Location analytics and business intelligence have grown hand in hand and now extended to all facets of a business service. A current analysis says that 97% of big companies leverage location analytics with more than 100 million users worldwide. A study by the International Data Corporation (IDC) found that data-driven businesses – those take their data seriously squeeze out 6% more profit and 5% more productivity. The time is probably just ripe to combine technology, spatial data, business intelligence and analytics curve out a 360-degree circle.
Location analytics is much more affordable now, which will surely allow small businesses to communicate directly and efficiently with their customers and leverage insights. These insights can help the business to improve sales, enhance loyalty, it helps you to make your store more customer-friendly.
Enhance Engagement
A personalized offer, asking feedback about a product or service, providing reward through loyalty or referral programme can generate innate interest of the customers. While doing this if the business is tracking both location data and sales data then it is possible to make these offers more meaningful for the most engaged customers.
Push up Sales
Location analytics software allows businesses to see the exact location of a customer browsing the website and a well-timed promotional offer sent to them can act as an impetus for the customer to buy from the business. This is called proximity marketing and it has the power to change the customer experience, increase brand value and drive sales upwards. The data showing that 73% consumers are more likely to make a purchase from the store if they receive a relevant and timely notification while browsing.
Improvement in User Experience
A location-based data can more accurately anticipate customer’s needs and help the business to offer more relevant offers which more likely to translate into sales. It also helps the intelligent businesses to look beyond offers, they could actually think about solving problems or enhancing the user experience of the customers in real time.
An example could be to allow a customer to purchase a product online and then collect the item from a nearby location. This can actually eliminate the waiting time in the store for the customer and hence he/she feels more satisfied.
Retain the loyal customers
Customers would not come back to a business if they are not felt special and for that, they need to be recognized and appreciated. The customers have more choices and the businesses have completion. Customer’s perception of brand loyalty has totally changed over the last decade. A study by Wunderman, 79% of the customers want the brand to show its caring attitude even before the customer make their purchase. This is difficult for the brand to understand at times but data can be of big help.
Location analytics can help in to offer customized contests, rewards and points to help increase engagement with a loyal customer. The reward for a customer could also be based on their frequency of visits to the store, it can even be more specialized based on the visit frequency of a particular store location.
Enhance store space design
It is difficult to achieve most out of a perfect space layout design of a retail outlet. Here location analytics can help you by supplying information about the most active or dead area of your storefront.
Developing an accurate picture may be using heat map of the foot traffic in the store can help you to place specific products at specific places. Foot traffic map should help you to identify customer space navigation at a store.
The knowledge of the exact whereabouts of a customer even inside a store using heat map and individual motion tracking can be a powerful tool in the hands of the businesses.
Monitoring the visit frequency also helps you to optimize the operating hours and personalized offers.