How geofencing can play a valuable, non-creepy role in your engagement strategy
True story about my own geofencing experience for you: It was several years ago, just before my wife’s birthday, and I was trying to come up with something nice to give her. We were a couple of years into the grandparenting experience, so I had a pretty good idea of what to get: a “collage” picture frame where she could display multiple photos of the little person who had pretty much taken over our lives by then. My wife’s a pretty good photographer and our grandbaby was a rather compelling subject, so I knew it would be put to good use. So, I headed on over to a local craft supply store to see what they had.
Now, I wasn’t exactly a frequent flyer at places like that, having only been there with my wife when she decided to stop while we were out doing other things. But I eventually located the right aisle (who knew there’d be so many?!?) and found something that looked like an antique window with multiple panes. The price was a bit higher than I expected but hey, it was for grandbaby photos, so I picked it up and headed toward the checkout line.
Just then, my phone buzzed in my pocket so I pulled it out, expecting to see one of those “while you’re out please stop at …” texts, but instead it was a push notification from my credit union, telling me I could save 40 percent on my purchase at that store! As a member benefit, they had provided us with access to a savings app, which included geofencing tied to the locations of participating merchants. I’d “crossed the fence,” triggering a notification for savings at a place I’d literally never made a purchase at before, and voila! I showed them my phone at the register and saved a bunch of money on something I’d already decided to buy, thanks to my credit union!
At Pulsate, we give credit unions and banks the ability to use geofencing to trigger push and in-app notifications to their end users, and when we show it to prospects their initial reaction is usually something along the lines of “wow.” They can see themselves fencing the car dealers in their market area and sending out “Don’t forget, you’re preapproved!” notices when their users are shopping for a car (honestly one of my favorite use cases). But then we hear things like “But won’t my consumers think it’s creepy, like we’re spying on them?” and “What if it bothers them and they decide to opt out?”
Both good questions, and of course, we don’t want you to scare your users off by tracking their every move. But the good news is that consumers actually want their FI to use what they know about them to offer products and services they need! According to research by Accenture, nearly 6 in 10 consumers say they’d be willing to share personal information, including their location data, with their FI if it meant they’d save money. You know, like I did on that picture frame.
Are there limitations? Of course – mostly related to what they want you to do with the data you collect, and how well you keep it safe. And yes, there are generational differences, with Gen Z being the most willing to share location data. But I’m about as far as you can get from Gen Z, and if it means I’ll get more messages that save me money, I’m all in.
The bottom line is this:
Consumers want you to use what you know about them to deliver personalized messages that are relevant to them, and using their location can be an important part of that. If you’re not including geofencing in your engagement strategy, well … you might be missing the mark.
