Location-Based Marketing: 2011 in Retrospect

For anyone that follows the location-based services space, there is no doubt that it has been a big year. With several key acquisitions (Whrrl, WHERE and Gowalla), transitions (Facebook), going-out-of-businesses (Bizzy) and key partnerships (foursquare and American Express), there has been a lot to keep track of. To that end, my friend and co-author of Location-Based Marketing for Dummies, Mike Schneider, and I thought it might be useful to do a wrap up post on the best of LBS in 2011.

While Mike and I both have perspective to share (and we both include these thoughts at the end of this post) we also wanted to ask some of the other bright minds (established AND up-and-coming) for their take. So without further ado, here are some thoughts on “the best of 2011″ for location-based marketing:

Andy Ellwood


Andy Ellwood
, director of business development, Gowalla | blog
Location based anythings are quickly emerging to anythings and the ‘location based’ title is now becoming ubiquitous. As almost every device we use now includes a way to document location data, the questions of “should it include location” have been replaced with “how will it include location.” Brands that we worked with at Gowalla have spent the past two years exploring the nascent idea that their brand stories could be tied to locations and have learned how and where they want to be discovered and engaged with consumers on the go.

Jason Falls


Jason Falls
, author, speaker and CEO of Social Media Explorer
The biggest news of 2011 has got to be the Whrrl acquisition by Groupon. The possibilities of the two of these companies coming up with some sort of location/daily deal hybrid is really intriguing. Of course, I would have thought we’d see something that was the result of that marriage by now, but still … I’m excited to see what they do and thought the acquisition was really interesting. The Facebook-Gowalla thing is too, but I figure that to be more of a talent acquisition than a functionality one. But I’ve been wrong before.

Eric Friedman


Eric Friedman
, director of business development, foursquare |
blog
I am most excited about the launch of foursquare Radar – for us its the intersection of the right information to the right person at the right time and place. We created a wealth of tips and information from friends and brands, and Radar allows a way to deliver this info to someone when they are near a location they are interested in.

Eric Katerman


Eric Katerman
, co-founder, Forecast
Lots of consolidation in the checkin space last year: ebay buys WHERE, Whrrl goes to Groupon, Gowalla to Facebook. Foursquare won the check-in battle, but is checking in enough to keep users engaged? All are based on logging the past, keeping track of what has happened.

Jason Keath


Jason Keath
, founder & CEO, Socialfresh
Foursquare stands atop a pile of their broken, sold, and dying competition when it comes to check-in apps. They won the sector a year ago and have now cemented their Jean Claude Van Damme dominance. Gowalla, WHERE and Whrrl where acquired and Facebook took a big step back. Revenue channels up, partners up, business support up, user growth steady.

Instagram has the steady growl of a 56 Chevy poised to take off of the start line. They are just getting started as the photo app to beat (15 million users in 1 year) and they are only on one of the top mobile platforms. They are the future of location, while the focus of the app is image sharing, location has been built in from day one, integrates with foursquare and Facebook, and picks up photo locations better than any app.

Asif Khan


Asif Khan
– president, Location Based Marketing Association
2011 has been an amazing year for location-based marketing. Perhaps amongst the biggest moves is the failure of Gowalla, the emergence of indoor location platforms like Shopkick, PointInside and BeeMedia and the consumers’ zeal for deals from LivingSocial and Groupon. Perhaps my favorite app for 2011 is Sonar. I attend a ton of conferences and Sonar correlates check-in data from Foursquare with LinkedIn, Twitter and Facebook data about everyone else in the room, helping you network better.

Nataly Kogan


Nataly Kogan
, VP customer experience, WHERE
I think a few developments for 2011:

Consolidation of meaningful players in the check-in space. Gowalla goes bye bye because Fourquare is the de-facto check-in app. (Although I bet Instgram is gaining on foursquare in terms of being the primary client through which people check in.) Whrrl goes to Groupon earlier in the year.

WHERE gets acquired by PayPal/eBay, as PayPal announces its strategy to offer users a way to pay anytime, anywhere, including now at retail. Validation for LBS in a big way – need to offer consumers ubiquitous access to great deals when and where relevant and allow them to pay however they want.

Paul Mabray


Paul Mabray
, chief strategy officer, Vintank
For me the biggest two factors was the understanding that location layers in data was important and seeing key platforms (e.g. Instagram) including them as “texture” to every post. Despite the naysayers, location as a layer is one of the most important elements that all apps/platforms should be integrating. Another key factor is the notion that we have limited time to use LOTS of platforms (even niche ones) and tools like Sonar demonstrated that asynchronous tools could be key factors to add value without forcing the user to leverage another platform. As an example imagine a platform like Foodspotting grabbing all your food data from Facebook, Twitter, etc and using that to build asynchronous suggestions for restaurants/dishes for you. This could be applied to books, movies, music, wine and more.

My favorite apps from 2011:

  • Path
  • Instagram
  • Sonar
  • Oink
  • Up (love the concept of integrating physical objects to social and timeline)

Jill McFarland


Jill McFarland
, digital marketing strategist, restaurant & hospitality industry | blog
One of my favorite things to see this year was first Cinnabon in November and now Arby’s donating a $1 for every Foursquare check-in to a cause.

Biggest moves to me were Groupon aquiring Whrrl and Facebook aquiring Gowalla but not because of dollars or size, what made them interesting is that they were both talent and UX acquisitions.

Liz Philips


Liz Philips
, social media for TaylorMade, Adidas Golf & Ashworth | blog
As someone that’s a bit of an outsider to the LBS space, here are a few thoughts:

The integration of deals (Living Social, Buy with Me, etc.) into foursquare this past year is very interesting. Finally, a way to both aggregate deals (thank goodness, my inbox sees about twenty Groupon-like deals every morning, I simply can’t sift through them) and serve them upbased on relevancy. If the deal is relevant, obviously there is a higher conversion rate. Foursquare’s platform serves as the “pipes” for these vendors to geo-target based on previous traffic patterns. This makes a lot of sense for both sides as well as for the consumer – a win/win/win all the way around.

As for new apps/platforms… haven’t been impressed with anything enough to call out – so I look forward to reading your post! LocalMind is a great idea but without users, no traction. Same thing with Wenzani (good idea but bad execution; needs hooks to other social platforms for both content as well as syndication for sharing. Haven’t tried LOQUL. I also started using Waze for scoping out traffic on my long commute – the idea is nice (social mobile app with real-time traffic updates from other users for an optimal commute) but after a few weeks of using it, I figured out that Google Maps with traffic worked just as well.

My pick for the best location app is… Glympse – though it came out a few years ago, the app is now available on more platforms. Glympse is a location tracking app where (as they say in their tagline) you can “share your where.” Basically the app turns your smartphone into a tracking beacon and you can selectively share your moving or static location with whoever needs to know (the person who’s waiting for you at a lunch date, your parents to prove you’re REALLY at the movies and not some party, etc). Getting into the habit of simply “sharing your where” would cut down on phone calls and texts etc in the time that typically precedes an IRL meet-up.

Simon Salt


Simon Salt,
CEO, author, Social Location Marketing and CEO, IncSlingers
Whrrl to Groupon – a very bad move. Gowalla to Facebook – remains to be seen but overall the loss of Gowalla is a bad thing for the user base. The closing of Bizzy was a shame but shows that the space is probably crowded.

My favorite apps in the space continue to be GoldRun and CarZar.

Mike Schneider


Mike Schneider
, co-author Location-Based Marketing for Dummies, SVP digital incubator, Allen & Gerritsen
| blog
The coolest LBS apps of 2011:

1. LevelUp: Free cash for consumers (inverted deals) not enough? Acqusition, retention, insight and reduced interchange fees for the merchants, plus a view of behavior across locations. It’s epic.
2. Uber: Need a ride? Uber has one and you will ride in style. I call this the Trader Joe’s of transportation. You basically get your own limo driver for one ride. It finds you, it puts you in touch with a driver, you see that driver on the map, they come and get you, they take you where you need to go and the transaction happens cleanly in the background.
3. Path: OK, it’s not from 2011 technically, but Path 2.0 is like UX porn. It’s supposed to be an intimate network for just your closest friends but it turns out that it’s a pretty cool way to show people where you are and see what is happening in places. See, people only
4. Trover: No one is going to use it, but they should. On the surface it’s too close to instagram, but it’s supposed to only be the most awesome discoveries in the area. As you browse the photo stream, the icon turns from a guy walking to longboarding to biking to car to plane.
5. Forecast: These guys have future foursquare. The question is whether or not they are afraid to start monetizing. The benefits are obvious. They need a big brand to sign on.
6. Alfred: Cleversense showed us all how to do recommendation engines. It’s what Bizzy would have been if they had not spent time on the web experience.  Google agrees. They gobbled them up.
7. foursquare: Yeah #fatdenny and the gang are still cool. The radar feature is pretty fun and their integration with American Express has raised a few eyebrows. They still need a few things (like impression metrics) to be taken seriously as part of the digital (mobile) media budget, but they did win the check-in wars and they do have one of the best platforms to build on top of (just ask Forecast).
8. Timehop: Your daily dose of what you did a year ago! It’s a smile-a-day.

Aaron Strout


Aaron Strout
, co-author Location-Based Marketing for Dummies, head of location-based marketing, WCG
| blog
For me? The two biggest things I saw in location-based marketing are the hockey stick growth of smart phone ownership in the U.S. (up to nearly 50% from 30%) and Facebook’s decision to transition location from a service to a feature. What I’m starting to see is that while many run of the mill Facebook users aren’t inclined to open the app to “check in,” they are more inclined to add their location to a status or image upload.

 

Next up, Location-Based Marketing Predictions for 2012.

One Degree of Separation

Unless you live off the grid in the mountains of Idaho, you’ve likely heard of the theory of six degrees of separation. The concept made popular by the movie and the Kevin Bacon game speaks to the idea that everyone on this planet is connected by no more than six degrees of separation. And while I don’t really believe that we are separated by one degree like the title of this post suggests, I do feel like we are closer to two or three degrees than six. The problem is, when the idea of six degrees came along, there was no world wide web, Facebook or LinkedIn. Now that there is, we can start to see these connections more clearly than ever.

To illustrate my point of how small the world is (and how LinkedIn and Facebook help us see these connections), I asked the question on Google + and Facebook. Within minutes, I got some amazing responses, the most relevant of which I have included below.

    • Jeannie Walters – 1. My college roommate worked with my Chicago friend in Kansas City. Because of FB, we discovered this and the 3 of us had dinner when friend was visiting Chicago. 2. My cousin in Atlanta is connected to various business connections of mine. He is 10 years older and we have never lived in the same state.
    • DJ Waldow - Spoke with a women yesterday who say my blog post that included a video of +Jay Baer. Turns out that she lives in AZ and knew Jay back when he was Jason. Ha.
    • Damion White – When a fellow Davidson College athlete in my stats class looked over at my comp screen during class the Monday after spring break 2004, noticed my Facebook page (yes, I said 2004), and then mouthed that the girl who’s friend request I was accepting had arrived at his and her NJ HS graduation in a Rolls Royce Phantom. I asked what the hell he was getting at, and that was how I found out that one of the girls in the group from St. Johns University that we had hung out with and befriended on Spring Break in Miami was Vanessa Simmons, daughter of Reverend Run of Run DMC.
    • Elmer Boutin - On my employer’s Facebook page, we encourage people to share pictures of their kitchen remodels using our products. One person who did writes a blog. Reading that I found she was from my hometown in Michigan. I emailed her and found she lives 6-blocks away from my mom and her sisters went to high school with my brother.
    • Judy Madonna Moriarty - Absolutely! One of my FB/twitter friends in Miami (whom I’ve never met in real life but have had many on-line convos with) posted a pic of herself cheek-to-cheek with one of my oldest IRL friends from NYC who now lives in Miami. I found out later they’ve been friends for a long time. FB & Twitter are definitely shrinking the degrees of separation!
    • Alexa Scordato - How about that time you were in Minnesota and bumped into my friend Shawn Horton at the Apple Store? The three of us were only in the same location once and that was at Podcamp in Boston years ago. Super super small world!
    • Rachel Happe McEnroe - A few weeks ago two ex-colleagues, one from 15 years ago and one from 3 years ago both friended the same person on FB on the same day (close enough that it came up in my stream somewhat at the same time). Weird.
    • Mike Lewis - Yesterday someone from college reached out to tell me my Aunt is her daughter’s daycare provider. She found out my aunt and I were connected through FB… very small world.
    • Bob Blount - Friend moves to Singapore (I learn about it via one of my social sites). Time goes by, I see a post or two and wish her well. Months later… On the phone with a colleague at my company about business in Singapore. At the end of the call I say, hey if you’re ever looking for an amazing PR Professional I have a friend that lives in Singapore you should talk to. When I tell her the name she says… “no way, I just extended her an offer yesterday”. I would have never said anything had it not seen her post. #smallworld
    • Elysa Rice - I have a good one… In June a person from Social Media Club Dallas came up to me and said “How do you know Lesa R?” to which I responded “umm that’s my step-mom, how do you know her”… her response “we went to 6th grade together in Kentucky” — the Facebook birthday game is what tipped her off that we had both commented on same person’s wall.

While this might be cool, you might ask what’s the point Well, for starters, it means that you might be a little more mindful about how you treat people. You never know when your neighbor, former boyfriend, gym mate or even fellow traveler could be your next boss. Or better yet, your client. This also means that you might be careful about what/how you share on your social networks. That’s not to say that you should be paranoid to the point that you are left sharing pictures with your immediate family and best friend from high school, but rather that you might think twice next time when you decide to share that late night picture of you doing body shots. Or the picture of you with the low cut speedo/skimpy bikini on.

On the positive side, the fact that we are all more closely connected than ever before (and have the tools to see these connections) means that when you are searching for a job, a prospective employee or new customers, the first place to start might be in your own network. Whenever people ask me to help them with a job search, I suggest that they connect with me on LinkedIn and then do a regional or industry search of my connections. For one, this helps me because I can’t proactively remember 5% of the people I’m connected with at any given time (nor do I always know where they work if we’re just friends). Second, if someone is looking for a job at a specific company, they can see if the people I know are connected to the hiring manager at that company.

So what about you? Do you have a story about your (less) than six degrees of separation?