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Proximity Marketing in Retail - How does it work in practice?

This is the second blog post covering the rest of the Q1 2017 Proximity.Directory report. This time we have looked into the retail vertical. Get the newest information about the proximity industry, learn more about the importance of proximity technologies in retail and find the third PSPi ranking.

Maria Kukhtina

Proximity.Directory Product Manager




Maria Kukhtina
Proximity.Directory Product Manager
May 15, 2017

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A couple of weeks ago we released our Q1 2017 Prox.Report focusing on how the retail industry is leveraging proximity technology. The retail industry is definitely evolving, so today we are going to look a little closer at how retailers are using proximity technology.

Download the Q1 2017 Proximity.Directory report

How does proximity technology work in practice?

The use cases in the report demonstrate how location data and proximity marketing transform different retail segments and “revive” the industry.

Rebecca Schuette, Director of Marketing at Swirl Networks, Inc. explains how Lord and Taylor, the oldest luxury department store in the US, takes advantage of the location data:

“The company takes advantage of the statistical testing capabilities of Swirl's Mobile Presence Marketing Platform to measure and optimize shopper engagement rates as well as the key business indicators such as store traffic conversion rates and cross-departmental traffic flows. With nearly 3 years of data from proximity marketing campaigns, Lord & Taylor is able to leverage learnings from past campaigns to inform future efforts aimed at enhancing the in-store shopping experience.”

Krzysztof Łuczak, the CEO of Proxi.Cloud, reveals that proximity marketing campaigns are relevant  for FMCG segment and can increase profits of all involved parties.

"Multikino - a large multiplex cinema chain in Poland has reached out to to help connect their IoT infrastructure with third party apps in order to deliver engaging "here and now" marketing campaigns. The main purpose was to monetize location context in very easy and controllable way. The Multikino & Coca-Cola campaign has shown that proximity campaigns can gather the relevant scale for FMCG brand and become profitable for the app vendor as well as the beacon owner. As a result Multikino decided to establish a long-term relationship with to run engaging campaigns as well as collect proximity data for retargeting”.

Rune Bromer, the CEO of TAMOCO points out the advantages of proximity marketing campaign for Magnum (Unilever) ice-cream campaign in England and France.

“By delivering relevant, location-based notifications, we generated high levels of interaction, footfall and brand engagement, the likes of which are rarely seen through traditional mobile marketing channels. Using in-store proximity tech, Magnum were able to measure their campaign effectively to understand store visits and gain valuable insights into their business.

Proximity Solution Provider index

The Proximity Solution Provider index (PSPi) ranks companies based on the following criteria: business maturity (whether the company is in the commercial or pilot stage), number of conducted use cases, geographic presence, number of clients, number of sensors deployed, number of employees and the time when the companies last updated their profiles. We calculate PSPi for two separate categories: hardware providers and platform providers.

Top 10 Platforms:

  1. Swirl (US)
  2. Beaconinside (Germany)
  3. Aruba (US)
  4. Proxama (UK)
  5. Tamoco (UK)
  6. In The Pocket (Belgium)
  7. Poi Labs (Turkey)
  8. Xtremepush (Ireland)
  9. Blesh (US)
  10. Aloompa (US)

Top 5 Hardware:

  1. (Poland)
  2. Estimote (UK)
  3. Cisco Meraki (US)
  4. BlueUp (Italy)
  5. Accent Systems (Spain)

If you want to learn more about how proximity technology is impacting the retail industry please join us for our upcoming webinar on May 31st at 1:30pm EST. Register HERE.