Among the most attractive features of our mobile applications is the ability to send out push notifications based on geofencing. Bascially, this means that you can set a pre-determined area where you would like to send your customers a pre-written message or link.
How is this useful? Well, in an effort to protect the privacy of how many of our clients are using this functionality in their sites, we'll offer up some "hypothetical" uses for geofencing...
"John Doe's Mugs and Chugs" is a local restaurant/bar in a college sports town. The owner, John, doesn't have the same marketing budget as some of his more established competitors who can afford to advertise at university games, events, radio commercials, etc. Instead, he invests in a unique technology that allows him to reach out and touch his customers in a way that is both effective and affordable. John invests in an app...
John utilizes a rewards and loyalty program where each time a patron comes into the bar, their server "stamps their loyalty card" in the app by entering an employee code. By entering this code, their app adds 10 points to their loyalty program. Every time the patron reaches 100 points, he gets a free draft beer. To incentivize customers to download the app, they automatically get 20 points for installing it on their phone.
The opening day of football season is a busy time for this college town. In anticipation of a large crowd, John has set up a geofence around three of his competitors for two hours before the game starts, lasting until one hour after the game is over. As the crowds swarm in toward his "big marketing spender" competitors, John watches as they receive automatic push notifications informing them that John Doe's Mugs and Chugs has available seating and that each patron will receive a free 20 point credit on their loyalty card if they come to the bar. To the dismay of his competitors, patrons are diverted away from their establishments and head toward John's restaurant to watch the game.
Based on his loyalty program, 20 credit points cost John about $0.35 per customer. The average customer ordered $12 worth of food and $10 worth of drinks. The push notification and the geofence cost him nothing, therefore John literally used his competitor's advertisements to his advantage.