Carrefour app engagement grows 600% with beacons

Carrefour's mobile app has always helped shoppers find new stores and check prices, but following the addition of beacons, the retailer saw app engagement grow 400 percent "virtually overnight."

The international retailer launched its app in 2012 and launched a test using beacons in partnership with Swiss interactive agency Pixels Trade and beacon provider Kontakt.io. The team deployed 50 beacons at a single store in Tunisia in October 2014, according to a Kontakt.io blog post.

The program added features that included welcoming the shopper upon entering, suggesting products based on purchase history and delivering coupons. In seven months, the number of app users grew by 600 percent and time spent interacting with the app increased by 400 percent.

The goal, according to Kontakt.io, was to enhance the customer experience, boost engagement and increase sales. But Carrefour is also leveraging proximity technology's ability to track shoppers as they traverse the store and determine what order they visit different departments in, all in efforts to find new ways to grow loyalty.

"The success and numbers not only went beyond anything the retailer could've dreamed up, they showcased the difference between a proximity-enabled application and one without," noted the Kontakt.io blog post.

"Knowing exactly where their customers are, retailers are able to reach shoppers and offer them deals when it matters," Trevor Longino, Kontakt.io head of marketing and public relations, told Mobile Commerce Daily. "The difference between offerings that are made right in front of the store or in it, and those sent elsewhere, is stunning.

"Based on information collected in Kontakt.io white papers like our recent publication on Howler.at, we've seen that conversion rates are more than 16 times higher than traditional mobile advertising when context and proximity are factored in," he said. "There is literally no other marketing channel that enables brand engagement with customers and boosts revenue quickly and inexpensively."

Beacon's promise does in indeed burn bright, but it also has limitations, and the approach to finding value beyond delivering discounts remains mostly unclear. While the Carrefour test may have rolled out at a single store far outside the United States, it reveals ways in which retailers can grow loyalty and engagement beyond a coupon.

For more:
-See this Kontakt.io blog post
-See this MobileCommerceDaily story

Related stories:
McDonald's tests beacon technology in Turkey, U.S. restaurants
In-store app usage 16x higher with beacons
Walgreens launches iBeacon pilot
Regional grocers light up stores with beacon tests
Are beacons ready for their close up?

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