Beacons are Bluetooth-enabled devices used in a variety of environments, including stores, hotels, sports arenas, and airports, to help businesses track customer behavior in real time. This tracking helps owners and managers understand customer needs better, so they can respond with personalization, promotions, and support.

In addition to Bluetooth, the technology used to operate beacons includes tracking devices, analytics, and customer smartphones. For example, a customer arriving at a retailer parking lot may start to receive notifications about items on sale at that store. Many companies have their own apps that contribute to beacon operations, including those created by custom software developers (see https://www.bairesdev.com/expertise/custom-software-development/).

Read on to understand specifically how beacon technology is helping retailers offer enhanced customer care.

Send Promotions

Using beacons, store operators can send offers to customers based on their location within the facility. For example, at an appliance store, a customer in the smartphone section might receive a notification about a free warranty deal if they make a purchase that day. They might also get pointers to accessories like smartphone cases, earbuds, and smartphone grips, or perhaps a cross-marketing offer for a discount on monthly services from a major carrier.

These messages are effective because they're relevant. Rather than an offer someone must remember to take action on (such as, "Shop Labor Day Weekend for 50% off"), beacon-based messages are more compelling because they can be acted on immediately.

Offer In-Store Support

 A store clerk connected to the beacon system through a tablet might get a notification that Customer A has been browsing women's dresses, dress coats, and dress purses. With that information, the clerk could approach Customer A and ask if she has a special occasion coming up, or even gather some items together that the customer might want to look at based on the items she's already seen. This type of support takes customer care to the next level by anticipating customer needs. It's this kind of service that builds loyalty and prompts customers to share their experiences with others.

Another way store managers can use beacons to support customers is through app-based maps and product locators. For example, an app could have a "map" section that pinpoints exactly where the customer is in the store, with a lookup function to display directions for getting to the section they need. Store operators can use the lookup function as an opportunity to suggest additional items that might be of interest.

Improve Traffic

Beacons can also help store operators improve foot traffic within their facilities. With data sent via smartphone apps, operators can see patterns in how people navigate through each department. They can see things like which areas of the store get the most visitors, how long people stay at each display, whether certain sections are busier at certain times of day, and so on.

This information can be used to enlarge more popular areas to include kiosks and other displays to attract additional interest. It can also be used to change the store layout for better flow between departments or at checkout.

Create Loyalty Programs

Store operators can additionally find information on individual shoppers, such as the average amount of time people spend in a store, the average number of times they visit per week or month, and the average amount of money they spend while there.

This information is valuable in understanding and catering to shopper habits that can be translated into customer rewards. For example, a store manager could send an instant coupon good for that visit only when a customer enters the store for the third time in a month.

Information gleaned from individual customer behavior can also be used to create ongoing loyalty programs that keep customers coming back. Loyalty programs can be based on:

•  Number of times visiting a location

•  Amount of money spent during a specific time-frame

•  Number of friends referred

•  Number of times logged in to an app

•  Number of purchases of a specific product or product type

Conduct Transactions

For most of these activities, beacons are in the background, unseen by customers. But they can also be prominently displayed for payment purposes. In these cases, customers activate the store app, wave their smartphones over the beacon, and enter a PIN to pay for their purchases.

Amazon Go stores take this process one step further. The stores have no check-out area or even electronic payment locations. Instead, beacons track which items a customer has in their basket and auto-charges their Amazon account as they leave the store.

In Summary

Beacons are a relatively new technology used to help retailers track customer activity to create offers, assistance, and programs that are good for the customer and great for maintaining loyalty. While setting up a beacon system may require initial costs and actions, outcomes like enhanced customer satisfaction, additional revenue, and increased referrals make those efforts well worth it.