Beacon Technology and Proximity Marketing in Retail Stores

Indian Retail market until recently was looking for 4 conventional P’s that would help them to swing their business in full motion. These includes – Product, Promotion, Price and Placement. But from now onwards a new P has managed to make its stable room within these. And this game changer is Proximity Technology.

Proximity Marketing has unlocked a new door in the Retail world. Be it India or abroad, Location-based marketing is steadily making its place in the business world.

Retail world with the use of Beacons

Retailers with the help of “Beacons” can push appropriate advertisement content to customer’s smartphone based on his/her location in the retail outlet. The future prospect of beacons will be discussed, but let us go through its feature and let’s check how beacon can interact with applications in smartphones.

beacon technology

Beacon Technology

Beacon use radio waves to transmit signals to the smartphones in a short range up to 70 meters by using Bluetooth Low Energy (BLE) technology. It accesses a CRM database to get a detail report of the customer profile and hence can send customized offers judging the past buying behavior of the customer.

The customer needs to install the apps of the retail in their Smartphone and keep the Bluetooth ON to receive the offers. It can range from Promocodes, Couponcodes, Gift vouchers, Discount offers and Product information.

Beacon Engagement Facts

Proximity sensors can engage your customer for a long time and provide a great shopping experience for your customers. Understanding the previous shopping experience a more personalized discount offer or promotion voucher can easily be sent.

Use Cases in “in-Store Retail”

Consider these scenarios mentioned below and discover how beacons can help increase in-store customer engagement and provide insights to drive sales.

Beacons installed counter can help feed data for instore analytics. It gives perfect research result for the products bought, displayed product, the launch of new product and stock clearance report generation.

Data can also be collected based on the stores visited by the customers, products having a good sale without any discounts and products are not getting many sales with good offers and discounts.

After the purchase is made by the customer, a loyalty program can be sent to the customer that can benefit him in his future purchase and help him to stick to the retail shop. With the installation of the apps, the customer can share feedback and avail redemption offer sent as notification.

Thanking the customer for shopping, discount vouchers or codes for future purchase or codes they can share with friends and families can be sent. This will again be an attempt to encourage sales.

Marketing Cost: Traditional Marketing VS Proximity Marketing?

With strong competition from the online sellers, brick-and-mortar retailers are looking for innovative methods to share promotional offers with buyers.

The Recent recurring cost of Retailers for advertisement are like printing pamphlets, advertise through big and bright hoardings, Television Advertisement and many more! Use of Beacon Technology can be a suitable yet inexpensive tool that can offer best promotion 24/7. It is free from any random maintenance. The only investment you have to make is to buy batteries that too last for 2-3 years.

Data Speed in Beacon Technology

Beacon device uses Bluetooth Low Energy (BLE) technology for proximity marketing, so customers are not in need of any internet access. They just need to use Smartphone with Bluetooth option, and they should keep it ON. For the retail outlets normal 2G and the 3G connection are just enough for proximity marketing using the beacon technology. In addition to this, more and more users are getting accessed to the internet every day and 4G is about to blast the market, so there should not be any annoyance caused by lack of speed.

Outcomes and Benefits of Beacon Technology

Beacons has already been implemented by a plethora of retail giants. Apple, Coca-Cola, LORD & TAYLOR, Levi’s, Virgin Atlantic, MACY’S are some of the beacon’s clients wherein beacons have been successfully implemented and where shoppers are enjoying benefits.

Our Recommendation for Beacon usage

Beacon Technology is accelerating in India. Retailers should look at embracing this technology to create a proximity environment to get an early player advantage and increase business before the opposition catches on.

India is to become the second largest smartphone market in the world by 2017. Users are sure to lap up data services in smartphones with the proposed low rate of 4G net service. This makes smartphones a tool for omnichannel marketing of retail products.

So don’t stay behind, run the race of success.

Beacon Technology: Both Bluetooth and Wi-Fi Helps to Increase the Retail Potentiality

The Retailers now a day is thinking to extend beyond retail. The retailers are in turn thinking of extending their potential beyond their stores. These demands of the retailers are increasing the use of Beacon Technology. The beacons are mainly a low cost device that is easily available. They are portable enough to be used anywhere in the stores. The only thing that allows easy access to beacon messages is a Bluetooth enabled device.

Bluetooth and Beacon Technology:

Bluetooth facility helps the beacon technology to enable the process of transmitting messages through the wireless network. Bluetooth is also very user friendly without unnecessarily draining out the battery of the phone. With the help of Bluetooth Beacon technology it also helps the Retailers to provide location based payment solution as well as shopping facilities.

beacon technology

Bluetooth vs. Wi-Fi:

Although Beacon messages can be transmitted by both Bluetooth and Wi-Fi enabled devices but there are some basic differences between the two.

The Wi-Fi network does not requires any permission from the customers unlike the Bluetooth system. The Wi-Fi once turned on by the customers constantly gives location information about the customers. The Wi-Fi network gives much more accurate information the customer’s physical location than the Bluetooth enabled devices. Wi-Fi gives much more accurate proximity detection. Wi-Fi also does not require any extra app to install unlike Bluetooth, which requires various extra app to be installed that provide information about the customer’s physical location.

However the Retailers can use both Wi-Fi as well as the Bluetooth to get a fruitful result.

Much Beyond Retailing:

  • Beacon with Bluetooth have potential much beyond retail. For instance the Bluetooth Beacons help the educational institutes to collect information about their students, faculty etc.
  • Beacons in the airport or railway station can provide information about departure or arrival, delay, or about passenger’s details.

 

In Store Retailing and Beacon Technology:

Beacon technology has made the shopping experience much more exciting than before. In-store retail and payment process or procedures are the two primary objectives that the Beacon Technology looks into. The Retailers transform flash messages, offers and discounts to the customers by this beacon technology. The payment process with beacon has become much more easy and smooth.

The customers are also knowledgeable enough now a day. They also do research work about a product or a brand before purchasing the same. To know the Customer’s Behavior and the Shopping habit the Retailers need to update themselves with certain information like;

  • What are the things the customers are buying the most
  • What are areas that are being explored more than the others by the customers?
  • What type of contents is attracting more customers?
  • How much time the customers are spending time in the store?
  • With whom the customers are visiting the store?

beacon technology

Type of Messages Transferred by Beacon:

Beacon technologies transmit the following messages through Bluetooth;

  • How the retailers are working?
  • What the retailers are planning for their customers?
  • What are the upcoming and ongoing discounts and offers?
  • Messages from the event organizers
  • Messages from the transit system
  • Messages from the enterprises
  • Messages from the educational institution

Beacon Technology: Increasing Potentiality of Your Retail Business

Customers in today’s world are much more tech savvy. The customers now are much more knowledgeable about a brand, price and offers. So the Retailers must need to update themselves accordingly.

The introduction to digitization in the Retail business is one such attempt made by the Retailers to meet their hi-tech customers. Beacons are however not a new device to be used. The beacon technology has made the retail process much easy and swift. Beacons have made shopping much easier and swift than before.

beacon technology

Changing Trends in Customers Making new innovation in Retail Business:

The brick-and-mortar store although seems to play a dominant role in the retail business but the taste of the customers are changing at a fast pace. So to keep parity the beacon technology is playing an important role and it also has enormous potential to ease out the problems being faced by both the customers as well as the store owners. This new technology helps the store owners to make themselves knowledgeable with the shopping habits of the customers. It also helps in keeping a track on the staffs so that they can improve themselves and can act accordingly with the changing taste of their customers. This helps to retain the old customers and as well as attracts the new one.

How to make the Beacon Technology fruitful?

The retailers using the Beacon Technology can increase their potentiality beyond their shop. Beacon help the retailers to understand and reward their customers and this in turn helps in building a stronger relationship with them. To make the beacon technology a successful in the retail industry the customers need to be educated and knowledgeable about this new technology. The retailers need to educate their customers regarding this beacon technology.

The placing of and using of the beacon also plays an important role to increase the efficiency of the beacon technology. The beacon can be placed anywhere but it must be kept with the noticeable range of the customers. The beacons can be placed in front of a window so that every passerby can have a glance into it, it can be placed in a bus stop, street adverts, railway stations to guide the people (customers) to the specific shop without letting him or her to go anywhere else.
beaconsWhat Qualities make Tickto Beacons the most potential one?

  • The Tickto beacon provides the customers with the most relevant advertisement and helps them to take decision more easily.
  • The latest innovation of beacons by Tickto had increase the potentiality of the Beacon Technology by increasing the signal firing speed to 100 millisecond on the contrary most of the beacon works at a signal of 600 to 700 millisecond.
  • Another advantage of the Tickto beacon is that the frequency of the beacon can be increased or decrease according to the promotional requirement or according to the customer’s footfall at the stores.
  • Tickto beacons are all battery powered which also has an advantage by making the device to be easily deployed in the store.