Location-Based Marketing

Keys to Building a Smart Strategy for Geo-Targeted Campaigns

Research Report

Pages
45
Deliverables
Released
3Q 2010
Product Code
RR-MLBS-10
Price
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The ability to geo-target advertising messages to mobile consumers continues to advance, especially as check-in services like Foursquare, Loopt, and Gowalla gain momentum and build small but influential audiences. Loopt has more than four million registered users, Foursquare more than two million, and with Facebook entering the picture, the location-based advertising (LBA) market is poised to take a leap forward.

This study examines the current dynamics of the mobile location-based advertising market: drivers, inhibitors, key players and forecasts. It also profiles consumers' opinions with regard to location and how they view location-based offers. Included are case studies of leading brands that have deployed location-based campaigns, such as McDonald's, Pepsi, and H&M. Also, a step-by-step guide is offered to marketers looking for an effective strategy for incorporating location into future mobile advertising campaigns.

What Questions Does This Report Answer?

  • What are the drivers and inhibitors for location-based advertising?
  • What are the strategic options for marketers considering location-based methods?
  • Who are the key players in location-based advertising?
  • How are consumers using location services and features from their mobile devices?

Who Needs This Report?

  • Advertisers
  • Advertising agencies
  • Mobile ad networks
  • Location technology vendors
  • Carriers/operators
  • Media and content providers
  • Mobile device manufacturers
  • Mobile application developers

Table of Contents

  • Executive Brief

  • Executive Brief: Top-Line Forecast
  • Executive Brief: Drivers
  • Executive Brief: Inhibitors
  • Executive Brief: Summary and Strategic Recommendations

Section 1.
Executive Summary

1.1. Geo-Targeting Mobile Consumers Takes Off
1.2. Market Drivers
1.3. Market Inhibitors
1.4. Forecasts

Section 2.
Framing an Effective Location Strategy

2.1. Establish Your Marketing Goals
2.2. Analyze Your Customers' Mobile and Location Habits
2.3. Develop Your Location Approach
2.4. Choose Location Partner(s)
2.5. Determine the Best Technology for Your Brand
2.6. Execute Your Geo-targeted Campaign
2.7. Measure and Refine

Section 3.
An Early and Fragmented Market

3.1. Location-Based Advertising (LBA) Offers Real-Time Targeting
3.2. Check-in Services
3.2.1. Downside: Fake Check-ins
3.2.2. Foursquare
3.2.3. Loopt
3.2.4. Gowalla
3.2.5. Brightkite
3.2.6. Whrrl
3.2.7. MyTown (Booyah!)
3.2.8. shopkick
3.2.9. Facebook Casts a Large Shadow
3.2.10. Twitter Stalks Location, Too
3.3. Navigation
3.3.1. Navteq
3.4. Geodelic
3.5. Nascent Market Struggles
3.6. Case Studies
3.7. McDonald's
3.8. Harbor Hospital
3.9. Sonic
3.10. Chili's
3.11. Pepsi Loot
3.12. Powermat
3.13. H&M
3.14. Sharpie
3.15. Molson Coors

Section 4.
Location-Based Mobile Advertising Technologies

4.1. LBA Tactics
4.2. Response Methods
4.3. Acquiring Device Location
4.4. Platforms
4.4.1. Skyhook Wireless
4.4.2. Google, Apple
4.4.3. RIM (BlackBerry)

Section 5.
Consumers and Location

5.1. Finding Locations
5.1.1. Men vs. Women
5.1.2. Smartphone vs. Non-Smartphone Users
5.1.3. Navigation Applications
5.1.4. Alerts Based on Location
5.1.5. Maps and Yellow Pages
5.1.6. Coupons Tied to Location
5.1.7. Location-based Travel Suggestions
5.1.8. Notification That Friends, Family are Nearby

Section 6.
Forecasts

6.1. Alternative Positioning Users
6.2. Location-Based Users
6.3. Location-Based Advertising Inventory

Section 7.
Future Thoughts


Section 8.
Company Directory


Section 9.
Acronyms

Scope of Study
Sources and Methodology
Notes




8 Tables
  • GPS-Enabled Handset Shipments by Value Segment, World Market, Forecast: 2010 to 2015
  • GPS-Enabled Handset Shipments by Region, World Market, Forecast: 2010 to 2015
  • GPS-Enabled Handset Shipments, US, Forecast: 2010 to 2015
  • GPS-Enabled Handset Revenue, US, Forecast: 2010 to 2015
  • Location-Based Advertising Strategy Steps, US
  • Leading Location-based check-in services, US
  • Alternative Positioning Technologies Users by Type, US, Forecast: 2010 to 2015
  • Alternative Positioning Technologies Licensing Revenues by Type, US, Forecast: 2010 to 2015
15 Charts
  • Spending Premium for Location-based Ads by Type, US Forecast: 2010 to 2015x
  • GPS-Enabled Handsets US, Forecast: 2010 to 2015
  • Spending Premium for Location-Based Ads by Type US, Forecast: 2010 to 2015
  • Frequency for Getting Directions or Finding Locations on Mobile Phone US, February 2010
  • Frequency for Getting Directions or Finding Locations: Men vs. Women US, February 2010
  • Frequency for Getting Directions or Finding Locations: Smartphone vs. Non-smartphone Users US, February 2010
  • Price Smartphone Owners Have Paid for Navigation Applications US, February 2010
  • Interest Level in Free Safety Alerts Based on Location US, February 2010
  • Accessing Location Information from Mobile Phone US, February 2010
  • Interest in Promotions or Coupons Based on Location US, February 2010
  • Interest in Travel-Related Suggestions Sent to Mobile Phone US, February 2010
  • Interest in Being Notified That Friends or Family are Nearby US, February 2010
  • Alternative Positioning Technologies Users by Type US, Forecast: 2010 to 2015
  • Location-Based Users by Type US, Forecast: 2010 to 2015
  • Location-Based Advertising Inventory by Type US, Forecast: 2010 to 2015
10 Figures
  • Screenshot of McDonald's geo-targeted McCafe campaign
  • Screenshot of Baltimore's Harbor Hospital using mobile geo-targeting for an awareness campaign
  • Sonic used Placecast ShopAlerts to drive geo-targeted SMS campaign
  • Chili's logo and screenshot of promo used with Foursquare check-in to drive foot traffic
  • Screenshot of Pepsi Loot on an iPhone
  • Screenshots of Powermat's ads on MyTown
  • Screenshot of H&M virtual goods within MyTown application
  • Screenshot of Sharpie badge on Brightkite service
  • Screenshots of Molson geo-targeted campaign during the Vancouver Olympic Games
  • An example of Google's Location-Based AdWords