Monday, September 30, 2013

Welcome to the Age of “Microfencing”

Welcome to the Age of “Microfencing”

microfence

Location Based Marketing

Location based services (LBS) have traditionally relied on geofencing technology that is based on satellite (GPS), or cellular network triangulation technologies.  These location technologies were designed for outdoor applications such as maps and navigation, and are not as accurate when the user is indoors.
With the use of geofences, brands, retailers and publishers can deliver push notifications or SMS messages when the mobile shopper crosses the geofence to pull traffic into nearby stores. However, crossing a geofence while driving or riding a bus doesn’t necessarily mean that the user had the intent to visit a store and shop. Thus, these notifications run the risk of not being relevant, and may turn into an annoyance.
In fact, statistics show that unwanted push notifications are one of the most common causes of mobile app deletion.

The Microfencing Mindset

Mobile sensing technologies such as wireless sensors (beacons) can now create a more accurate and narrow geofence indoors called a “microfence.” A microfence can be limited to a store, or certain areas in a store such as an end cap. When mobile shoppers enter a store and cross a microfence, they receive instant notifications that are much more contextual and relevant. Marketing messages used in this capacity have been shown to increase average purchase value and engagement.

Who’s In My Store?

Microfences can solve one of the big problems faced by brick-and-mortar retailers — the inability to know who is in the store until the shopper pays at checkout. Online retailers like Amazon have the advantage of being able to engage with the customer through the path to purchase (i.e., from login to checkout), by providing recommendations and offers relative to past purchases.
Netclearance Systems has developed a solution for brick-and-mortar retailers in the form of a mobile sensing technology that brings the personalization and user recognition of an online shopping experience to physical stores. Using a customer’s mobile device, Netclearance gives retailers and brands the opportunity to provide relevant, real-time and location based messages such as promotions, product information and customized deals that increase the likelihood of conversion.
So don’t wait for your customers to wander into your store. Get off the fence and give Netclearance a call to set up a product demonstration.