data than GPS or WIFI tracking.
2: Proximity Marketing Increases App Engagement
Keeping users engaged is one of the most important ways of
ensuring the commercial success of any app. For any business
where the location is important, geotargeting in conjunction with
push notifications is one of the most effective app engagement
3: Beacons Help To Improve App Retention
Improving app retention is a priority for all businesses with a mobile
app. Setting up proximity marketing campaigns with beacons is a
sure way of increasing brand loyalty and improving customer
retention. It’s important to have app analytics in place so that you
can create reports on the open rate and engagement rate for push
The average clickthrough rate (CTR) for beacon-based push
notifications can be as high as 80%. With this high CTR, it’s easy to
see why beacons can help transform the customer experience.
4: Proximity Marketing Helps You Gain A Competitive Edge
By creating an interactive environment for your customers, not only
will this help engage them and retain them but it will give your brand
a competitive edge. However, there is a fine line between
improving customer experience and appearing creepy with too
many disruptive messages. This is why you need to analyse your
target audience and spend time on your mobile marketing
5: Proximity Marketing Gives You Immediate Conversions
By increasing app engagement, a proximity marketing campaign
will help you with your conversion goals. With proximity campaigns,
you immediately connect with prospects when they are most in a
situation to purchase from your brand. Retailers can prompt
customers, at the perfect timing, with enticing offers such as
discount push notifications.
6: Proximity Marketing = A Personalized Experience
Personalization is a key aspect to any customer experience. In
retail, for example, with proximity marketing, not only can
businesses send personalized messages to app users…but at the
same time, the store staff can be alerted if a loyal customer walks
in, enabling them to offer the best in-store experience to regular
PLANNING A PROXIMITY MARKETING CAMPAIGN
When it comes to planning a proximity campaign, there are a
number of things to take into consideration. Firstly, there’s
identifying the target audience. Secondly, the content strategy requires attention. Thirdly, you need to think about the metrics you’ll
track to measure the success of the campaigns.
But, most importantly you need to think about the digital technology
required and find a great mobile app development partner. A mobile
app developer will need to incorporate a beacon solution along with
a push notifications service. With many options available, it’s
important to find a mobile app developer, like AppGuys who uses
both a beacon solution provider and push notifications provider with
a great fit. These solutions provide mobile app developers with
great options for location triggered push notifications and proximity
marketing using beacons and geofence technology.
IMPLEMENTING A PROXIMITY MARKETING
As mentioned, selecting the right technology partner is key to
implementing your proximity marketing campaign. So here’s what
you need to know before you contact your mobile app developer.
Beacons came on the tech scene in 2013 when Apple announced
new iBeacon technology. But buying beacon hardware is not always the most efficient answer as you also need a developer on board with plenty time. This is why many businesses prefer a complete proximity marketing solution from their digital transformation partner.
Geofencing has become a standard practice for plenty of
businesses. It is a location-based service that allows you to set up a
virtual boundary around a specified location such that whenever a
device enters or exits the defined boundaries, an alert is sent to the
administrator. Geofencing software along with SMS marketing
systems and push notifications tools allow businesses to use a
customer’s location to send out messages when they’re near a
defined boundary, such as their shop.
Regardless of the technology in use, your push notifications are the
most important part of your proximity campaign. Timely and
relevant push notifications have a great influence on customer
behavior. A good mobile marketing automation platform will enable
you to schedule push notifications and manage geofences. For
example, mobile app developers can easily provide app clients with proximity marketing by accessing a mobile app performance
PROXIMITY MARKETING IS HERE TO STAY
Remember that proximity marketing isn’t just limited to mobile
devices. Wearables can also receive beacon notifications. So, if you
are seeking new ways to gain a competitive edge, it’s time you
suggested proximity marketing. Whether you want to have a mobile
app developed or enhanced, there’s a proximity marketing solution
which will fit your requirements.
Have any questions about Proximity Marketing – Reach out today.
Kumulos App Performance Management platform comes with a
comprehensive range of services covering the entire life cycle of the
app. Its 5 integrated services include app store optimization,
analytics & reporting, backend hosting, crash reporting & endpoint
monitoring and its award winning push notifications service, which
received awards from Business of Apps, Mobile App Daily and The
Tool. It provides a management console for mobile app developers,
like App Guys, to gain comprehensive visibility on how all client apps
are performing technically and commercially.