Proximity marketing is any system that utilizes location technologies to directly communicate with customers via their portable devices. Uses of proximity marketing include distribution of media at concerts, information, gaming and social applications, retail check-ins, payment gateways, and local advertising. Proximity marketing isn’t one single technology, it can actually be implemented utilizing a number of different methods. And it’s not limited to smartphone usage. Modern laptops that are GPS enabled can also be targeted through some proximity technologies.
- NFC – The location of the phone may be determined by near-field communications (NFC) enabled on the phone connecting to a RFID chip on a product or media. NFC is the technology deployed for Apple Pay and other payment technologies but doesn’t have to be limited to payments. Museums and monuments, for instance, can install NFC devices to provide tour information. Retail outlets can deploy NFC on shelves for product information. There’s a ton of marketing opportunity with NFC technology.
- Geofencing – As you move with your phone, your cellular connection is managed between towers. Text message marketing systems can utilize your location to push text messages to only those devices that are within a specific region. This is known as SMS Geofencing. It’s not a precise technology, but it can be useful to ensure your message is only sent to the target audience you need at the time you want.
- Bluetooth – Retail locations can utilize beacons that can connect to your smartphone. Typically there’s a mobile application that enables the technology and permission is requested. You can push content through Bluetooth, serve local websites from WiFi, utilize the beacon as an Internet access point, act as Captive portal, offer interactive services, and operate with no Internet connection.
- Mobile Browser – Internet-enabled device with coordinates enabled by the user via mobile browser. Visit a company site on your mobile device while you’re in proximity of a location, and you can geotarget dynamic content to that individual – whether or not they’re on your Wifi.
- Wifi Hotspot – If you’ve ever logged into an airline connection or even a Starbuck’s, you’ve witnessed dynamic marketing content that’s pushed directly to the user via web browser.
Choice Loans has developed this infographic as an overview of Proximity Marketing for small and medium-sized enterprises (SMEs):