My Foodtown needs Foursquare
On Monday, I attended The RealTime Report in New York. I’ve been blogging about the various case studies over the past few days, but today I’ll take a look at one of the many informative panels.
Another part of #RLTM was the panels on various real time topics. My personal favorite was “Real Time, Right Place: Getting Customers to Check In” especially since I’m conflicted about the value of geolocation social networks like Foursquare. The best observation of the day came from this discussion: Groupon deals encourage new users, Foursquare rewards loyalty. From a marketing perspective, that’s brilliant (and simple), and for a consumer like me, this clarified their use and makes it easier for me to know when and why to use them.
Adrian D. Parker, Social Media Director of RadioShack, shared their approach to Foursquare. Now, I have a Radio Shack about a mile from my house. Last time I stopped in, I needed a battery for my car key. I did use my iPhone when I was there because the salespeople were uncertain what battery I needed and how to install it. Thank goodness for the internet! However, I didn’t tweet or checkin while there. Didn’t occur to me, after all, it’s Radio Shack not a restaurant, coffee shop, or clothing store!
According to Mr. Parker, I’m in the minority. After being hired 18 months ago, Mr. Parker took a year to educate the company about Foursquare. He took a test and learn approach, starting with a limited month long campaign. From this, the company learned that
- Foursquare users spend 3 to 4 times what a nonuser spends in one visit.
- Foursquare is an excellent way for consumers to rediscover Radio Shack as they rebrand themselves as “The Shack”.
- Foursquare can be used to encourage users who check in to make a purchase.
Radio Shack also began using a Foursquare page to provide information on promotions as well as real time reports from customers at various locations. What began as a test a year ago has become a significant promotional venue to reinvent the brand, attract customers, and make sales.
Gowalla is another geolocation platform and panelist Matthew Shadbolt, Director of Internet Product & Marketing at The Corcoran Group, briefly discussed ways to use Gowalla as a marketing tool. One of the unique features of Gowalla is its trips, itineraries of various locations based on a specific subject. The Corcoran Group’s approach to home sales is that it’s not just about the home, it’s about the neighborhood. By providing helpful information about a locale after a Gowalla user checks in, this company demonstrates its knowledge about the area on a individual, more personal basis. The creation of “trips” within various neighborhoods in New York City shares with potentials homebuyers the highlights of living in that particular locale. After a user completes an entire trip, Gowalla notifies Corcoran so they can reach out to that individual to start a conversation about the experience and perhaps spark interest in one of their properties for sale in that vicinity.
Mr. Shadbolt also mentioned that platforms like Foursquare and Gowalla can be utilized by companies with no bricks and mortar presence to promote their brand. For example, when a Foursquare user checks in at Times Square, The History Channel responds with a message informing the visitor that the original name for Times Square was Longacre Square. Not only does this promote American History, it raises awareness for The History Channel and their on air offerings.
My favorites story and one I wish would be implemented in my home town was Pepsi’s partnership with Safeway and Foursquare. When a user shops at Safeway, they receive a promotion for a Pepsi product based on their lifestyle information gathered by Foursquare . For example, let’s assume our shopper is a young and visits the gym often. When they check out with their groceries at Safeway, if they’ve thrown some Gatorade in their cart, they automatically get checked in at Safeway and receive a promotion for Gaterade when they hand their Safeway card to the cashier. For Pepsi and Safeway, this initiative provides vital data about their consumers and their lifestyle and promotes more purchases. The ease of use of this approach cuts out the primary obstacles to geolocation promotions: the multiple steps a customer must go through to receive an offer and the time and effort to educate staff.
I spend a lot of time at the grocery store. This type of promotion would be the best thing in food shopping since I discovered Peapod!
Every member on the panel cautioned that social media doesn’t replace paid, targeting advertising. Formal marketing campaigns drive potential customers to earned avenues of marketing like geolocation social media platforms which promote purchases. Finally, I get how both company and consumer can benefit from social sites like Foursquare and Gowalla.
Now, to convince my local Foodtown to get on board…













I enjoyed your tweets from TWTRCON last year and look forward to reading your take from The Real Time Report. Thanks for sharing Laura!