Personalized customer experiences are critical for brands to connect with their customers.
A cluttered digital landscape has created consumer immunity to impersonal mass-marketing. Today’s consumers are empowered by connectivity, instant gratification and messages that speak directly to their needs. The traditional “4 P’s of Marketing” just don’t cut it anymore without the necessary 5th – Personalization! So, how does a brand figure out how to do that? Good news – location data enables personalization.
Marketers strive to deliver personalized experiences to their consumers. However, a recent eMarketer report shows “93% said they weren’t getting any relevant marketing communications, and almost as many (90%) were annoyed by irrelevant messaging.”
Furthermore, a whoping 44% of survey respondents said they would switch brands if they received better, more personalized content. Brand loyalty has clearly shifted in today’s mobile world as consumers expectations continue to rise.
“In an era of information overload, consumers appreciate brands that give them signal rather than noise,” said Andrew Lipsman, eMarketer principal analyst. “But few brands have enough first-party data to consistently deliver the personalized experience that most consumers crave. Many will need to up their game or risk turning away their customers over time.”
Brands offering the best customer experience are set up to win.
With everything on-demand, from shopping, to Alexa, to traffic and travel, brands and marketers don’t have time for trial and error. As a result, those who offer the best customer experiences will rise above the competition.
To do this well, brands and businesses need to have a deep understanding of their customers behaviors, environments and engagement triggers. It’s essential to really knowing who your customer is, what they want, how they ingest content, and what drives them to act on it. Otherwise, brands are stuck with the proverbial “shot in the dark” marketing efforts. In that scenario, ROI isn’t on your side.
How can brands get personal?
Location data is the key element to personalization, because it gives brands the ability to understand their consumers and reach them with relevance and timeliness. Where we go is a reflection as who we are. So, location data gives brands the advantage of understanding who their customers are by knowing where they go. An accurate representation of a consumer’s human movement uncovers the insights needed to deliver personalized messaging, offers and content that resonates.
Here’s an example:
Subway is the largest QSR nationwide, with nearly 25,000 locations in the U.S. compared to almost 14,000 McDonald’s. This is attributed to a few key factors: Subway can operate in smaller real-estate without a drive-through, has lower startup costs compared to other QSRs and flexible site-selection criteria. Plus, America clearly loves footlongs!
However, the gap between brands is closing, as Subway closed 1,100 restaurants in 2018. The high number of locations led to lower average unit volumes, making it difficult to cover operations and maintain profitability. As a result, Subway needs to adapt to more health-conscious, tech-savvy customers and deliver a personalized brand experience.
How can location data help Subway regain optimal profitability and drive more foot traffic?
1. Understand the behaviors of customers at each location.
Get a full picture of where your customers go and what they do. Understand, and how the behaviors and preferences of audiences vary by location so you can deliver the personalization they want, both in app and through targeted digital ads.
2. Understand foot traffic and dwell times of customers at each location.
Know how often customers come in, how long they stay and frequency of return to assess operational decisions, loyalty programs and in-location offerings. As a result, you will maximize your offers, redemptions and marketing costs.
3. Understand the competition.
Know foot traffic patterns and loyalty levels at competitor’s locations. Use these insights to attract new customers and win back your former customers. As a result of knowing what your competition is doing, and what’s working, you gain the advantage of maximizing your offer effectiveness and redemption rates.
These are just a few of the many insights location data can provide. As Subway applies location data to their personalization and profitability goals, they will have clear insights to make critical business decisions and resonate with their customers throughout the customer journey.
LOCALLY’s precise, location-based audiences can get you there.
LOCALLY offers anonymous location based audiences across hundreds of POI categories and branded restaurants, QSRs, retailers, auto dealerships and more. Deploy our precise and accurate audiences to to get the 5th “P” of Personalization into your ongoing marketing efforts. As a result, you better engage your customers and boost your ROI.
Buy and activate our audiences directly through LOCALLY Discover, or through our leading marketplace partners, PushSpring, LiveRamp and Lotame. Get in touch to learn how we can help you get personal with your audiences.