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Adding Game Mechanics and Location To Loyalty Cards

Following on from my last blog Adding Location to Loyalty Cards, an area that I feel is really important is game mechanics. One of the problems with loyalty cards is that they are inherently boring and there are lots of them. We live in a world of constant distraction and we want instant gratification. However that gratification doesn’t have to be a free air ticket or turbo food processor with Ginzu knives. It can be as simple as points or recognition and applications today need to evolve as the public become more tech savvy on their mobiles.

What is game mechanics and how is it relevant? Playing games is part of who we human animals are. Games are a natural part of entertainment and education, whether it is a child doing its first jigsaw puzzle, or the All Blacks heading into a rugby match at that international world competition for a cup. Yes, ultimately no matter how passionate we are about success, Graham Henry and the NZRFU themselves said “It’s just a game.”

Games are immensely popular and computer and mobile  offers massive revenue potential. Gartner predicts that the global video game industry on its own will generate revenues of over US$112 billion by 2015. That doesn’t even take into consideration mobile. Application developers have been all over Facebook, now on Google+ and on devices such as iPhone, iPad and Android and now developers of smart location based games and marketing applications are heading the same way.

Developers are looking to use our interest and passion for playing games to influence the behaviour of consumers and it is working. One obvious area is in the retail, travel, tourism, attraction, hospitality and entertainment industries. Of course as I have outlined in many recent blogs, loyalty is a key aspect that all of these industries are looking for, or in other words, profitable repeat business.

So what aspects should a loyalty application include. A major one is achievements. I’ve talked about reward and that rewards don’t have to be tangible items. A reward can be points such as the points used by Foursquare when you check into a location. They also have badges and mayorships which are either the reward itself or their may be special deals or offers made to those people who come in regularly. The new Tap City game allows you to earn virtual dollars for checking in. One of the great things about group loyalty operations is the ability to cross market, for example using a passport concept where the more locations you check in to, the more rewards you get.

The appointment dynamic is extremely powerful. This is where you want people to do something at either a predetermined time or an ad hoc time. For example a restaurant that is always quiet between 3PM and 5PM on a particular day of the week might offer incentives within the application to get more business at that time of day. The concept I like the most, is pushing deals when you have inventory you want to use in a hurry. An example might be the special of the day in a restaurant where you haven’t sold as much as you catered for. The classic story I often use of a jet boat that is going out in 20 minutes with 5 empty seats. This is a perfect opportunity to push a deal to people who are close by and have opted in to be offered deals. The cost differential between having 4 or 9 passengers is negligible but the fun and entertainment factor of 9 people screaming as the boat does a 360 degree spin is significantly greater for all, including the 4 who paid full price. There is also a potential dynamic of more people seeing them having fun and therefore wanting to have a go themselves. The same could apply to any attraction, like the luges in Auckland and Queenstown.

Queenstown Luge

I can come up with a hundred concepts for different types of locations for cafe’s, restaurants, attractions, theatres, travel, accommodation, entertainment, retail, sport, tourism and so can you.

I will continue this blog next week with more thoughts on game mechanics or gamification that you might like to consider in your location based application. Remember, GeoSmart has all the data and tools you ned to make these ideas possible and whilst we don’t develop these sorts of applications ourselves, we have many partners who are keen to assist you if you want to take advantage of the opportunities now possible because of the large number of people using location aware mobiles. The question is how much extra business would you like?

Maybe you would like to join the discussion and leave a comment of your own to add to the mix?

September 23, 2011 Posted by | Check Ins, foursquare, geosmart, iphone, lbs games, location based services, Mapping Applications, Mobile maps, new zealand, proximity based marketing, Retail, Retail Profit, Rugby, Rugby World Cup, Sales, Uncategorized | , , , , , , , , , , , , , , , , , , , , , , , | Leave a comment

Using Location in Loyalty Cards

Loyalty cards haven’t fundamentally changed the way they do business for many years. There are the fans and the people who actively look for deals, but most of the people we have spoken to recently have said that the time they realise there is an opportunity is when they are at the checkout and the cashier asks if they have their Fly Buys or whatever card. This obviously is not generating increased sales or revenue.

There are huge opportunities for loyalty cards to exploit location with the large number of people now using Smartphones fitted with GPS. Effectively a Smartphone application can therefore identify when a card holder is near a store or participating retailer and can potentially be offered a deal using push technology. We are hugely spoiled for choice these days as retailers flock near each other to try to win your business. For example, if you go to AA Maps and do a search for ‘Hardware Albany’ you will come up with 48 results! That’s a huge range of options in one area within around a 5km radius.

Albany Homes Owner Occupied 70% or Over

A large number of these retailers spend a lot of money on advertising in newspapers, magazines, letter box drops, eDm’s and much more. Many of them are involved in loyalty card programs which provide additional opportunities for targeted marketing. These are all very expensive media and the approach uses often sophisticated targetting using demographics tools, such as GeoSmart’s BIonaMap discussed in a number of our blogs such as this one using demographics for a lawn mowing franchise. By understanding what your target market is, you can identify the best place to locate your store and which areas are best for letter box marketing. Of course success requires that your target market is open to buy and looking for your product.

If a consumer is looking for a lawn mower and your mailer arrives in their letter box, there is the potential that they will visit your store, but how often do they buy lawn mowers and how often do they read your mail drop? The example illustrated here shows homes where the owner occupancy is 70% or greater, a perfect target for DIY sales using BIonaMAP from GeoSmart.

In coming blogs I will post examples of how a loyalty card smartphone application using GPS location could integrate with retail Point of Sale systems, inventory management and really understand what a customer is looking for, sending meaningful offers to consumers when they are looking for product and are in proximity. If you make things easy for customers and have a meaningful relationship with you, they will buy your products over your competitors products, but to effectively do that, you (your technology systems) really do need to understand who your customers are and what their needs and interests are. They want to give you their money and it isn’t necessarily about special pricing.

Where should you start? Probably by asking what your loyalty card company is doing about proximity based marketing and check ins (which we have discussed frequently on this blog). GeoSmart is keen to support local loyalty card companies and application developers and we are convinced that there are huge opportunities to really bring in serious retail profits and the opportunity to develop genuine loyalty relationships. Who wants an unfair advantage? If that’s you, why not contact us?

Feel free to ask questions here or to leave a comment. Bookmark this page for upcoming blogs on how a loyalty card company can use this technology to help their partners win more business.

September 19, 2011 Posted by | Business Analytics, Check Ins, geosmart, gps, new zealand, proximity based marketing, Retail, territory management, Uncategorized | , , , , , , , , , , , , , , , , , , , | Leave a comment

GPS Car Navigation for Rugby Tourists to New Zealand with Global iPhone and iPad First

There’s a world championship event going on in New Zealand right now with rugby teams competing for a major cup. Many of the tourists who have arrived in New Zealand or are coming over for the rugby matches have iPhones and or iPads. They may be staying in Auckland or the region the national team they are supporting is based and don’t want to buy a complete car navigation device or a map set for the whole country when they are only staying for days or weeks.

The thing with the iPhone or iPad is that it is one of those ubiquitous devices that you keep on your person and navigation isn’t necessarily just about being a driver. It might be about being confident that the way the taxi is taking you is the quickest, or how do I get to the Fan Zone or Rugby Stadium or perhaps one of the REAL NZ Festival events.

MetroView Systems Pty Limited from Australia has come up with an excellent solution using GeoSmart car navigation maps and Points of Interest data, called MetroView NZ City. Because they are a local (Australasian) company, they are nimble and were able to come up with a product well suited for the rugby tourist, or in fact any tourist visiting New Zealand. Of course there are many Kiwis who don’t need all of New Zealand either, but a real key opportunity is that if you are only coming over for days or weeks. NZ$9.95 for true GPS car navigation on a device you already own is great value. That’s less than the price of 3 cups of coffee!

The application, which you can buy from the Apple Appstore has all the Points of Interest a rugby fan is looking for, but lots of great features around the iPhone and iPad as well. For example you can listen to and control your music and podcasts right from within the application using the iPad/iPhone button. If you have appointments (with an address)  in your mobile’s calendar, you can navigate directly to them, the same applies to your contacts list. Your music will automatically mute if there is a navigation instruction.

It is likely that the concept of buying maps for a single city will become more common in other countries but you saw it here first in New Zealand with GeoSmart data and MetroView software. Of course it isn’t just about the rugby, it is full car navigation with the features you are used to using. If you are planning a visit to New Zealand and want to find your way around on your iPhone or iPad, check out this product. I think you’ll find it very useful.

And all the best to your team, I hope they do really well, maybe even second if you’re not supporting the All Blacks;p

Metroview NZ City

September 14, 2011 Posted by | Auckland, Australia, car navigation, driving directions, geosmart, gps, iphone, location based services, map tools, maps, Mobile maps, new zealand, new zealand maps, Rugby, satnav, Uncategorized | , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , | Leave a comment

Consumers are Checking In to Retail Stores

In my previous blog I pointed out that that retailers were not adopting strategies for check in location based marketing. In the blog prior to that I quoted Comstat research that shows that in the first 3 months of this year 16.7 million people check into locations using Foursquare and similar applications, representing 7.1% of the total mobile population. I don’t know what the statistics are for New Zealand, but I suspect the numbers are somewhere between 5 and 7% of the NZ mobile user population.

Comstat also came up with some interesting statistics about the demographics of those users.

Firstly a lot of people think this is technology for men, that they are the geeks, but of course women love to shop, they are social shoppers and as the graph shows, there are in fact more women than men checking in!

The predominant age group should be no surprise, we would expect 18-44 year olds to be the most tech savvy and of course having disposable income for Smartphones which are the predominant mobile used for check ins. Again from Comstat for the first 3 months of this year in the USA Android pipped Apple at 36.6% to 33.7$ of devices used for checking in.

The largest group of users were in full time employment 46.6% and the second largest at 23.3% were full time students.

Just as a footnote to my blog on Group Deals and Bricks and Mortar Business there was an interesting story in eMarketer a couple of days ago. The story contained statistics that from research by Cooper Murphy Copywriters in July this year, 82% of Groupon users expressed dissatisfaction with the level of repeat business they generated from their campaigns and 49% would not use them again. This is interesting when many companies use daily deal type promotions to introduce new customers to their stores.

Of course you know where I am going with this series and that is that Location or Proximity Based Marketing offers far more compelling tools for retailers and other destination businesses to entice people into their premises. Obviously a fundamental component of that is not just how to get them to come to you, but how to get them there when you want them and to have them purchase or consume products or services that achieve your goals. For a retailer that might be those same products you were quitting on a daily deal, but like the Auckland superette owner who has been selling milk at 10 cents below cost as a loss leader, part of the strategy behind that is the opportunity to merchandise other products those same people will buy with a healthy profit margin. If you have an aged stock problem, location based marketing can get people into your store and while they enjoy the low price of your distressed inventory, put something at eye level in from of them that increases the profit of your sale. Cherry pickers do not make you profit.

Likewise if you have a cafe or restaurant, don’t just offer a free coffee with $5 worth of food. Offer it only at times when your business is empty and not to the people who were coming in anyway, they are dealt with using your normal loyalty program. Of course loyalty marketing is also very important and fits into location, but you’re going to have to come back to a future blog for that.

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August 11, 2011 Posted by | Android, Auckland, Business Intelligence, Check Ins, competition, Distribution, foursquare, iphone, lbs, location based services, map tools, Mapping Applications, Marketing, Mobile maps, new zealand, proximity based marketing, Retail, Retail Profit, ROI, Sales, software, Uncategorized | , , , , , , , , , , , , , , , , , , , , , , , | Leave a comment

Support for Mobile Location Based Apps in New Zealand

Are you developing applications for mobiles such as iPhone, Android or Windows Phone 7? Do they have a location aspect to them? If so, we would like to help and perhaps partner with you.

We have the only fully driven road centreline of all roads in New Zealand and a range of web services and API’s designed to help you with your application development. No maps aren’t all created equal and while overseas companies offer maps of New Zealand, if accuracy and quality is important for your application you might like to read on a little.

The New Zealand road network was originally designed in Scotland in the 1800’s. Many of the roads were never constructed, but they have a legal status and are known as Paper Roads. These roads have a legal status and therefore exist to some degree on traditional map datasets used by many mapping companies. This of course produces many problems when it comes to providing turn by turn driving directions, whether that is in car navigation or in an application that provides directions.  Imagine driving at night or in bad weather and being told to turn right into a farm paddock or perhaps through a farm gate.  If your application is providing linked directions from A to B and part of the sequence doesn’t make sense, you have a problem, Houston.

GeoSmart has many web services and API’s and good developer documentation including examples and tutorials on our Developer Page. I won’t go into detail here because you can find them there. It is also worth having a look at our flagship website which is AA Maps. AA Maps uses many of our tools, most of which can also be used on a mobile, for example:

  • Search for street names and numbers, places, Points of Interest
  • Proximity Search
  • Turn by turn directions from A to B to C (and the ability to swap the order and recalculate)
  • Real Time Traffic Incidents
  • Search for Points of Interest by category
  • Terrain View
  • Reverse Geocoding (finding the nearest address to a set of coordinates)
  • Route Optimisation

There is no cost for a Developer Agreement and we have a number of commercial models based on the opportunity. If you are developing an application that is location based in New Zealand, we would like to help and we know New Zealand best because we have driven every public road and many private roads in the country.That’s why when companies such as TomTom, Navman, NZ Automobile Association to name a few, who are not prepared to compromise on quality and accuracy come to us. To see more sites developed using our API’s and Web Services, check out the Showcase sites on our home page for some examples.

if you are looking at building location based apps of any sort, for browser or mobile, contact us now so we can discuss how we can help.

October 8, 2010 Posted by | AA Maps, AA Traffic, Auckland, car navigation, driving directions, geosmart, gps, iphone, lbs, lbs games, location based services, map tools, Mapping Applications, maps, Mobile maps, navman, new zealand, new zealand maps, proximity based marketing, real time traffic, route optimisation, Route2GO, social networking, software, tomtom, Traffic, Uncategorized, Web Map, web maps | , , , , , , , , , , , , , , , , , , , , , , | Leave a comment

A World first with TomTom on iPhone

New Zealand is the first country in the world to get TomTom car navigation on iPhone and of course it is using the latest GeoSmart Maps.

Whilst the penetration of iPhone in New Zealand isn’t huge, the timing is perfect, in a competitive market with Telecom’s XT network and the new models of iPhone now being available. The new laws about not using hand-held mobiles fit perfectly too as there is a new accessory available which is in effect a TomTom car kit, comprising a windscreen mount which allows you to also use your phone in hands-free mode.

TomTom has taken advantage of the accelerometers in iPhone. Simply flipping the phone to it’s side, the application will run happily in landscape or portrait mode, which is also supported by the car kit. The car kit includes a speaker and microphone, external GPS (so it can even work with iPod touch) and it can connect to your car stereo system.

August 16, 2009 Posted by | car navigation, driving, driving directions, geosmart, gps, iphone, maps, Mobile maps, new zealand, new zealand maps, satnav, tomtom, Uncategorized | , , , , | 2 Comments

What Tools Do You Need to Develop a Mobile LBS Application Part 4

A key component and possibly the second highest webmap query on the Internet is for Driving Directions and this has even more relevance in a mobile scenario. Driving Directions is a key point of difference for GeoSmart in New Zealand. In many other countries, the government provides free or low cost map data of a very high quality and suitable for car navigation and other purposes. In New Zealand this isn’t the case. The LINZ maps are the official datum for cadastral property boundaries. However, their road centreline is derived by a computation of the property boundaries.

As I’ve previously mentioned, New Zealand was town planned in Edinborough in the late 1800’s and many of the roads they draughted were never formed or constructed. They are known as paper roads. These roads exist on paper and on the LINZ map data used by services such as Google Maps, but they physically don’t exist. An example is Threepwood Road in Otago. If you have a look on the hybrid mode of satellite view and map view on Google, you will see that while the road exists on the map data, it physcially isn’t there in the satellite photography. This would cause a real problem if you wanted to go for a drive on it.

When GeoSmart discovered this problem and realised that, while it didn’t matter a lot for printed maps where you still have to analyse the data and make a decision on where you drive yourself, practically speaking, if you used either car navigation or a printed set of directions and couldn’t see a map as such, paper roads could cause a lot of confusion and grief. With LINZ having the only full maps of New Zealand, we decided we had to make our own maps. To do this we drove almost every road in New Zealand and also used a lot of Orthophotography to develop a driven road centreline, eliminating all paper roads and at the same time creating an accurate road centreline.

While collecting this data, we were also able to collect information such as the intersections controls (roundabouts, traffic lights etc), turn restrictions (one way streets, no left turns), speed zones, whether the road was sealed, accuracy of street signs and much more. We were even able to establish things like the angles of corners and inclination of roads (how steep they are etc).

This enabled us to build the car navigation dataset used by all the major brands including TomTom, Navman, BMW, Ford, Siemens VDO etc. It also allowed us to create sites like AA Maps and provide the API’s used on Wises web site. Now you can go to AA Maps, plan your journey and print out turn by turn directions from anywhere in NZ to anywhere in NZ and be confident that the instructions will work.

So, from there to your mobile. The Directions Web Service will work on any device that can identify a start point and where the user wants to go. The User Interface is up to the developer  and will probably vary from phone to phone because of its controls and screen size. For example a touch screen such as that on the iPhone or Windows Mobile, would have functionality closer to a web page, whereas a phone without a touch screen would have to function differently. That is really just a design issue, not a significant barrier.

If your phone has GPS or the ability to use cell tower triangulation, it will know where it is. But it is also possible (if you know) to tell your mobile where you are and where you want to go This could be an address you want to get directions to, or it could be Points of Interest from our POI Web Service mentioned in Part 2 of this series. Once you know the start and end of your journey, you can use the Directions web service to guide people directly to your desired location.

So now you can have turn by turn directions delivered to your phone. This could be send as an SMS with text directions, it could be an MMS combining text directions with an image of the route map, or an image zoomed in to your destination, or it could be information in your mobiles web or WAP browser, with enanced functionality.

Here’s the thing. If you are at home or in the office, you can use your PC, but it is of no use to you in your car or away from the computer. You may not know where you are going to want to go until you are out on the road. An LBS application with the Directions Web Service can give you the same freedom, without the necessity of interpreting a map, or more commonly the map isn’t there when you need it. Pick up the kids, meet someone for coffee, find your way from the car park to the show. All easy to do with LBS.

Just as a footnote, a few days ago a 62 year old woman set of from Christchurch to her  home on the West Coast of the South Island. She didn’t arrive and her friends and family spent a couple of days searching for her after she crashed her car down a 5 metre embankment. She was eventually found but the story could have been very different. She may not have been found at all, or not until it was too late to save her life, or she could have been found very easily. If she had a mobile with GPS, after she had been reported missing, if the phone was within coverage, it could have been called and located using an LBS service using GeoSmart tools and her searchers could have had turn by turn directions on their mobiles, right to the spot where her car was.

I suspect this sort of application will be available within the next few years, but someone has to create it first. Tracking elderly people is something that is also a major opportunity.

April 5, 2009 Posted by | AA Maps, cartography, driving directions, geosmart, gps, lbs, location based services, maps, Mobile maps, navman, new zealand, new zealand maps, satnav, tomtom, web maps | , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , | 1 Comment