does location intelligence really matter, today?

Does Location Intelligence Really Does Location Intelligence Really Matter… Today?Matter… Today?

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“In the mobile, always-on, highly internet-connected world…

Geography will be history: Place will cease to be a constraint for messaging …place will cease to

define a consumer”

Does 2021 Main Street Matter?

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71% will drive 15 minutes or less to

try a new provider after

moving

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81% are willing to consider switching providers

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Top Categories

pharmaceuticalgasolinegroceryinternetphone

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10% off - 45% will not travel; 55% will go 15 min.

25% off - 45% will go 30 min.

50% off - 82% will go 30 min; 40% will go 60 min.

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Unaddressed admail:

10 vs 30 minute distance to store increases action intent by 50%

Addressed Admail:

10 minute distance to store increases action intent by 20%

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How far is your consumer willing to travel?

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84% of consumers will drive 20 minutes or less

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80% of consumers will drive 20 minutes or less

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40% of consumers will drive more than 30 minutes

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Consumers prefer ads that are locally relevant

Most take action to a location specific message

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Consumer behaviour

continues to be influenced by

Location

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70%unprepared to manage the

explosion of data

50%struggling to create a single view of the

customer

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80% of business data has an address

element incorporated

Addressing is a key element for consumer

authentication

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Census demographics at address/DA

Lifestyle segmentations at address /postal code

Credit scoring requires address

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Trade areas a critical marketing decision criteria

Prospects based on homes in trade area

Many products stay at the address; or are purchased by address

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We find Geospatial analysis is often underutilized

Limited insight on market dimensions

Choose limited attributes for targeting

Consider market by structured radius

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geographic boundariesdistance radius

Structured Analysis can be limiting

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Unstructured areas - distance they will travel

Client Distance Analysis

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Distance from Store (km)

60% of customers drive 10 minutes

Unstructured analysis leverages customer behaviour

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Lost opportunityWasted message

Optimizing your marketing program

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Optimizing trade areas, a GIS puzzle

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Support franchisees’ customer acquisition targets

Focus on neighbourhoods with the greatest opportunity to acquire new customers

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Traditional radius approach offers ahigh degree of overlap

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Each store’s trade area defined by the distribution of their customers

The Yonge Street effect

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Customer profiling identified distinguishing demographic characteristics

Hhld $ 0-19KAge 25-34Dwelling Rented

Hhld $ 20-79KAge 35-49Dwelling Mixed

Hhld $ 80K+Age 50-64Dwelling Owned

A B C

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Acquisition model assigns unique score to each postal code

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Original Trade Areas New Customized Trade Areas

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Leverage GIS to Optimize customer acquisition in 3 steps

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Is there a role for trade-area location analysis and e-commerce providers?

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High Penetration Sales Low Penetration Sales

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Is there a role for trade area location intelligence and mobile marketing?

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The customer sees a custom map to the nearest retail location

The direct marketing voice, March 18 2011

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Respondent’s information is sent automatically by e-mail to agent

The direct marketing voice, March 18 2011

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Location intelligence: ShopAlerts by AT&T

Location-based opt-in platform: designed to use

mobile marketing and geofences to drive consumers

into retail locations

For consumers: receive offers, and coupons based on

their specific geographic location

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Is there a role for trade area location intelligence and social media?

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Physical and Behavioural Structured

Demo & Psychographics

Structured

Social ?? Unstructured

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Search events, unfiltered for single day

Highlights clusters, hotspots and spatial errors

esri case study

Mapping search and social activity to geography….a start

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esri case study

Density and sentiment mapping to create hot-spots by geography

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Location Intelligence

as an essential tool to drive

ROI