Breadcrumb No. 2: Location-specific information

In the past, we tried to understand the behavior of customers through looking at cookies on individual computers. But those clues were difficult to interpret and oftentimes inaccurate, because they weren’t always a reflection of a single person using a computer. Roommates, family members, and friends could all be using the same device. So all those breadcrumbs didn’t belong to one person, but rather to several. This makes creating personalized experiences difficult.

Geolocation is changing how information is collected. Typically, a single person uses a cellphone, so all the data collected is about a unique user rather than about several. As a result, marketers can learn much more about their customers.

For example, a company previously may have emailed a promotional coupon during the summer months. But through geolocation, that same company can now send the coupon when the customer is within 50 yards of the business, making it more contextually relevant.

Key takeaway: Marketers provide customers with coupons, offers, and other marketing materials, but what’s sent is not always in context. Geolocation allows marketers to increase response rates and conversion through more contextually relevant offers.