Report: Huge Hole in Location Data Market for O2O Attribution
Photo by Gerry Roarty.
Good news for the whole location-based marketing industry—a new report from location data firm Factual based on a survey of location data buyers finds the field is getting more effective and better at measuring its results. Nearly 9 in 10 marketers said location data is driving more effective campaigns. Eighty-six percent said it’s growing their customer base, and 84% reported higher customer engagement.
However, while use of location-based marketing is set to grow to 94%, only 24% use it or are planning to use it to establish offline attribution. Most use it for targeting (67%) and audience engagement (52%).
This suggests there is a major market opportunity for location intelligence firms and data providers to help brand marketers establish ROI based on existing investments in location-driven strategies.
As for what determines buying choices in the location data market, firms prize quality over all else, ranking it the number-one factor affecting their buying decisions. The second and third most popularly cited factors, ease of use (14%) and price (12%), did not register half as much buy-in as quality.
The enterprises interviewed by Lawless Research, which conducted the survey for the report, said they define data quality in terms of accuracy (32%), precision (18%), and privacy-safe methodology (13%).
Enterprises are deploying location data across several channels. Mobile is the most popular (81%), but other channels are seeing steady growth, including advanced TV (49%), digital out-of-home (47%), and voice/connected speakers (45%).