The way you decide to pick a bar or restaurant to frequent may soon change (and has already begun) thanks to location based technology. According to Business Insider, mobile-local ad campaigns for casual dining restaurants outperformed campaigns without location targeting by a factor of two or three. Check out the video below which will help you better understand location based advertising if you are unfamiliar.
According to Millennial Media, 61% of Retail and Restaurant Brands utilized location-based targeting in their campaigns. Two-thirds of them being restaurants. Check out the infographic below.
As of May of 2013, there were 770 million GPS-enabled smartphones. This number will only continue to grow as time goes on and marketers won’t be able to avoid this opportunity. If they choose to ignore it, they will fall behind in foot traffic as well as sales. The chart below displays click through rates for banner ads based on consumer location radius.
I predict a high rise in location based advertising for bars and restaurants to promote their daily specials, send coupons, special offers, etc. Services like Groupon and Living Social may soon be a thing of the past and companies may resort to their own means of location based advertising with a farther reach and higher frequency. Companies like ClubTexting may soon be the new trend. Check out the features this particular company offers below:
- Post signs around the bar that say “Text [keyword] to the number 25827 (212121 in Canada) for a free shot!” Patrons can show the auto-reply message to a bartender to redeem.
- Run a contest where people that subscribe to your texting list can win a $20 bar tab or a free private party during a sports game of their choice.
- Send out a text message to subscribers on a rainy evening, offering free appetizers to anyone that shows their text by 10pm.
- Add our customizable signup widget to your website, Facebook page, and email blasts.
- Already have a list of opt-in numbers? Upload and import them with a single click.
If I were to receive a text / offer while out with friends highlighting specials or a coupon for a free drink at John’s Bar a block away, I’d be highly inclined to stop in. What are your thoughts on this type of advertising? Have you received any offers that drove you to a bar or restaurant?