Title: A study of how the Brick and Mortar business can utilize Location-based Marketing in Sweden. - Technologies, Strategies, Privacy & Integrity and Receptiveness from a consumer and expert perspective.
Level: Bachelor Thesis in Marketing
Authors: Philip Lagström and Gustaf Stenlund.
Supervisor: Klaus Solberg Søilen.
Purpose: The purpose of this research is to create an understanding of what location-based marketing is and how brick and mortar businesses in Sweden can use this type of marketing, and how it affects sales and the customer experience. The objective is also to find out how consumers percept location-based marketing and possible privacy and integrity concerns.
Theoretical framework: The theoretical framework begins with theory regarding Smartphone usage in Sweden and privacy & integrity concerns. The theory also discusses the brick and mortar business. Further, it discusses what kinds of techniques and methods that are used by location-based marketing today is, and how push and pull strategies can be used within location-based marketing.
Method: The research is based on a combination of a qualitative and quantitative study. This was made to get the experts point of view and also the consumers’ perspective. The qualitative part consisted of three interviews with experts in the field of location-based marketing, mobile applications, Smartphone marketing and digital marketing. The quantitative part consisted of a survey with 357 participants
Empirical framework: The empirical study consists of interviews and a survey. It begins with the interviews with the three experts; this part involves thoughts regarding location-based marketing within brick and mort, best method of LBM, consumer receptiveness, negative/positive aspects, privacy and integrity and future prospects for location-based marketing. This followed by the results from the quantitative survey with our 357 respondents; the survey gives a consumer point of view on important factors such as Smartphone use, consumer interest regarding LBM, receptiveness, privacy and integrity concerns and loyalty.
Conclusion: The conclusion made in this dissertation is that location-based marketing is a great part of the digital marketing mix, and could potentially work well for Swedish brick and mortar businesses. It has potential to create increased value for consumers, which in turn can develop into a loyal customer base. The respondents of our survey are not concerned about their privacy and integrity. However, it could be a devastating blow for retailers if dealt with incorrectly.
2014. , 59 p.