How Beacon Marketing Drives In-Store Connections—and Sales

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Proximity marketing is helping some retailers gain an edge in consumer engagement and sales.

With footfall in malls dropping, retailers can’t afford to let shoppers to leave stores empty handed. To capture in-store sales, some apparel brands and malls are turning towards proximity marketing tools, including beacons, to gain insight on shopper behavior and establish more personalized experiences. By sending messages direct to phones in the area, stores can grab shoppers’ attention and sway purchasing decisions. Furthermore, ABI Research predicted that 400 million beacons will be implemented in brick-and-mortar locations by 2020.

The Beaconstac, the proximity-based marketing company, published a list of top 25 retailers that were succeeding in beacon deployment. The list spanned many retailer categories, including clothing companies, shopping centers and high streets.

Brick-and-mortar retail areas, including Meadowhall Shopping Centre in Sheffield, U.K., Hammerson malls in Europe and London’s Regent Street stores currently have beacon-enabled apps to send consumers discounts, event invitations and personal shopping recommendations.

With beacon-enabled apps, brick-and mortar retail areas can tap into their consumer’s needs while staying digitally relevant. All three shopping locations were in the top five spots of Beaconstac’s proximity marketing list.

Apparel brands, including American Eagle Outfitters, Macy’s and Urban Outfitters also scored well for beacon deployment. American Eagle, which earned the 11th spot, is collaborating with shopping app Shopkick to deliver rewards to consumers that visit and shop at their brick-and-mortar locations. Over the holiday season, Macy’s (ranked # 9), implemented a beacon-triggered mobile app game in its stores to provide consumers the opportunity to win gift cards and other prizes. Urban Outfitters, who nabbed the 10th spot, also installed beacons in its main city stores and correlated them with its Urban On loyalty program.

(Related on SJ: Why Online Conversion Rates are Higher Than You Think)


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