New platform offers GPS location-based ads

The platform gives marketers the ability to customize ads, offers, coupons and loyalty-based offerings based on location to local consumers. For local marketers, the platform could be an interesting addition to other location-based ad offerings because it potentially places consumers closer to the point of sale.

"Early evidence suggests location-based advertising (LBA) yields significantly higher conversion rates with direct response modes, such as click-to-locate and click-to-navigate, compared to non-location-based advertising," said ABI Research practice director Dominique Bonte. "LBA and navigation are a winning combination, mutually reinforcing each other. For the end-user ad-funded navigation represents a highly valued balance between exposure to advertising and access to reduced-cost, or potentially free, navigation, thus driving adoption of both."

Here are two examples of how the platform could work: An airline could offer mileage program members hotel listings which give extra mileage incentives when the listed hotel or restaurant is frequented. Or, an etailer could offer special savings coupons to members of its shopping club who visit a partner restaurant.

Tags: location-based marketing, mobile ads, mobile marketing, SpotOn GPS