Next Big Thing - Beacons: What they'll do for retail
Next Big Thing - Beacons: What they'll do for retail
2014-08-12
making stores smart Bluetooth beacon
technologies been getting a lot of buzz
lately but the area that is at the
center of the heat map is their usage in
retail stores the idea is fairly simple
a small device that runs on batteries
would be installed on a wall a
countertop or a ceiling of a retail
store and it could be many of them
installed there they would in turn send
out very short data strings to all the
Bluetooth receivers around them
typically your smartphone and all of
this happens on a new technology called
Bluetooth Low Energy or Bluetooth smart
it's different than the Bluetooth you
use right now primarily because it uses
very little energy and it doesn't
require all that tedious pairing and
connection now the short little message
is that the Bluetooth beacon sends out
that your phone picks up instruct your
phone to go to the web and pull down
content that's related to where you are
or what you're doing it can be very
focused on the immediate area where
you're standing
or it could be widened out to relate to
the entire store there is store
proximity beacons could reach out to
your phone on the sidewalk let's say to
urge you to come into a store based on
its products special offers or your past
patronage
then there's the check-in stage a beacon
just inside the door could trigger a
reward for you coming into the store
tailored based on your customer history
and it could also tee up a pre-approved
digital payment method for whatever you
may buy then there's product information
as you stroll the store the products in
it would describe themselves on your
phone screen simply by you approaching
them that information can be powerfully
personalized because remember the
contents being served up by robust
existing web servers not that limited
little beacon and finally checkout no
more having to look for a cashier or
even an employee with a phone or tablet
to check you out you just leave the
building remember you already set up
your payment back on beacon stage number
two so you're already approved Nielsen
research suggests the smartphone has set
the table for the beacon seventy percent
of smartphone shoppers use a store
locator sixty-three percent use their
phone to check prices and product data
in the store 37 percent keep their
shopping list on their smartphone 34
percent pull up mobile coupons at
checkout and twenty three percent have
used mobile payment on their phone in
some form or another
now of course before this gets any real
traction we've got to get through a few
hurdles apps what apt you need installed
for the beacon to work on your phone
worst case would be an app for every
store better case would be for every
chain of stores ideal would be that the
technology is built in at the operating
system level and you need not install
anything but we're not there yet
ham sets your phone needs to have
Bluetooth Low Energy Hardware built in
now iPhones have had it for a while with
iOS 7 and future iOS 8 support Android
Windows Phone and Blackberry have been
supporting it at the operating system
for a while but it's going to be a while
before it's ubiquitous on Android
handsets not until 2018 when we get to
maybe 90% and finally there's trust
there's a lot going on here that might
spook consumers this idea of
automatically being logged in when you
enter a store having your personal
preferences linked to your visit
automatic payment already being
authorized that could spook as many
consumers as it delights if it's not
handled well this is a good place for
merchants to be just as sensitive and
respectful as they are innovative but I
know this every shopper I've encountered
would have a much better time in the
store if they could identify what they
want find it within the stores geography
and pay and get out of there without any
delay or friction so beacons have a
definite possibility for next big things
down
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