The biggest potential for Location-based Advertising (LBA) is in its reach, relevance and ability to deliver immediate results. The users get relevant, timely and actionable ads. They can take advantage of these ads immediately - on the spot and at the time they get the ad. The advertisers get better conversion and typically - bigger ROI for the ad dollar ... when it works.
The biggest drawback: perception of SPAM. Millions of Americans carry GPS-enabled smartphones and mobile marketers dream of using their locations to serve them targeted ads. But recent studies show that consumers and advertisers aren’t yet ready for location-based advertising to take over the touchscreen.
So how to win with LBA? The solution is in the details. While still getting acquainted with all the new power offered by Location Based Services, the users will use Foursquare, Gowalla, Shopkick, Loopt, etc. and will check-in for just a badge. But as the experience matures, this will happen less and less frequently. There are numerous ways to connect with your friends and becoming the mayor of the local Laundromat is only hot the first time ... if at all.
The solution will come from a platform that offers its users a continuous location-based benefit that is not commerce-related. The users would get on this platform for its own benefits and the LBA would be just a nice add-on. Pingwyn might just be one such platform ... Subscribe to this blog and we will make sure you get the news when it becomes available. We promise your email is safe with us and we'll never send you spam.
