Beacon technology and its impact on location-based marketing

Location based marketing services have been available via utilization of social networks such as Foursquare for several years, new technologies based on the use of low energy beacon technology combined with a new generation of... [ view full abstract ]

Location based marketing services have been available via utilization of social networks such as Foursquare for several years, new technologies based on the use of low energy beacon technology combined with a new generation of Bluetooth technology is likely to have a disruptive effect on the marketplace. The use of beacon technology is likely to be particularly relevant in the context of retail where highly personalized and contextualized messaging is likely to have a considerable effect on consumer decision making. Several themes are likely to arise with the arrival of this new technology. Consideration needs to be given to issue surrounding the adoption of this form of technology and existing theory on this area is sparse and under-developed. In particular new consideration will need to shown towards the need for the technology to satisfy both hedonic and utilitarian needs combined with a need for the technology to make a fit with the needs of the consumer. In the context of consumer decision making it is likely that beacon technology is likely to have a profound effect in the sense that directed communications can be made at each stage in the buying journey. Areas for further research are identified.