Beacon Advertising

What is Beacon Advertising?

When placed in a store, beacons use Bluetooth technology to detect nearby smartphones and send them media such as ads, coupons or supplementary product information. They can also be used as point-of-sale systems and to collect information on those consumers — particularly how consumers maneuver through stores.

Beacons can trigger location-based notifications in specific apps on customers phones. These notifications might inform customers, in a personalized way, about special promotions, discounts or new products available within the store where the beacons are placed. Location-based notifications can be used to invite customers to enter a nearby store, or to welcome them when they enter the store, or to greet them when they leave by providing a discount or a special treat to encourage them to come back. All these strategies are very powerful tactics to drive foot traffic to retail stores and increase their conversion rates and sales volume. Also, this use of Beacons can help retailers attract users to their apps, retain those users, and increase engagement on those apps.

Data Collection

By interacting with the mobile applications installed on smartphones and tablets within their range, Beacons can help retailers track users’ behaviors and collect relevant data about users’ preferences and actions. This data is a powerful source of information for retailers because they can use it to re-target customers with even more personalized campaigns.

Beacons with Free Access

Retailers could enable developers and app owners to have free access to their beacon advertising in order to increase foot traffic to their store. For example, mobile applications about food and dieting could send location-based notifications to users within the range of a specific beacon and encourage them to enter the store and buy what they need for their food plans.