Nearly one-fifth of US consumers who saw a specific ad on their GPS device clicked through to find nearby retail locations for the advertiser, and up to 6% of GPS users visited a business location after seeing a related an ad on their device, according to a survey by Marketing Research Services Inc. (MRSI) and commissioned by digital map provider NAVTEQ. The survey was undertaken to explore the impact of GPS-enabled “LocationPoint” advertising, which combines GPS-based proximity, contextual and demographic information to deliver ads, coupons, and other marketing promotions to consumers as they are near a point of potential purchase.
Key study findings:
- 72% percent of consumers find the ads on their navigation devices to be acceptable.
- At least 50% of respondents recall seeing an ad for each of the advertised brands (aided and unaided).
- 19% of those who recall seeing a specific ad reported clicking through for information on nearby locations.
NAVTEQ said though such location-based advertising is still new,? survey findings suggest that if it is tactfully executed, it will be a viable competitor for marketing dollars in the future.
“It’s a vehicle that grabs the attention of a consumer near point of purchase and as the technology matures, it will offer increasing opportunities to interact with the consumer in ways that will deliver substantial benefits to advertisers,” said David Klein, VP of ad sales for NAVTEQ.
About the study: The study surveyed 757 owners of NAVTEQ ad-enabled GPS devices. Respondents were ages 18+ with average household incomes over $50K. The devices used in the study featured ads in categories including convenience, fuel, hotel, pharmacy, and bank/ATMs.