The customer relies on their smartphone to make life simple, including their shopping. 

Beacons can send targeted offers to customers when they are in a store.

According to Tradedoubler’s 2014 report, 44% of consumers have used their smartphones to browse the web while in-store.

Ronan Cremin, chief technology officer for mobile and web technology experts dotMobi, believes location-based technology can be the key to engaging consumers – if it’s done right.

“An advert appearing on their phone for a local business while the consumer is out and about may be more engaging than a random advert.”

New location-based technologies are emerging that can deliver granular data about consumers or, in the case of Apple’s iBeacon, engage with consumers by sending notifications and coupons to customers’ handsets depending on where they are in the store.

However, as well as the location, information on the device is critical, Cremin says.

“Consumers demand the best user experience and a poorly optimised or rendered piece of creative content puts any potential customers in a negative mindset before they have even begun to engage with the message.”

Location-based interactions are still relatively new for consumers – the Consumer 2014 report by Retail Week showed that only 7.2% of 25 to 34-year-olds and 5.4% of 18 to 24-year-olds value personally targeted SMS offers and promotions.

However, if that personalisation can also be real-time and relevant to what they are doing at that moment, engagement will increase.

Cremin concludes: “Location-based solutions are by no means the only factor to consider when looking to capture customers’ imaginations on their phones, but can be an important part of a solution.”