By 2018, eMarketer predicts that more than 60% of all digital ad spend in Western Europe will focus on mobile advertising, and the number of smartphone users will increase by 15% by the end of 2015. Mobile is clearly moving forward in Europe and opening the doors for location marketing alongside it.
Scott Curtis, European mobile strategy and development director at Starcom MediaVest Group says: “We’re already seeing the promise of location being fulfilled with mobile, which is only set to grow in the coming years as we continue to digitise and use real-world behaviours in order to communicate with audiences.”
Focus on the UK
Brands and businesses in the retail, restaurant and automotive categories have found greatest benefit with location marketing due to the very nature of the categories, their consumers and the ability to impact real-world behaviours and drive consumers to brick-and-mortar locales to transact. Brands such as Asda and Starbucks are physically feeling that increase in store visitation from their location marketing efforts.
Following the results of a holiday-themed drinks campaign that increased Starbucks store visitation by 67%, Ian Cranna, vice president of marketing and category for the EMEA region at Starbucks, exclaimed: “We pride ourselves on being a mobile innovator, and we strongly believe in the use of the channel to engage potential and existing customers.
“We aim to deliver relevant content at the right time … xAd’s proximity targeting mobile gives us the unique ability to do that while providing insight on the content that resonates most.”
Location-based marketing has gone beyond early adopters with mainstream retailer Asda reporting a 60% increase in store visitation after a successful test. Chris Chalmers, head of digital marketing at Asda, commented in November 2014: “The trial has shown us the true potential for location-based campaigns. Early results show a real lift in store visits, and we can see the impact of specific promotions which is critical in the run-up to Christmas.”
In order to continue this growth pattern and allow marketers to build upon their successes, it is important to continue to develop and distribute this kind of marketplace research.
- For an overview of the key trends and use of location-based marketing around the world, download the 2015 Global Location Snapshot
Sabrina Bailey-Navalon is EMEA marketing director at xAd
To find out more about the potential of location marketing, get in touch with the xAd team at contactus@xad.com
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