According to one estimate, more than 80-90% of people’s time is spent indoors, which is quite a lot, right? The indoor positioning market is estimated to grow to $4.4 billion by 2019 with strong demand in retail as one.
Why to use indoor positioning in retail, then?
- Increased engagement with customers
Being there for your customer when they might need your help, not only enables wonderful customer service but also increases the potential for additional sales. When visiting e-stores we are used to seeing additional products on the side bar suggesting how we could style the item we are looking at or showing what others who saw the item bought along. If the sales person receives a notification on their mobile app saying where in store a customer is moving around with a little black dress, they can go over with a nice clutch and some jewellery to match it. When sales associates offer their help proactively, many tend to reply “just browsing, thanks”. Though customized engagement might freak out some at first, it is actually a meaningful way to build a conversation with the customer.
On the other hand, as a customer, is there anything more frustrating than not finding a sales associate when you are looking for something specific? The product tags that know their accurate location make it possible for the customers to ask sales associates to come over wherever they are in the store.
- Floor planning analytics
Knowing and analysing which aisles your customers take in a supermarket is an old story. In a clothing store, where there are no aisles, but racks of clothes, tables next to another or small shelves here and there it is not as clear. Already when it comes to proximity marketing, 98% of respondents stated in one survey* that sub-two meter accuracy is important. For floor planning, one could say even sub-half a meter accuracy is needed.
By analysing where your customers walk (and where they do not…) with which products, valuable data can be gathered and this can be turned into actionable analytics and reporting on where to place which products.
Improved customer satisfaction, check!
- Theft control
Thanks to history-data, indoor positioning allows you to know where in the store dishonest customers typically do their “shopping”. In addition to this, real-time information on where an attempted theft is taking place is available. Thus, it allows taking both proactive measures and reacting on the spot.
How theft control is good for the honest customers? By preventing the items to leave the store without paying, you make sure your stock remains accurate. So, when the customers ask you if you have their preferred item in another size, you know you do!
*A 2016 Global Research Report On The Indoor Positioning Market