GPS Advertising Shows Promise
By Anna Johnson on November 4th, 2009Research by NAVTEQ and Marketing Research Services Inc. (MRSI) indicates the promise of GPS-enabled location-based advertising.
Based on a study of 757 respondents aged 18 and older, the researchers found that 19 percent of consumers who recalled seeing a specific ad on their GPS device clicked through to find nearby retail locations. Meanwhile, up to 6 percent of GPS users actually visited a business location after seeing an ad on their GPS device.
The NAVTEQ/MRSI study was conducted with GPS devices incorporating NAVTEQ’s LocationPoint(TM) Advertising solution. This combines GPS-based proximity, contextual and demographic information to deliver ads, coupons, and other marketing promotions to consumers as they are near a point of potential purchase, for example, near a fast food restaurant.
Survey participants used devices receiving ads in categories including Convenience, Fuel, Hotel, Pharmacy, and Bank/ATMs. Among the key findings were that:
- 72 percent of consumers regarded the ads to be acceptable on their navigation devices.
- At least 50 percent recalled seeing an ad for each of the advertised brands (aided and unaided).
- On average, 19 percent of people who recalled seeing a specific ad reported clicking through for information on nearby locations.
- Up to 6 percent of navigation device users visited a business location due to seeing an ad on their navigation device.
