PROXIMITY MARKETING FOR ENTREPRENEURSHIP

Accelerate your business with these expert tips "Proximity marketing for entrepreneurship". Analyse and discover this TIP!

Proximity marketing is a a marketing technique that allows businesses to connect with consumers in real time and in their immediate environment, via mobile devices such as smartphones and tablets. It is a strategy that is particularly effective for start-ups looking to attract local customers and increase the visibility of their brand in the local market.

TACTICS

Here are some tactics that start-ups can use to apply proximity marketing:

1. Geolocation: uses the user's location to send personalised offers and promotions to their mobile device when they are near your business.
2. Mobile advertisements: places ads on popular mobile apps and websites to reach users who are browsing online near your location.
3. QR codes: uses QR codes on print advertising, brochures and other marketing materials to direct users to a specific landing page on your website.
4. Bluetooth and Wi-Fi: uses these technologies to send messages and promotions to users' mobile devices when they are in your location.
5. Augmented reality: create immersive and engaging marketing experiences by integrating augmented reality into your proximity marketing tactics.
6. Social networking: use social media to engage with users and post relevant content related to your location and local community.

In short, proximity marketing is a highly effective marketing technique for start-ups looking to attract local customers and increase their brand visibility in the local market. Using geolocation, mobile ads, QR codes, Bluetooth and Wi-Fi, augmented reality and social media, start-ups can connect with consumers in real time and in their immediate environment to offer personalised offers and promotions.

Success stories in proximity marketing

There are several success stories in proximity marketing, here are some of them:

1. Starbucks: The popular coffee shop chain used proximity marketing to promote its Frappuccino drink in Singapore. They created an augmented reality campaign where users could scan QR codes in Starbucks shops to unlock special games and discounts. This strategy resulted in a significant increase in Frappuccino sales.
2. American Eagle Outfitters: Clothing brand American Eagle Outfitters used proximity marketing to offer discounts and special promotions to customers in the vicinity of their shops. They used geolocation technology to send push notifications to the mobile phones of users within a close radius of the shops. This resulted in increased traffic and sales in the physical shops.
3. IKEA: The famous Swedish furniture brand used proximity marketing to promote its catalogue. They created an app that allowed users to scan the catalogue pages to view videos and additional content related to the products. They also used augmented reality to allow users to visualise the furniture in their own home before purchasing. This resulted in increased customer engagement and loyalty.
4. McDonald's: The fast food chain used proximity marketing to promote its burgers. They created an app that allowed users to scan McDonald's billboards to unlock special offers and discounts. They also used geolocation technology to send push notifications to users who were near McDonald's shops. This resulted in a significant increase in burger sales.
5. Sephora: The popular cosmetics retailer used proximity marketing to promote its products and services. They created an app that allowed users to scan products in shops to view detailed information and make-up tutorials. They also used geolocation technology to send push notifications to users who were near the shops. This resulted in increased sales and customer loyalty.

Practical examples of the application of proximity marketing in start-ups

Here are some examples of how proximity marketing can be applied in new businesses:

1. A clothing shop uses beacons (proximity signalling devices) to send promotions and discounts to customers in the vicinity of the shop. In this way, they can attract potential customers passing through the area and offer them incentives to enter the shop.
2. An organic food company uses QR codes on its products so that consumers can scan them with their mobile devices and get information about the ingredients, origin and production method of the food. They also offer exclusive discount coupons for customers who use this feature.
3. A tourism company uses a mobile application that uses geolocation to send recommendations of nearby places to tourists visiting a city. In addition, they provide detailed information about the recommended places and exclusive discounts for the app's users.
4. An event company uses RFID technology to allow attendees to access additional information about activities and exhibitors at a trade show or conference. Attendees can use their mobile devices to scan RFID codes and get real-time information about what is happening at the event.
5. A cleaning services company uses QR codes on their business cards so that potential customers can scan them and get information about the services they offer. In addition, they offer exclusive discounts for customers who use this feature when contracting their services.

These are just a few examples of how start-ups can use proximity marketing to reach their customers in an effective and attractive way. Proximity marketing is a technique that uses the geographic location of the customer to send advertising messages and promotions to their mobile device. This technique has become popular in recent years thanks to the increased use of smartphones and the availability of technological tools that allow its implementation.

The following is a case study of how an entrepreneur can apply proximity marketing in his new business:

1. Identification of the target: the entrepreneur wants to increase the visibility of his new clothing shop in a central area of the city.
2. Platform selection: the entrepreneur decides to use a proximity marketing platform that allows him to send advertising messages and promotions to the mobile devices of passers-by in the city centre.
3. Creation of the message: the entrepreneur creates an attractive advertising message that invites passers-by to visit his clothing shop and offers a special promotion for those who come to the shop.
4. Definition of the zone of proximity: the entrepreneur uses the platform to define a proximity zone around his clothing shop. When a user is within this zone, they will receive the advertising message on their mobile device.
5. Launch of the campaign: the entrepreneur launches the campaign on the proximity marketing platform and waits for passers-by to start receiving the advertising message on their mobile devices.
6. Analysis of results: the entrepreneur analyses the results of the campaign, including the number of people who received the message, the number of people who visited the shop and the sales generated by the promotion.

With this case study, the entrepreneur can use proximity marketing to increase the visibility of his new clothing shop and attract more customers. Moreover, he can measure the results of the campaign and adjust his marketing strategy accordingly. Proximity marketing appears with the distribution of advertising leaflets in commercial areas. It is by no means new, but the advent of new technologies has given it a big boost. Modern proximity marketing revolves around the mobile phone and brings enormous advantages for the advertiser. 

If your business consists of a physical business open to the public, this TIP is of interest to you as we are going to give you useful tips to increase both customer traffic and sales quickly through proximity marketing. Most of the activities that we are going to talk about fall into the strategies of sales promotion (+) We recommend you to read it in order to have a better understanding of the clear vision of what you can expect from sales promotions.

What is proximity marketing?

Proximity marketing is a tool that helps entrepreneurs to boost their sales in a local environment and at a specific time. It involves the use of communication tools, mainly mobile phones. 

What are the characteristics of proximity marketing?

• ProximityCommunication is generated in a context of proximity between the potential customer and the advertiser.
• Speed: is a key factor for the success of proximity marketing.
• Segmentation based on customer location.
• It seeks to increase customer traffic and impulse sales.
• Momentum: advertisers can launch their campaigns at a time that suits them best.

The current boom in proximity marketing emanates from the technological options of smartphones. Bluetooth, Wi-Fi signals, segmented SMS or geolocation tools, applications or websites capable of offering different content depending on the time or location of the customer or QR codes. It is therefore a mode of communication, in which the The advertiser does not take into account anything other than the customer's location and the specific time. The customer decides on his or her interest in the offer. 

In any case, it is a tool that offers important advantages for entrepreneurs who need to make themselves known quickly: 

• Firstly, the cost is affordable. None of the proposals involve large budgets.
• The advertiser is completely autonomous in defining the mechanics of the actions.
• It is a flexible tool that allows permanent actions to be carried out during specific periods of time.

It is up to the creativity of the entrepreneur to make effective use of proximity marketing.

GEOLOCATION-BASED TOOLS:

Geolocation makes it possible to carry out actions of marketing taking into account the exact location of the user. The objective is to transmit relevant and accessible information to customers. The actions usually consist of discount promotions for those who click on the establishment. Foursquare,  Facebook Places, Google My Business, Yelp o Zomato are excellent examples of geolocation marketing: promotional or discount actions for users who check-in at a hotel or go to a restaurant. 

In the case of Google My Business, it is a free application that allows any user to locate your business and access the information you have included in your listing. It also allows you to upload photographs. It is advisable to carry out an analysis of the tools available on the Internet to encourage customer traffic to your new business and, consequently, sales.

Google Ads: Google is the most important search engine and the one that more and more people turn to for their leisure, shopping or restaurant searches. This is why it is an excellent way to make yourself known. It is a paid but very effective system to advertise your business on the web. If you link your Google My Business account to your Google Google Ads you will be able to display your ads with location extensions. These extensions encourage customers to visit your business.

THE BLUETOOTH

There are tools that allow you to act directly and completely autonomously in the market. This is possible thanks to technologies such as Bluetooth Hot Spots or Bluetooth emitters that send multimedia content and applications to nearby mobile phones (10 metres). This system allows you to obtain statistical information on downloads, types of phones with which you have established a connection, most accepted content, ranges of time of use, etc. 

Redbull has been running campaigns to give out coupons for discount distributed via Bluetooth with excellent results. This system has the disadvantage that it only accesses devices that are within range of the transmitter and only if they have Bluetooth activated. However, it is true that it is a very economical system.

TWO-DIMENSIONAL CODES

They are direct relatives of the barcode but have a much higher information storage capacity. There are several types of two-dimensional codes: QR code, DataMatrix, Bidi. QR codes are the most widely used and are a tool that can be used to achieve a variety of objectives, from purely informative ones, such as redirecting to websites, museum guides, to promotional ones: discounts, surprises, gifts, etc. They are also used to manage online shopping.

As you know, QR codes are used, for example, to host restaurant menus, which once downloaded remain on the phone for as long as the user wishes. We can also use it to to divert traffic to our website or to support discount actions or any other promotional mechanics.

RADIO FREQUENCY SYSTEMS

RFID (Radio Frequency Identification), is a remote data storage and retrieval system using devices called RFID tags, cards, transponders or labels. The fundamental purpose of RFID technology is to transmit the identity of an object (similar to a unique serial number) by means of radio waves (Radio Frequency Identifier). This requires that, the user carries an RFID device (the telephone handset itself incorporating this type of technology) that interacts by proximity with an emitter.

Although its applications are mainly for management in the retail business, it offers the advantage that the customer can access stock information, sizes, colours of a specific reference and can pay with their mobile phone without having to take the product out of the basket.

NFC (Near Field Communication), technology based on very short distance communications (no more than 10 cm), and with the appropriate security protocols, allows devices to authenticate against each other and to validate transactions. This technology is used for making payments, checking in at hotels, transferring smart business cards, etc.

OTHER EXAMPLES OF PROXIMITY MARKETING:

DISTRIBUTION OF LEAFLETS

The traditional handing out of flyers in shopping areas is still an effective way to win customers. It is a The communication form is old but should not be considered outdated. A good delivery person performs a segmentation task that automated systems do not allow. Sex and age are the two main variables easily identifiable in the profile of any person. On the other hand, the leaflets areThey can be media that inform about a certain service and at the same time can offer some kind of promotional advantage, as well as identifying access to web pages, etc. They can even include QR codes that provide further information.

CONNECTION TO WIFI NETWORKS

Offering free wifi connection to customers at points of sale is a major marketing tool that allows companies with premises open to the public, retail shops, bars, cafés and cafés to promote their products and services and also to attract new customers. It consists of provide a Wifi connection service incorporating the possibility of communicating specific promotional actions.

Euskaltel offers Wifi connection in the main points of the Basque cities but, in order to access the service, you must be a customer of that company andMoreover, download an application that is then used to broadcast advertising and promotional messages.

Bwise offers marketing systems design and implementation services based on Wi-Fi technology. Use your own customer traffic in your business to increase your advertising and sales. This system optimises connections, captures databases and impacts customers with the to increase their spending or recurrent purchase throughout the year.