We’re in a world where the pressure to justify marketing spend seems to grow all the time. A hundred years ago, it was okay for John Wanamaker to say: “Half the money I spend on advertising is wasted; the trouble is I don't know which half.” But that era is well and truly over. In the new world of digital, anything that shows demonstrable ROI has a tendency to win people over. This in part explains why print has suffered as a marketing medium. Marketers look at digital with its real-time statistics and their heads are turned. They are able to see likes, clicks, shares, visits, comments, download -- the list goes on. While some of these may be viewed as vanity metrics, they do show a level of impact that can be discussed by CMOs and directors. Most marketers do seem to believe in print, at least anecdotally, but a lack of evidence of its success has somewhat hampered its usage. Click Read More below for additional detail.
E-commerce has expanded the retail sector’s battlefield to beyond the physical store. While e-commerce has been at the center of retailers’ growth plans, expanding physical shelf space is still crucial to marketers. As someone who used to work in the retail sector, I know that just three feet of additional shelf space can result in 10 percent revenue growth for a marketer.
The war for shelf space is now inextricably linked to the war for digital space. The impact of endcaps in store aisles critically influences and is in turn impacted by the growing range of virtual message extensions outside stores on every consumer’s mobile screen. These messages on screens as well as in store aisles are informed by consumer signals amassed and dissected from parking lots, train stations, airports, gyms and malls. These signals have become invaluable to target an audience at the right place, at the right time, honing in on people’s specific interests and distinct shopping behaviors.
If the key to 21st century marketing success is via the conquest of online-offline integration, then location-based data technology and targeting is the fuel to fight competitively in this expanded retail arena. We will look back in another 10 years and look at the 2020s as the decade when brands primarily bid on location to engage audiences and expand their market shares. It will feel similar to how Google transformed marketing, with the search engine forcing brands to compete on keywords to mark their own brand name territories.