Location intelligence (LI) is a method used by companies to derive data from geographical insights. If a person has location services enabled on apps, companies can use their geographical data to target ad campaigns based on their movements.
A person who frequently visits the gym might find health advertisements pop up on their phone and gym equipment ads appear in their newsfeeds, for example.
Location intelligence does not merely look at points on the map to understand customers. It analyzes behaviors and integrates with other data channels to enable prediction and even the augmentation of buyer behaviors.
Location data is gathered from devices that have consented to share their location information and is utilised in several ways.
Data is typically used in a pseudo-anonymous manner, with analytics companies given details of the online video meeting, mobile device, recent locations, and timestamps but no other identifiable data about the customer passed on.
Businesses can then use this data to offer a personalized service to customers and provide them with the high-quality tailored experience that customers have come to expect.
This article will explore what location intelligence is and how businesses across many sectors are using this data to improve sales, supply chain, and customer experience.
Who is using location intelligence?
Four industries, in particular, are making good use of location intelligence to make better decisions going forward. These are:
The banking industry has long used location intelligence to help prevent fraud and identify customers. The insurance industry has now picked up the banner and also uses LI to help identify lost or stolen property.
Retailers, on the other hand, are using this intelligence to target customers personally. Telecommunication services can tap into every aspect of the company, from engineering to package delivery, to help customers receive a better all-round experience.
Omnichannel customer experience
‘Omnichannel’ has become the buzzword in marketing for 2021. Data analytics tools that speak to each other and integrate data are now expected to predict and pre-empt customer behaviors.
Location intelligence data is an integral part of making the omnichannel process a reality and to bring it all together companies need to be looking for staff with the right qualifications.
LI can bridge the gap between customers’ online behaviors and their offline activity. This means that companies can see a direct correlation between their online targeted ad campaigns and footfall in-store.
There are many free marketing collaboration tools to enable IT team collaboration to do this well. It allows them to understand which ads work and which don’t so they can make better decisions in the future to increase their ROI.
Targeted ad campaigns
Anyone can buy an advertising audience. Some social media platforms allow even the layman to advertise to specific people based on their characteristics. Audiences are created using location insights and intelligence; their places are analyzed alongside other data to develop an audience profile.
By using LI with RPA project assessment you can build audience profiles and a to-do list from the analytics gathered by the data.
The places we go tell analytics software a lot about the kind of people we are. For example, suppose we shop exclusively at M&S and Waitrose. In that case, we’re unlikely to be swayed by ad campaigns that guarantee us a bargain and are more likely to respond to campaigns that target exclusivity.
Higher return on investment (ROI)
Using location intelligence enables companies to do more than target ad campaigns that customers are likely to respond to. It allows them to learn more about customer habits, interests, hobbies, and so on.
When used with customer relationship management systems (CRM), the information builds an accurate persona of who customers are and how their buying habits correlate to that persona. Businesses now know the exact day to advertise to different consumers, the product they should promote, and the price range of that product in order to guarantee a higher clickthrough rate and ROI.
Like all places of business the pros and cons must be weighed up but, there is no doubt there are many advantages for both businesses and customers.
Companies utilise LI to analyze and build profiles of their customers. They use it to create profiles of their competitors too.
This massively increases competition in the marketplace. Businesses can study the locations visited by their competitor’s customers and their places before going to a competitor store and after.
This allows them to build ad campaigns designed to sway these customers to shop with them instead.
Location intelligence is an integral part of any logistics business and should be used by other companies to improve their supply chain. By using GPS and LI services, companies can track delivery routes, traffic, delays, timings, and so much more.
A call center with cloud calling solutions and has hands-on information about a package’s whereabouts is integral to improving the customer experience. There are many alternatives to Mitel that companies can use to do this. Being transparent about the shipping timeline can also improve conversions via ecommerce websites.
Many customers cite delays and poor communication as the reason they stop shopping with individual retailers. Monitoring routes and traffic allows businesses to identify trends and track faster delivery routes.
Consumer spending is ever fluctuating and keeping track of the best time to manufacture and advertise can be difficult for many companies.
Using LI allows businesses to see which customers want which products and in which location. This means that retailers can target manufacturing and product lines or even open new shops based on location-specific data.
Far from being intrusive and voyeuristic, LI helps companies to build meaningful and lasting relationships with customers. Brand loyalty used to exist in the plastic bag that had your preferred shop logo on it. Nowadays, brands establish loyalty by delivering well for customers time and again.
Customers like to feel valued, and there’s no better way to show them this than by tailoring your services and products to their personal needs and shopping habits. This makes them believe you are invested in them, and they are more likely to invest in you in return.
LI helps businesses to build personal profiles of each customer and craft a stronger and more enduring relationship.
With the outbreak of COVID-19, health services and businesses alike recognize the importance of location services in tracking health and infection rates. The new normal in most office spaces will enable location tracking of anyone who visits the building via their mobile phone. This allows businesses to see who has come and gone and who they came into contact with while visiting.
This is important for staff wellbeing and the management of the office environment. It’s also essential for public health bodies who need to trace contact in the event of another pandemic. Location services look set to infiltrate every avenue of life and will become more integral to businesses in the future as a result.
Location intelligence is vital for businesses to remain competitive and to succeed in the future. It inspires brand loyalty and provides insights into customers and their behaviors that will be the driving force for developing products and services moving forward.