The term SoLoMo is the latest trend to encapsulate the idea of social media, location-based technology and mobile device usage, and it has a major role to play in marketing for both businesses and consumers.
Why is SoLoMo so important?
First and foremost, more than half of the US population owns a smartphone, which covers the mobile usage portion of SoLoMo. Because more than 50% of the population has a smartphone, this means that more than 50% use some type of geo-location software. Finally, more than 70% of the US population uses a social network on a regular basis, and SoLoMo is born.
SoLoMo is important because it allows businesses to reach consumers using the most popular methods, and it also allows consumers to find the right company, products and services that they wish to purchase.
More and more businesses are starting to realize the importance of mobile marketing. They’re sending SMS messages to their consumers, and they’re creating apps to generate interest in their business. Now, SoLoMo is the next step in the mobile marketing adventure, giving both consumers and retailers the ability to gain information whenever and wherever they want.
How does SoLoMo work?
Technically speaking, SoLoMo allows businesses to provide incentives and deals to their consumers based on the customer’s geo-location. For example, a retailer in a mall can use the technology to learn when the customer is inside the mall, and then, they can push an incentive out to the customer to entice them to come into their store and make a purchase.
Through this technology, retailers can also gain access to the customer’s specific purchase history and exact visits. This can help them learn more about the customer and their buying persona, and they can even craft certain messages to this individual based on their buying history. For example, if a clothing store notices that a certain individual only buys men’s clothing at their store, then they can send them an incentive for men’s clothing, or they may give them an incentive for something else to try and get them to make a different purchase.
What about privacy issues?
The downside to SoLoMo is that some consumers are worried about the violation of their privacy, and these issues have been brought to the attention of congress. Right now, the regulations and laws are still being flushed out, and while some consumers don’t mind receiving these incentives, some consider it a huge violation of privacy.
Other consumers worry about all of the information being passed through a mobile device. Some retailers are allowing customers to link their credit or debit cards to an account, and all they have to do is show or scan their mobile device to make a purchase. While some people are fine with this idea, others worry that their credit or debit card information will not be well encrypted and that they run the risk of identity theft.
SoLoMo is still being flushed out, but the concept is already being implemented. Whether you’re a business or a consumer, there are plenty of ways to benefit from SoLoMo, you just need to realize it.
This guest post was written by Steven Peters who is a business manager and avid business writer. He specializes in customer interaction and recently wrote interesting information about SoLoMo.