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BizReport : Ecommerce archives : November 10, 2016

Expert: How to create strong mobile + geo-fencing strategy

Brands who aren't geo-fencing with their mobile coupons may be missing sales opportunities. That, according to one expert who believes the two go hand in hand.

by Kristina Knight

Kristina: What trends are you seeing with mobile coupons?

Bill Ogle, CEO, Koupon Media: With the average attention span lasting only 8 seconds, consumers are becoming more distracted every day, making it increasingly difficult for marketers to capture their attention. Paper couponing, or what we call traditional ways of couponing, are slowly losing popularity to this increasingly mobile world forcing marketers to find timely alternatives on mobile. This is largely why mobile discounts are on the rise.

Kristina: What are the implications for mobile couponing in association with geo-fencing?

Bill: For decades, paper coupons and discount offers have been an important promotion tactic used by marketers. But in the digital age, the thought of printing out and keeping track of paper-based rewards is a cumbersome task for consumers. This is posing a problem for retail marketers in particular, forcing them to shift the way they deliver discount-based campaigns.

With geo-fencing technology, marketers are able to deliver relevant coupons that engage their consumers in the right place at the right time--this not only makes things easier for consumers, but retailers can now take full advantage of proximity and pull shoppers into their establishment when sales are low. It's a win-win for the industry.

Kristina: With more consumers making the switch to smartphones, do you foresee more geo-fencing opportunities for local businesses?

Bill: With more consumers making the switch to smartphones, we definitely see more geo-fencing opportunities for local businesses. What makes geo-fencing so valuable is its ability to target consumers when they're in a certain location, closing the loop on the retailer journey. Local businesses could benefit from this by attracting new customers to their business with the use of personalized offers.

Kristina: Do you expect mobile coupons to play a large role for merchants as we head into 2017?

Bill: As mobile coupon usage continues to grow in the US (will reach 104.1 million users in 2016), Koupon expects retailers to meet customer demands. Not surprisingly, retailers are increasingly viewing mobile offers as core to their strategy, helping them acquire new customers and their information, introduce them to loyalty programs and drive them into brick and mortar stores. As long as mobile offers succeed at doing those things, interest from retailers will continue to grow.

Tags: ecommerce, geo-fencing, Koupon Media, M:Commerce, mobile commerce, mobile marketing

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