Why Retailers Will Drive the Future of Mobile Location Data
While much has been written about the power and promise of mobile location, the greatest challenge in the industry to date has been poor data quality. Study after study has demonstrated that up to 90% of mobile ad inventory has incorrect or imprecise location attached to it, and the majority of location-targeted ads are off by more than half a mile! Unless something changes, the industry will have a difficult time reaching the $32 Billion projected to be spent on location targeted mobile advertising by 2021
So, what’s the problem?
The problem is that unless location data is accurate and precise, it has very limited value. There is a huge difference between knowing that a consumer is NEAR a store vs. knowing that a person is IN that store or at a particular aisle of the store. Because being somewhere near a store provides no insight into a consumer’s intent, location data that cannot explicitly verify a person’s presence in a particular store is of little use when it comes to enhancing customer profiles, delivering more targeted and personalized marketing messages, influencing purchase behavior or attributing retail store traffic to online advertising campaigns.
How can retailers solve this problem?
With 100% accuracy and precision down to a few meters, retailer-owned BLE and WiFi signals can be used to generate high fidelity location data that is reliable for not only verifying store visits, but also identifying the specific aisles where a consumer shopped. And thanks to major hardware providers like GE Phillips, OSRAM, Cisco, Verifone and others that are embedding these signals in light fixtures, Wifi access points and payment terminals, virtually every major retailer now has or will soon have the ability to generate this location data across their entire network of stores.
Thanks to indoor location signals, retailers will drive the future of mobile location, and mobile location may just drive the future of retail. The technology and infrastructure are here. Now it’s up to retailers to make their move.