As GPS chips become embedded in more and more phones, location based services will begin to explode. We have seen many different applications come out of the smaller more niche mobile carriers and some basic applications such as child finders deployed to the big national carriers, but the mobile advertising promise of promoting a hot cup of coffee as you walk by Starbucks has yet to materialize. One area I haven’t seen anyone mention yet is around environment targeting along with behavioral targeting. Obviously, Google and others will have a tremendous amount of insight about their users and could use this in a mobile setting, most likely their primary driver for their 700 MHz bid in the US and metro wi-fi attempts. But, I think another key opportunity is around environment targeting.
Let me explain this idea briefly. If I’m in Phoenix, Arizona and its 103 degrees, I’m not going to likely be interested in a hot latte no matter what the mobile coupon offer is. But, if I’m walking down the street and I get a note about a cold, chilled Frappuccino, I may just take the bait. Now, there are a couple of key pieces of information in this scenario that I just shared that the technology could determine and use to target the advertisement to this particular situation. The first was the fact that I’m walking. The slow pace of my movement could be understood by an application as “walking” and could trigger a business rule that says I’m likely more inclined to take the bait. Whereas if I’m driving 45 MPH past the same Starbucks, it’s probably not as effective to send me that same ad. Additionally, with my location information, an application could determine that it’s remarkably hot and decide to send me the ad for the ice cold Frappuccino rather than the hot latte. This environment targeting could be a key addition to mobile marketing or push advertising.