
Rumour has it that social media giant Facebook is due to release the geolocation “check-in” feature at an event in Palo Alto late tonight. Location Based Services are certainly one of the hottest topics in social media right now and this highly anticipated release might allow Facebook users to tell friends exactly where they are (using the GPS on their phones) and what they are doing and thinking.
Why use a location based service?
I’ve been playing around with location based services for some time now and have had several really good experiences. On a recent visit to London I was able to obtain local “inside” knowledge on the best places to eat in the area where I was. Ok, so I could have just asked someone or perhaps put a message on Twitter, but the difference here was my mobile knew exactly where I was and presented me with a list of “tips” that were all close by. Just think how useful it would be to always have local knowledge! The kind of information may be more useful when you’re on holiday or away from home but it still has a use. Right now, I think the problem with location based services is many people are concerned about privacy issues and perhaps are not keen on letting friends (or burglars) know where they are!
Foursquare and Gowalla
The past year has seen big growth in this relatively new mobile space with location services such as Foursquare and Gowalla fighting it out for users. Foursquare has become the clear favourite of the two and has seen an increasing number of big brands offering special offers and incentives helping to boost their offering. Of course, Foursquare’s relative success could soon be dwarfed by the sheer volume of Facebook users! The biggest issue with both these networks is that beyond the “tips” offering they are not giving the user any real incentive to use them. Until now…
Location based service with real-world incentives
One of the biggest problems with many location based networks is they rely on the user to “check-in” to the location and this is where Shopkick offers something different. Instead of checking in, as you would with a geo app like Foursquare or Gowalla, shopkick automatically recognises when someone with the shopkick app on their phone walks into a store. “The minute you enter a Best Buy location, your phone recognizes it and you get points and a message that there are deals available at this location. ” According to the New York Times, major American retailers such as Macy’s, Best Buy, Sports Authority and American Eagle Outfitters are working with Shopkick to offer promotions to shoppers as they move from outside the store, to counters, to cash registers.
Can you see a use for location based services?
At Mixd, we have been talking to our clients about how services such as Foursquare can be used as an incentive scheme to attract customers. Promotional deals for frequent customers have already started popping up on the service. Dominos Pizza is one such example that have launched nationwide promotions to encourage users to check-in at its outlets. We are interested to hear your thoughts on whether you feel offering a discount to regular customers on these social networks will help your business?