© 2 0 1 1 ge o m e nt u m , i n c . a l l r i g ht s r e s e r v e d .

WHY LOCATION MATTERSLocation Based Marketing and the New Retail Economy

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Location 1.0the rise of the social shopping experience

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“Mass localization”the rise of the

“DAILY DEAL”mobility gets socialized through the

“CHECK-IN”

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Tactical

Unsustainable

One-time Opportunities

“Incentived” Intent

Limited relevance for National Brands

© 2 0 1 1 ge o m e nt u m , i n c . a l l r i g ht s r e s e r v e d .

Location-based marketing is

NOT just

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Location is Mobility

ACCESSDISCOVERYEFFICACY

Mobility is about the SHOPPER’S JOURNEY,

capturing behaviors and intent across time, space, and place.

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Mobility is redefining the Path to Purchase

Consumption of Media, Messages, and Ideas is now an “on-the-go” proposition

Technology is reshaping how consumers shop (i.e. rise in the “social shopper”

Marketing becomes more about building relevant relationships through targeted meaningful engagements

© 2 0 1 1 ge o m e nt u m , i n c . a l l r i g ht s r e s e r v e d .

Which becomes the next person’s ZMOT

A New Decision-making Model

Traditional Advertising

First Moment of Truth

Second Moment of

Truth

At shelf ExperiencePre-shoppingStimulus

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Categories of influence

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StimulusZMOT

FMOT

76%84%

77%

ZMOT: the new influence driver

Sources Used – SubgroupsSearched online, used search engine

Talked with friends & family

Comparison shopped products online

Sought information from a brand website

Read product reviews online

Sought information from a store website

Read an article online

Became a friend/follower/”liked” a brand

Base: N=5,003

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Mobility delivers new opportunities to Engage and Connect

Tech Innovation must keep both the retailer and the consumer in mind

Location becomes a critical component of the communication strategy

Audience-based engagement enable marketers to better navigate the new shopper experience.

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Welcome to Location 2.0locating the intent to buy

INTENTION EXECUTION

VIRTUAL AND PHYSICAL PRE-SHOPPING ACTIVITY

WHAT I WANT

WHERE I PLAN TO DO IT

HOW

WHEN

WHERE

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Power of PROXIMITY

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10 Yards

14 Miles AwayProfile and target the 80% of your customers live within a 14 mile trade radius of your store

10 YardsWrap the store in media to drive top of mind awareness immediately prior to purchase

3 feet & In-StoreUnderstand shopper decisions to engage & continue conversations

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Consumer behavior illustrates that last 3 feet of retail is driven by the need for real-

time, relevant information.

For marketers, how you serve this

information back to your customers is

key.

In-Store Shopping Activities of Internet Users December 2009

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Opportunities become DATA ENABLED

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Technology companies

Media / Entertainment companies

Distribution platforms

Data companies

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Technology companies that also create content

Data Companies

Old line media companies do both content and distribution

Distribution platforms

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Lead with the Customer!

lifestyle

preferences

values online

Local Responsiveness

Local ReceptivityLocal Reach

Utility within the Shopper’s Journey

PreferencesAttitudes

Intent to Purchase

MEDIA CUSTOMER

framework to direct media strategy and the

integration of technology and creative.

DATA TELLS A STORY.

In-store

frequency

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Saliency becomes CRITICAL

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Is Privacy truly a Barrier?

the privacy

VALUE EXCHANGE

CONTENT

Marketer

CONVENIENCE

Consumer

Opera Research © 2011

60% of adults under 34 are willing to share their location for more relevant content (JiWire, Q2 2011)

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PepsiCo and Foursquare align location and behavioral relevance

• Behavior-Driven Offers

• Time of Day, Habits, Locality

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When Opportunity meets Preparation

• Convergence of mobile and online search• Leveraging location and mobility as The Bridge• Celebrating “The Experience” across the

engagement funnel

Capturing the sale, whether online, on mobile, or in-store.

Time of Day Geo-location

Proximity to Store

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1. Location (strategy) technology is not just reserved for mobile media but ALL media

2. Engagement means being present in the conversation based on your customers needs, not yours.

3. Driving POS activity starts with understanding behaviors across locations, times-of-day, and general intent to purchase.

4. Information and technology can no longer be silo’ed. Your data tells an intricate story about your customer across, time, space, and place.

5. Privacy Trade Off: Consumers want convenience, relevancy, AND simplicity

What the next chapter tells us

© 2 0 1 1 ge o m e nt u m , i n c . a l l r i g ht s r e s e r v e d .

The “pay-off” of the Experience

ENGAGEMENT

CONVENIENCE

SOLIDARITY

© 2 0 1 1 ge o m e nt u m , i n c . a l l r i g ht s r e s e r v e d .

@lisabradner

lisa.bradner@geomentum.com