Beacons are among the hottest technologies in retail promising to forge a connection with shoppers in-store via smartphones, and now there's new evidence to prove that beacon deployments that complement users' preferred experiences lead to more in-store usage, brand engagement and app retention.
Interactions with advertised products increased by 19 times for users who received a beacon message and in-store app usage was 16.6 times more for users who a beacon message, according to a new report by inMarket.
App retention also benefitted. Shoppers who received a beacon message were 6.4 times more likely to keep an app on their phone, versus those who did not.
InMarket conducted a sample study of 25,000 shoppers using inMarket Mobile to Mortar (M2M) enabled apps over a 30-day period in April-May 2014. The in-store app data has major implications for commerce-driven apps as well as for retailers looking to conform their experience to the modern shopper, concluded inMarket. Users are enjoying, and keeping, beacon-enabled apps at a higher rate than apps without beacons.
"Successful geofencing improves the consumer experience while increasing engagement value for brands. With today's data release, we now have proof that consumers appreciate this value in a measurable way," said Todd Dipaola, CEO of inMarket. "They're more likely to keep apps that use beacon messaging, and they're more likely to interact with advertised products in-store thanks to beacons."
Macy's (NYSE:M), American Eagle Outfitters (NYSE:AEO) and Walgreens (NYSE:WAG) are among the many retailers embracing beacons, taking advantage of the technology's ability to directly communicate meaningful information to shoppers where it will be the most impactful.
M2M, or beacons, enables phones to recognize immediate surroundings in "smart locations" and awakens content when shoppers need it. InMarket develops beacon-capable apps.
-See this inMarket press release
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