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Location based Peer to Peer Marketplace : The Next Generation eCommerce

Geo location based marketplaces are all sugar and honey these days. Ecommerce giants such as Amazon, Alibaba etc. are leveraging geo location based technology services to signal their unchallenged suzerainty.  This is in fact a well thought strategy. Undoubtedly, Geo location based technology has been in news for the past 14 years. Analysts aver that this technology helps ecommerce giants to do away with the problem of ‘Facing the erosion of popularity’ among their target audiences. With age old technology in shambles, non-location based features hardly a force to reckon with, location based technology remains formidable for foreseeable future.

Here is an interesting excerpt from the genuine reports of PewResearchCenter- 74% of adult smartphone owners ages 18 and older say they use their phone to get directions or other information based on their current location. What lasts more is the delicious aftertaste of geo location based geo targeting and geo advertising, thereby leaving all target audiences dumbfounded with your energy and audacious exploitation of geo location based technology services.

Human resources network icons concept

It eventually boils down to customizing marketing messages. Marketers may cling to the following services that perfectly dovetail with the saying, “Marketing is specifically humane and humane”:

  • Location based services: If I have to empanel an example, SCVNGR is the best one. SCVNGR, a popular location based gaming platform, known for its consumer and enterprise components scripted a success story. The success story of SCVNGR hinged on the concept of ‘Earn points’ and ‘Earn discounts.’ Whenever a player unlocks a badge, reward points and discounts on a few items are provided. Players can broadcast their locations and thus let their friends and family members know where they are and what they are up to. Thanks to the presence of such wonderful features, SCVNGR created a groove in the minds of target audiences that made them act in a particular manner, often in favor of their wish.
  • Bluetooth marketing services: We all have already witnessed the proliferation of technology enabled devices. Bluetooth is the most common marketing device that allows data transfer over short distances well within 100 meters or 328 feet. Bluetooth resembles a wireless phone headset.
  • NFC (Near Field Communication): If two or more devices are in a close proximity, the standard range being two- twenty centimeters, (NFC) Near Field Communication technology allows you to exchange information. Very small payloads of data can be exchanged between an NFC tagged device and an Android powered device or between two Android powered devices.
  • Location Based Advertising (LBA): Location based advertising is all about leveraging tools such as GPS and virtual barriers such as geo-fence to locate potential prospects and deliver messages. Geo-fencing uses GPS (Global Positioning System) satellite network and RFID – Radio Frequency Identification to define dedicated geographical boundaries.
  • IP based targeting: Various comprehensive techniques such as cookies, user provided registration data, GPS based latitude and longitude, HTML5 (HTML5 is the latest version of HTML) can be used for IP based targeting. Coming to user provided registration data, it is possible that users may share wrong data. Only a few customers share genuine data. Cookies are generally stored on the web browsers of the users. Cookies help you track the location of the users. However, there is an inherent disadvantage with cookies. Cookies are known to be invasive. In terms of reaching a few target audiences, HTML5 works wonders. However, HTML5 is an opt-in feature. Web visitors must explicitly give their consent to access HTML5 opt-in feature.

Various location based marketing and advertising services have been integrated into our Admire marketplaces. Here is how our geo location based marketplaces are driving sales:

  • Improving Customer experience: To improve customer experience, NFC tags are attached to items that are being sold on our marketplaces. Whenever a buyer or a shopper swipes the NFC tag that is associated with the particular product(s), details of the product such as price, materials used to manufacture that particular product(s) etc. are displayed. In addition, a short 2 minute video detailing the nuances of the manufacturing process of the product(s) is also played. Such features endeavor to remold the consciousness of customers and drive away their negative thoughts. ‘NFC Tags’ infuse fresh and a robust mix of millennial customers.
  • Improving customer loyalty: Sellers can cheerfully launch location based marketing campaigns. One of our clients- Martin, proud owner of a small restaurant in Washington, launched a location based marketing campaign with the punch line, “Carve your presence here.” The marketing campaign hinged on location based advertising and MMS (Multimedia Messaging) to reach all the targeted users who are all well within the close proximity of his restaurant. Users who visited the restaurant were given a short survey or a questionnaire. Customers who confirmed and opted for regular Multimedia Messages were texted with messages that conveyed information on various special discounts, festive discounts on various food items and confectionaries. By the way, what do you think was mentioned in the questionnaire? Is your anxiety getting the better of you? Well, here is what Martin did to survive in the ultra-competitive industry, “Hey, the next time you visit our restaurant, do you want us to text a message with attractive discounts on our salubrious, delicious and wholesome food items?”
  • Generate a buzz: If you are new to a particular niche, you can generate a buzz with geo location based marketplaces. As I have already mentioned in one of my write-ups titled, “Tips to choose your B2B Marketplace,  Admire marketplace script comes with mobile apps (both Android and iOS apps) to both sellers and customers. One of our loyal customers, Smith, proud owner of a digital marketplace site that sells digital content such as IP protected PDFs, IEEE papers, reputed journals etc. promoted the launch of his digital venture by encouraging all the research scholars, students and committed educators to wirelessly download a simple yet highly insightful PDF on “How to use Microsoft Excel to create Dashboards.”  The campaign was an instant success not only because of the buzz it generated but also because of the 1500 PDF downloads. Every time a user downloaded the PDF, he/she was humbly requested to tweet “Smith’s digital venture- A multimillion facelift.” With more than 1500 tweets on that particular day, Smith ruled Twitter. This exciting prospect of using ‘wireless’ location based technology opened up the floodgates and provided a welcome fillip in his business.   
  • Drive repeat sales: David Henry from Hong Kong, one of our many loyal customers owns four confectionery shops in Queenstown (now rechristened as Victoria). Unfortunately, his four confectionery shops are not at close proximity with one another. When he requested our Ecommercemix team to come up with a location based service app, we effectively streamlined it. Once a customer downloads the app and inputs his/her order, depending on the location of the customer within Queenstown, the ordered food items are delivered well within an hour. This results in repeated sales as customers placed orders very often. Also, customers opt for SMS message service. They all cherish receiving “What’s special today?”, “45% festive discount on Delicious cakes on the occasion of HAPPY NEW YEAR”, “50% festive discount on Cokes, thanks to MERRY CHRISTMAS”.

location-based-marketing

Stats:

Here are a few stats to prove that ‘Geo location based marketplaces’ is an inflection point for the thriving e-commerce industry:

  1. In a survey conducted by McKinsey & Company, as many as 69 percent opined that Multimedia messages and SMS increased their likelihood to visit a market website on the marketplace script.
  2. To demonstrate and signify the fact that shop alerts are driving sales, here is a convincing figure- 65 percent propounded that they made a purchase decision thanks to shop alerts.
  3. About a whopping 73 percent said that they would like to continue and opt for SMS and MMS services. 

Four Golden rules for Geo-location based marketing:

  1. Use the technology but do not abuse the technology: Do not live in a stupefying bliss. Ensure proper utilization of technology. Never abuse it. For example, it is wise to text a message daily with a line, “Flat 40% off on XYZ and ABC” rather than to send it every hour. Never force the customers to “Buy, buy and buy!” It is like a 5 year old kid troubling his/her mom with persiflage, “Mom, mom and Mom!”
  2. Ask for customers’ consent: A customer should never receive any notification (either location based or non-location based) unless and until he/she gives his/her consent. If the customers explicitly opt for such notifications, you may anchor such notifications. As I mentioned earlier, do not constantly pester the customers with notifications.
  3. Ask for Feedback: If your popularity is on the wane, it is time to gear up for upping the ante. Solicit feedback from your target audiences and do the needful. If they are facing any security related concerns, ensure that your geo location based marketplace’s privacy policies are in line with all the assurances that you have provided to your customers.  Do not change privacy policies frequently. Most importantly, do not deviate from your privacy policies.
  4. Mobile apps: Ensure that the mobile apps are feature rich and robust. It is best to get your mobile apps developed and configured by legitimate industry players like Ecommercemix. Needless to say, our apps are in line with the extensive industry guidelines of MMA (Mobile Marketing Association).

Let us talk

If you are looking for a one-one interaction, you may talk to Steve. It is absolutely free. Do drop a mail to steve@ecommercemix.com to get your concerns addressed. You can reach Steve on +1-302-525-8125. Feel free to drop a comment or two in the comments section.

Ecommercemix can help

Try our free version of Admire social commerce here. And yes! We can integrate our modules into your ecommerce marketplace. We can develop and configure both iOS and Android apps for you. Feel free to contact us

Keep reading our blogs for updates and insights….Cheers!   

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