Why Retailers Should Use Location-based Advertising on Thanksgiving Day

With Thanksgiving Day just a week away, approximately 25% of U.S. consumers are planning to hit the store on that day. Gigantic retailers such as Macy’s, Best Buy, and JCPenney are welcoming these shoppers by opening their doors for the first time on this holiday this year.
 
And while these retailers will rack up enormous sales on this year’s Thanksgiving Day, stores nearby can also benefit from this shopping spree through location-based advertising. By using location-based ads, businesses can achieve the following:
 
  1. Improve targeted-advertising

    By using location-based advertising, retailers can display their products or services to a consumer group that is most likely to be interested in their offerings. For instance, a retailer can use location-based ads to entice male consumers between the ages of 18 and 35 who are currently in a sports apparel store to visit their nutritional products store. This enables the retailer to cater their advertisements specifically for this consumer group. Moreover, by using location-based ads, retailers can engage with consumers are who already in a shopping mood. Instead of going through the tedious process of first creating brand awareness and then arousing purchase intention, location-based advertising enables retailers to target consumers who are currently shopping and are looking for products to buy. This ultimately eliminates additional advertising costs associated with creating purchase intentions.

  2. Enhance geo-targeting

    Aside from retailers, other businesses can also benefit from location-based advertising on Thanksgiving Day. Restaurants in particularly, can gain tremendously. By using location-based advertisements, restaurants can target consumers who are nearby their stores during noon or evening to encourage them to dine at their stores. This allows the restaurants to offer their foods and services when they’re most likely to be well-received.

    In addition to retailers and restaurants, businesses in the entertainment sector can also profit from geo-targeting ads on Thanksgiving Day. A theatre for instance, can showcase mobile ads to consumers who are dining at a nearby Pizza Hut and spark their interests in wrapping their long, tiring day with a humorous or thrilling movie.

  3. Reduce advertising cost

    Since location-based apps such as FourSquare are connected to other social networks such as Facebook and Twitter, retailers can seize this opportunity to broadcast its brand or promotion digitally. All they have to do is offer a discount to its consumers and encourage them to share the promotion to their Facebook friends or Twitter followers. This enables the restaurants to surpass other advertising channels (e.g. newspaper ads and AdWords campaign) and economically disseminate its offering to hundreds or even thousands of consumers. Moreover, this enables retailers to heighten their chances of luring consumers as shoppers are more likely to be convinced by their peers than by a typical company advertisement.

 
With the holiday season on our way, businesses are trying vehemently to boost its revenue before this year wraps up. Companies can surely do so by using location-based advertising as this form of advertising enables retailers to showcase customized ads to entice specific consumer groups at the right place and time. This in turn will help retailers convert more sales right before the exciting year of 2014 begins.