How Location Data is Driving the Snapchat + Foursquare Deal
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In an effort to give marketers more data-driven ads, Snapchat has entered into a deal with Foursquare to give more precision to its location-based geofilters. Snapchat advertisers will now be able to harness the power of Foursquare's data when creating and evaluating geofilter campaigns. Foursquare’s data spans more than 90 million locations, making it an invaluable asset to any social media platform or marketing campaign.
In the past, both Uber and Instagram (prior to its merger with Facebook) have also partnered with Foursquare, tapping into its wealth of location data to provide more targeted advertising capabilities for marketers. This integration with Foursquare is perfectly timed, in light of Snap Inc’s recent IPO announcement, which will now make the company even more powerful and influential.
Foursquare has been moving away from its roots as a social network, and transforming into something of a data powerhouse. The company’s President, Steven Rosenblatt, recently stated that Foursquare is shifting its business model to focus on valuable location intelligence that other businesses can use in a scalable way, which correlates to its integration with Snapchat.
When Snapchat users enter a specific location, they will be able to see a brand’s sponsored geofilters and use them while shopping or browsing. Campaigns can cover a specific location, a major event or every one of a brand’s store locations.
Where marketers could previously only target general locations such as a food court or shopping center, access to Foursquare’s location data will allow them to target a specific restaurant within that food court or one store within a large shopping center. “Location data allows brands to understand user behavior, and then segment the data accordingly,” explained Foursquare’s Mark Kwak, at the annual Brandify Summit this year. Snapchat has indicated that the deal will create thousands more locations and categories for brands to target than were previously available.
With approximately 41% of all 18 to 34 year-olds using Snapchat on a daily basis, it is important for marketers to understand what type of content is effective for millennials. Research has demonstratedthat millennials do not respond to conventional advertising, and they even lose trust in brands that lack authenticity. The millennial audience makes decisions based on the feedback of others and the unique story that a brand tells and its ability to connect with its audience. With Foursquare in the mix, Snapchat will now be able to provide brands with better targeting in order to form more relevant ad campaigns.
Foursquare’s location data bridges the online-to-offline experience for consumers who interact with social media platforms, such as Snapchat, in-stores. Enterprise brands who want to capitalize on the precision ad targeting made possible by the likes of Foursquare, need to start thinking about how direct partnerships with data aggregators can catapult their local ad campaigns. Enterprise brands will be able to interact with consumers in real-time by presenting store-specific and/or product-specific promotions or offers based on the user’s snaps and in-store engagement. Through retargeting, brands can draw customers back with relevant offers and hyperlocal content.
With access to expansive location data and precision advertising, enterprise marketers will be able to display locally relevant content to users and build a more loyal, local customer base. Having this level of precision and using Foursquare's data layer will allow brands who leverage their advertising to focus on their creative local strategy and increase conversions in-store.
Location data is becoming increasingly important for creating a holistic customer experience and implementing precision advertising that engages audiences and drives action. For enterprises to be found and be relevant, it is critical to ensure data accuracy across the web, especially with Foursquare and other data aggregators. Start auditing your brand’s location data and find out your Foursquare data health with Brandify’s free Quick Scan below.