{"id":14639,"date":"2016-11-15T15:38:56","date_gmt":"2016-11-15T20:38:56","guid":{"rendered":"https:\/\/digital.hbs.edu\/platform-rctom\/submission\/swirl-maximizing-value-from-brick-and-mortar-stores-using-micro-location-technology\/"},"modified":"2016-11-15T15:38:56","modified_gmt":"2016-11-15T20:38:56","slug":"swirl-maximizing-value-from-brick-and-mortar-stores-using-micro-location-technology","status":"publish","type":"hck-submission","link":"https:\/\/d3.harvard.edu\/platform-rctom\/submission\/swirl-maximizing-value-from-brick-and-mortar-stores-using-micro-location-technology\/","title":{"rendered":"Swirl: Maximizing Value from Brick and Mortar Stores Using Micro-Location Technology"},"content":{"rendered":"
The rise of e-commerce challenges brick and mortar stores to innovate and find new ways to engage consumers. Digital location technology (GPS, WiFi and Bluetooth beacons) enables retailers to collect rich consumer behavior datasets and personalize the in-store shopping experience. However, many retailers find deploying such new technologies prohibitively expensive due to a lack of know-how and the relatively high cost of IT professionals [1]. Swirl, the Boston-based micro-location marketing start-up, aims to bridge this gap by providing end-to-end solutions to retailers.<\/p>\n
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Micro-Location Technology<\/strong><\/p>\n GPS, WiFi and Bluetooth beacons locate consumers at varying proximity to the store driving different use cases. Based on the consumers\u2019 GPS signal, retailers can target consumers already in the neighborhood and convince them to enter the store. Once consumers connect to the store\u2019s WiFi network, retailers can push targeted offers to them. Bluetooth beacons take this a step further by identifying the specific location of the consumer in the store, i.e. aisle or department. Beacons are small wireless devices placed around the store that emit signals the consumers\u2019 smartphones can pick up via Bluetooth [2]. By capturing detailed information on the consumers\u2019 movement in stores and the time spent in certain locations, retailers learn more about consumer preferences and needs. The database built up based on these location signals can be used to target offers, attribute online purchases to in-store visits and more.<\/p>\n <\/p>\n Exhibit 1. Example consumer information captured by Swirl:<\/p>\n Swirl\u2019s value proposition [3]<\/strong><\/p>\n Swirl makes it simple for retailers to get started with micro-location technology providing a complete mobile presence solution<\/strong>. Depending on the current capabilities of the retailer, Swirl sets up its own-branded beacons or connects the retailers existing location signal devices to its platform. The mobile presence data captured is pushed to the retailers\u2019 existing customer databases to enhance omnichannel marketing. Additional Swirl modules focus on creating and optimizing in-store marketing campaigns delivering offers both via the retailers\u2019 own app and that of its audience network partners, e.g. Twitter [4].<\/p>\n <\/p>\n Delivering on the promise<\/strong><\/p>\n The key differentiating components of Swirl\u2019s strategy are the following:<\/p>\n <\/p>\n Exhibit 2. Swirl\u2019s complete mobile presence solution:<\/p>\n Limitations and additional steps <\/strong><\/p>\n Micro-location marketing solutions and Swirl face many challenges:<\/p>\n <\/p>\n <\/p>\n Word count: 774<\/p>\n <\/p>\n [1] Natasha Baker, \u201c5 Tech Trends That Will Hit Every Retail Store by 2020\u201d, Forbes<\/em>, 3 Apr 2015, http:\/\/www.forbes.com\/sites\/centurylink\/2015\/04\/03\/5-tech-trends-that-will-hit-every-retail-store-by-2020\/#44724d543784<\/a> accessed on 14 Nov 2016<\/p>\n [2] Dejan Jurejevcic, \u201cIoT tech deep-dive: the rise of beacon technology\u201d, IoT Analytics<\/em>, 3 Sep 2015, https:\/\/iot-analytics.com\/rise-of-beacon-technology\/<\/a> accessed on 14 Nov 2016<\/p>\n [3] \u201cThe Ultimate Retail Marketing Advantage\u201d, Swirl website<\/em>, https:\/\/www.swirl.com\/retail-marketers\/<\/a> accessed on 14 Nov 2016<\/p>\n [4] Lizette Chapman, \u201cTwitter Ventures Backs\u00a0Micro-Location Startup Swirl in $18M Round\u201d, Dow Jones Institutional News<\/em>, 23 Apr 2015, https:\/\/global-factiva-com.prd2.ezproxy-prod.hbs.edu\/ha\/default.aspx#.\/!?&_suid=147915831118507869850016642397<\/a> accessed via Factiva on 14 Nov 2016<\/p>\n [5] \u201cSolutions: Secure Enterprise Beacon Platform\u201d, Footmarks website<\/em>, https:\/\/www.footmarks.com\/solutions\/<\/a> accessed on 14 Nov 2016<\/p>\n [6] \u201cTesting, Testing, 1,2,3: Beacon Technology Arrives in 50 Target Stores\u201d, Target website, <\/em>5 Aug 2015, https:\/\/corporate.target.com\/article\/2015\/08\/beacon-technology<\/a> accessed on 14 Nov 2016<\/p>\n [7] Ethan Bernstein, Francesca Gino, Bradley Staats, \u201cOpening the Valve: From Software to Hardware (A)\u201d, HBS Case 9-415-015<\/p>\n [8] Jeff Simpson, Lokesh Ohri, Kasey M Lobaugh, \u201cThe new digital divide: The future of digital influence in retail\u201d, Deloitte University Press<\/em>, https:\/\/dupress.deloitte.com\/dup-us-en\/industry\/retail-distribution\/digital-divide-changing-consumer-behavior.html<\/a> accessed on 14 Nov 2016<\/p>\n <\/p>\n Images:<\/p>\n Cover: \u201cProblem Solved: A CMO\u2019s Dream\u201d, Enage.cx website<\/em>, http:\/\/www.engage.cx\/wearables-as-customer-experience-technology\/<\/a>\u00a0accessed on 14 Nov 2016<\/p>\n Exhibit 1: \u201cThe Ultimate Retail Marketing Advantage\u201d, Swirl website<\/em>, https:\/\/www.swirl.com\/retail-marketers\/<\/a> accessed on 14 Nov 2016<\/p>\n Exhibit 2: \u201cThe Retail Industry\u2019s Most Advanced Mobile Presence Management and Marketing Platform\u201d, Swirl website<\/em>, https:\/\/www.swirl.com\/products\/<\/a> accessed on 14 Nov 2016<\/p>\n <\/p>\n","protected":false},"excerpt":{"rendered":" The rise of e-commerce challenges brick and mortar stores to innovate and find new ways to engage consumers. Digital location technology (GPS, WiFi and Bluetooth beacons) enables retailers to collect rich consumer behavior datasets and personalize the in-store shopping experience. […]<\/p>\n","protected":false},"author":2078,"featured_media":14646,"comment_status":"open","ping_status":"closed","template":"","categories":[],"class_list":["post-14639","hck-submission","type-hck-submission","status-publish","has-post-thumbnail","hentry"],"connected_submission_link":"https:\/\/d3.harvard.edu\/platform-rctom\/assignment\/digitization-challenge-2016\/","yoast_head":"\n
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