May
Location Based Services: The Future of Online Marketing
Location based searches have changed the playing field for social media marketing and mobile marketing. The ability to tailor ads and search results to a user’s current location vastly increases response rates, meaning that companies receive greater ROI and that they can better understand their customer base, providing services that cater to the target audience’s needs and wants. Basically, if a mobile user on 5th Avenue in New York wants to find a Thai restaurant, he can receive localized search results that not only show him what restaurants are nearby, but also which ones are currently offering coupons or specials.

Location based services don’t stop with search results. They can be used to track a user’s routines and preferences so that the ads that appear on his mobile device match his interests, increasing his likelihood of responding to those messages. In addition, the social networking giants are beginning to incorporate geo-location based messaging into their operations, meaning that users can see information such as where their friends posted from, where pictures were taken, and which of their friends might be posting nearby.
The ability to view a user’s location and to monitor his movements has some people concerned about privacy. That’s why companies such as Twitter require opt-in programs before enabling location based services on your mobile device. It’s left up to the individual whether he wants to give up his privacy in order to receive a service. Location gurus postulate that if the incentives are great enough (e.g., if people receive enough satisfaction from the advertising, subsidized calling plans and other services offered) then they will voluntarily allow their locations to be tracked. That’s good news for businesses that want to offer localized pricing and sales information to audiences. If your mobile activity indicates an interest in fashion, you’ll be able to find your favorite stores and see what sales are taking place, all from your mobile phone.
One of the biggest splashes in the LBS pond took place when Google recently received a patent for its location based advertising. The patent gives Google the corner on the market for a rapidly expanding service and could mean that other companies will be forced to curtail their geo-location based ads. However, strict patent enforcement could mean damage to Google’s overall reputation and costly legal battles. In any case, Google now has an advantage over its rivals and a reason to buy up small competitors.
We have only just begun to tap the potential of the geo-location based services. As the technology advances, users can expect to see new services becoming more and more tailored toward their preferences and greater ability to connect with friends in the same area.
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Hello,
First of all, i do web marketing too
The only thing that makes me curious is the ability to view a user’s location and to monitor his movements. Privacy issues?
Rest assured, online marketing will rule.
Hey, interesting article. I agree, I’ve noticed a lot of new location based ads appearing over the past 6 months and don’t think this will slow down anytime soon. With many people have smart phone’s now, location based marketing can be so much more effective.
Racheal @ Kermit Costume´s last [type] ..About Us
It’s been a long time coming but there should definitely be some marketing that is tailored to where everyone lives. There is no point in having marketing for something that is hundreds of thousands of miles away from where you live, it’s not a lot of good to you or your friends.
This is the time where the small local business will have a place on google search results. This will be the time that small business will have a presence online compared before that only bigtime business can only have.