Start Date
11-12-2016 12:00 AM
Description
Understanding how location-based services (LBS) can leverage sales in stores is important for retailers. LBS are a means to target users by making use of their location via GPS-enabled smartphones. Further, the ubiquitous nature of smartphones increases the importance of additional contextual factors such as time and weather. In particular, we analyze how context can be used to improve predicting responses to mobile promotions by applying unique GPS data. We examine the interplay between location, time, weather and co-location and users’ responses to mobile coupons. Our study reveals that context indeed improves predicting users’ responses to mobile promotions. First, distance is negatively correlated to users’ coupon choices. Second, users have different time-specific preferences. Third, temperature is negatively associated to users’ choices. Fourth, the number of co-located users is negatively related to their coupon response. Our results can be seen as input variables for retailers that aim to conduct mobile targeting.
Recommended Citation
Molitor, Dominik; Reichhart, Philipp; and Spann, Martin, "Location-Based Advertising and Contextual Mobile Targeting" (2016). ICIS 2016 Proceedings. 14.
https://aisel.aisnet.org/icis2016/EBusiness/Presentations/14
Location-Based Advertising and Contextual Mobile Targeting
Understanding how location-based services (LBS) can leverage sales in stores is important for retailers. LBS are a means to target users by making use of their location via GPS-enabled smartphones. Further, the ubiquitous nature of smartphones increases the importance of additional contextual factors such as time and weather. In particular, we analyze how context can be used to improve predicting responses to mobile promotions by applying unique GPS data. We examine the interplay between location, time, weather and co-location and users’ responses to mobile coupons. Our study reveals that context indeed improves predicting users’ responses to mobile promotions. First, distance is negatively correlated to users’ coupon choices. Second, users have different time-specific preferences. Third, temperature is negatively associated to users’ choices. Fourth, the number of co-located users is negatively related to their coupon response. Our results can be seen as input variables for retailers that aim to conduct mobile targeting.