GeoSmart Weblog

Just another WordPress.com weblog

Group Deals and Bricks and Mortar Business

The number of one day deal sites in New Zealand grows every day. There are dozens of them and many of them now have a separate site for each region with deals for experiences, dining, accommodation, attractions and activities. This is great for bargain seekers, but doesn’t necessarily do a lot for bricks and mortar businesses.

There are scenarios where they have value, for example if a business has very large volumes of aged stock that they need to quit. It can also be useful for new businesses to make customers aware they exist. They also come at a price. The more powerful the site, the more they charge with fees being anything up to 40% of the sale of each item.

If you want to attract new customers to your bricks and mortar store, then obviously you want a coupon or something that needs to be taken to the store for redemption. Even if you are quitting aged stock, there may be advantages in getting people into your store in the hope that they will purchase other products while they are there. There are also benefits to both the customer and the retailer in not having the time, packaging  and distribution costs in delivering product to the buyer. More on this in future blogs, looking at check in applications as opposed to group deals.

A study by Rice University found that  32% of businesses surveyed who used Groupon for promotions said they were unprofitable and 40% said they would not do it again. A major issue cited in the research was cannibalising existing business. Mashable quoted a statistic that less than 20% of people who purchased deals where they had to go to a store to redeem them, returned subsequently to buy full priced product.

So the question which I will come to in upcoming blogs is how to get people into your store at quiet times and more often. I believe the answer is in locations based services such as check ins and proximity based marketing. I welcome your experience or opinion on this.

Advertisements

July 21, 2011 Posted by | Business Tools, Check Ins, Delivery, Distribution, lbs, location based services, proximity based marketing, Retail Profit, ROI, Uncategorized, university | , , , , , , , , , , , , | Leave a comment

2011 Rugby World Cup

The Rugby World Cup in Auckland is just over a year away and GeoSmart is looking forward to the opportunities that come with it. As New Zealand’s premier location-based services (Mapping) company there are many areas that we will be looking at. These include:

  • Cartography. We produce many printed maps. These include map books for Wises and the NZ Automobile Association, as well as several travel atlas products for various organisations such as the New Zealand Motor Caravan Association, which includes locations of Points of Interest of unique interest. We also produce custom maps for many organisations ranging from hotels to regional tourism organisations.
  • Car Navigation. GeoSmart is the provider of map data and Points of Interest for the leading brands including Navman and TomTom. Many people coming from overseas will be able to use our map data to find the venues, accommodation, attractions, parking, bars and much more for the Rugby World Cup, making their trip stress free. We also now offer real time traffic to car navigation which would be great if you are trying to get to a venue close to kick off.
  • Real Time Traffic. We built and manage the new AA Traffic service. This service provides information on traffic incidents that might interfere with people getting to the match on time.  We do this with a number of services including subscription alerts via Email and Text Messaging, which can be found on the AA Traffic website. Traffic is also shown on other AA websites, Roadwatch and AA Maps. Real Time Traffic is also of course available on your car navigation product such as with Navman.
  • AA Maps website. This website is the perfect site for local and overseas travellers. A significant proportion of web traffic to AA’s websites come from overseas and this includes AA Maps. People are guided here with links from affiliated motoring associations around the world as well as people looking for services such as driving directions. This is a great site for people planning their routes, looking for other things to do while they are travelling, where to stay, where to eat and drink and where to have some fun and adventure.
  • Mobile Applications / Location Based Services. We are working with several companies who are developing applications for smartphones such as iPhone and Android. When your mobile knows where it is, it becomes easy to use GeoSmart’s highly accurate data about New Zealand roads and points of interest to add value to people touring New Zealand following the rugby tournament.
  • Web Mapping. Many companies use GeoSmart’s web mapping tools in their custom environments. Examples may be found on our home page. If you are looking to add maps, points of interest and turn by turn directions to your site, we would love to chat with you about how we can help.
  • Carbon Friendly. This has become a very important topic and one that we are committed to supporting. We are able to support concepts such as Eco-Routing, in effect, finding the route that uses the least fuel and carbon waste. Our RAPIDcV has been continuing to drive all of New Zealand at around 15cm accuracy, not only getting an accurate road centreline but also measuring the road’s inclination and even the camber of corners on the road. This highly accurate data allows us to support organisations focused on sustainable eco friendly policies.
  • Multi-modal routing. We have been developing solutions supporting the ability to guide people through various means of transport from foot to motorised. This includes situations where one trip might include different forms of transport. Rugby fans might use a combination. For example, they might drive to a carpark, then use public transport, finally walking from there to the match venue via restaurants and bars. Each transport medium has its own set of rules. For example a person walking, doesn’t need to worry about one-way streets and may be able to take advantage of short cuts through arcades etc, to get to their destination.

Whilst the Rugby World Cup may be over a year away, GeoSmart is working closely with our partners to assist them in achieving their goals, through the use of our data, web services and API’s and other products. If you would like more information, you will find our contact details here.

March 7, 2010 Posted by | AA Maps, car navigation, carbon footprint, cartography, driving, driving directions, geosmart, GIS, gps, iphone, lbs, location based services, map tools, maps, Mobile maps, navman, new zealand, real time traffic, route optimisation, Rugby World Cup, satnav, Sport, tomtom, Traffic | , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , | 1 Comment