Beacon advertising and marketing is a proximity advertising and marketing technique that makes use of Bluetooth Low Power (BLE) beacons to ship focused messages and promotions to close by cell units. The objective of beacon advertising and marketing is to offer a personalised and contextualized expertise to prospects, enhance engagement, and drive gross sales.

It’s essential to notice that the expertise of beacons is totally different from geofencing. Beacons are usually not supposed to trace the placement of particular person customers, however slightly to offer contextual and personalised experiences to customers who opt-in to obtain them. As well as, customers have the flexibility to disable Bluetooth and opt-out of location-based providers in the event that they select to take action.

Beacons themselves have no idea the precise latitude and longitude of the cell units and even the opposite beacons round them. As an alternative, beacons transmit a sign that comprises a singular identifier, which is picked up by the cell system inside its vary. The cell system then makes use of this identifier to find out its proximity to the beacon, however not its actual location.

The cell system then makes use of this sign to find out its location and set off an motion, comparable to displaying a notification or launching an app. The vary of a beacon can fluctuate relying on its energy and atmosphere however usually ranges from just a few toes to as much as 300 toes.

Well-liked platforms and {hardware} for beacons embrace Apple iBeacons: It is a proprietary protocol developed by Apple and is supported on iOS units. iBeacons are extensively utilized in retail shops, museums, and occasions. There are a whole lot of different gamers available in the market, most using Altbeacon, an open-source protocol developed by Radius Networks and supported on each iOS and Android units. AltBeacon is commonly utilized in enterprise environments and has a extra prolonged vary than different beacon protocols.

Proximity Advertising and marketing Use Circumstances For Beacons

By offering personalised and contextualized experiences to prospects, retailers can enhance engagement, enhance buyer loyalty, and drive gross sales. Listed below are just a few examples:

1. Customized promotions: Retailers can use beacons to ship focused promotions and coupons to prospects when they’re close to particular merchandise or sections of the shop. For instance, a buyer searching within the shoe part could obtain a notification for a reduction on footwear.
2. In-store navigation: Beacons can be utilized to offer indoor navigation and wayfinding to prospects inside a retailer. This can assist prospects discover particular merchandise and departments, enhancing their buying expertise and decreasing frustration.
3. Product data: Retailers can use beacons to offer prospects with extra product data when they’re close to a product. For instance, a buyer can obtain particulars concerning the materials, care directions, and buyer opinions of a product when they’re in shut proximity to it.
4. Loyalty applications: Retailers can use beacons to reinforce their loyalty applications by providing rewards and incentives to prospects who go to the shop steadily or make purchases. For instance, a buyer who visits the shop 5 occasions in a month could obtain a particular low cost or reward.
5. Queue administration: Beacons can be utilized to watch and handle buyer site visitors inside a retailer. Retailers can use this data to regulate staffing ranges and enhance the shopper expertise throughout busy intervals.
6. Cellular funds: Retailers can use beacons to allow cell funds and contactless transactions. Clients will pay for his or her purchases by merely tapping their cell system on a beacon-enabled point-of-sale (POS) terminal.

Beacons have gained vital reputation within the retail business over the previous few years, with many retailers implementing beacon expertise to enhance the shopper expertise and drive gross sales.

The worldwide beacon expertise market dimension was valued at $1.14 billion in 2020 and is anticipated to develop at a compound annual development charge (CAGR) of 59.8% from 2021 to 2028. The report cites the growing adoption of beacon expertise in retail and different industries as a key driver for this development.

Grand View Analysis

Main Retailers Utilizing Beacons for Proximity Advertising and marketing

Main retailers which have carried out beacon expertise embrace Macy’s, Goal, Walmart, Walgreens, and Kroger. These retailers have used beacons to reinforce the in-store expertise and supply prospects with personalised presents, in-store navigation, and cell funds.

Commercials

1. Macy’s: Macy’s has carried out beacon expertise in its cell app to offer prospects with in-store navigation and personalised presents. The app can information prospects to particular merchandise inside the retailer and ship notifications for gross sales and promotions when prospects are in shut proximity to a beacon.
2. Goal: Goal makes use of beacon expertise in its cell app to offer prospects with personalised suggestions and presents when they’re in-store. The app can even information prospects to particular merchandise and supply details about product availability and value.
3. Walmart: Walmart has carried out beacon expertise in its cell app to offer prospects with in-store navigation and personalised presents. The app can information prospects to particular merchandise inside the retailer and supply details about product availability and value.
4. Walgreens: Walgreens makes use of beacon expertise in its cell app to offer prospects with personalised presents and proposals when they’re in-store. The app can even information prospects to particular merchandise and supply details about product availability and value.
5. Sephora: Sephora makes use of beacon expertise in its cell app to offer prospects with personalised suggestions and presents when they’re in-store. The app can even present prospects with details about product availability and value, in addition to assist them find particular merchandise inside the retailer.
6. Kroger: The biggest grocery retailer in america makes use of beacon expertise in its cell app to offer prospects with personalised presents and promotions when they’re in-store. The Kroger app makes use of beacon expertise to ship push notifications to prospects when they’re close to a selected product or division within the retailer, informing them of related presents and promotions. It additionally robotically pops up their loyalty card barcode at check-out!

And it’s not simply retail. Venues are additionally using beacon expertise!

Levi’s Stadium Concessions – Levi’s Stadium options practically 17,000 Bluetooth beacons that followers can use to search out their seats, the closest restrooms, and concessions. Paired with the Levi’s Stadium app, guests may even have meals delivered proper to their seats. In seven months, the app acquired 183,000 downloads with a 30% adoption charge — and a $1.25 million enhance in concession income.

CleverTap

Beacon Proximity Advertising and marketing Platforms

You don’t should develop your individual answer to include beacons into your cell software and retail outlet. There are a number of beacon software program as a service (SaaS) platforms accessible that enable companies to simply deploy and handle beacon expertise. These platforms usually present a web-based dashboard that permits companies to watch and handle their beacons, create and handle campaigns, and monitor consumer engagement and analytics. Listed below are some well-liked beacon SaaS platforms:

1. Kontakt.io: Kontakt.io is a number one supplier of beacon expertise and presents a web-based platform that permits companies to handle and monitor their beacons. The platform offers real-time analytics, marketing campaign administration instruments, and integration with third-party platforms.
2. Estimote: Estimote is one other well-liked supplier of beacon expertise and presents a cloud-based platform that permits companies to handle their beacons and create proximity-based experiences. The platform offers real-time analytics, marketing campaign administration instruments, and integration with third-party platforms.
3. Flybuy: Flybuy is a big supplier of beacon expertise and options as effectively. When a buyer is available in shut vary or enters the enterprise, Flybuy Notify makes use of Bluetooth expertise inside the SDK to have interaction with prospects and promote in-app experiences, together with particular promotions or loyalty rewards. 
4. Gimbal: Gimbal is a complete location-based advertising and marketing platform that gives beacon expertise, geofencing, and analytics instruments. The platform permits companies to create personalised experiences for his or her prospects based mostly on their location and conduct and offers real-time analytics and insights.
5. Cisco Areas: Cisco Areas is a cloud-based platform that gives beacon expertise, Wi-Fi, and geofencing capabilities. The platform offers real-time analytics, marketing campaign administration instruments, and integration with third-party platforms.

Learn extra examples and think about a few of the use circumstances at CleverTap, who supplied this nice overview infographic, Utilizing Beacons for Proximity Advertising and marketing.