How blockchain transform geolocation marketing?
Retail marketing has always been used to encourage customers to make purchases, and marketers have done their best to target their messages to specific audiences. In recent years, growing mobile usage has led to the emergence of highly targeted geolocation marketing. With the advent of e-commerce and customer reliance on mobile search, however, the marketing focus has shifted towards driving traffic to physical locations and collecting customer data. The emergence of platforms such as Geon.network, which uses smart contracts based on the Ethereum blockchain, promise to streamline and simplify retail marketing.
Here are some of the key ways that blockchain can transform the use of geolocation data in marketing:
1. Personalization and micro-moment marketing: Rather than sending ads to a large block of customers, marketers are now tailoring specific responses to customer searches. And because mobile search lets customers do research and make purchase decisions quickly, ads simply aren’t needed. Instead, marketers must catch customers’ attention in these brief moments, so mobile friendly marketing campaigns are essential. Using artificial intelligence (AI) to customize content can also help businesses capture these moments. Geon.network gives merchants the ability to set up virtual objects known as Geons, and these Geons allow them to market to customers while also engaging with them on a personal level.
2. Local marketing and geo-targeted mobile ads: These strategies, which target customers by address and income level, are one of the most common ways to use geolocation data in marketing. Geon.network’s smart contracts ensure that marketing messages cannot be corrupted. With blockchain, merchants can take advantage of local marketing to drive e-commerce traffic to physical stores: the decentralized storage of the blockchain can make an instant connection between digital and physical retail inventories. This means that customers who shop online can pick up their orders at nearby stores, sharply reducing the incidence of abandoned shopping carts.
3. Geofencing and beacons: Geofencing, which works using the GPS locations transmitted by mobile devices, allows marketers to precisely target their communications. Geofencing is most effective when used for small regions such as neighborhoods or streets. Beacons are even more precise — placed in a store, they receive location data from nearby devices via Bluetooth. Beacons provide retail outlets with information about how people move around and shop in a store.
4. Data collection: In exchange for customer data, marketers want to offer special deals and membership perks. Unfortunately, many customers are so worried about the security of their information and receive so many requests that they don’t even consider responding. But if data is stored on the blockchain, and customers can retain ownership and control of their personal information, marketers will be able to alleviate concerns about privacy and security. In addition, marketing campaigns powered by smart contracts will let retailers tailor marketing efforts to specific customers based on their search and shopping histories, further increasing their appeal. An individual who hasn’t made a purchase in some time might be sent an offer based on a new product, to spark interest in returning to the store. Similarly, offers to regular customers might provide incentives to purchase favourite items, or offer rewards for completing customer satisfaction surveys.
5. Augmented reality: A customer can use AR to try on clothing, for example, or to see how furniture will look at home. AR can also be used at marketing events, giving attendees access to enhanced content based on their personal preferences.
The secure, decentralized nature of the blockchain, where merchants and retailers can manage customer interactions without middlemen, makes it a natural fit for geolocation marketing. As further blockchain platforms and use cases are developed, we can expect that retail marketing will become even more precise and effective.
