Friday 22 April 2011

Visa & the Gap Roll Out Location-Based Mobile Offers

Fast Company recently did a piece about Visa the Gap teaming up to offer low-tech location-based deals.  The system does not require NFC-tags, check-ins or smartphones. 

The user simply registers with their card details and mobile number on the project home page, Mobile Gap 4 U, and every time he or she makes a purchase that meets certain pre-defined criteria, such as location, day, amount, etc., she is sent an offer via SMS to their mobile.  To redeem the deal, the user simply walks into any Gap store and shows the text to the staff, who will process the deal.

This trial is a good idea for both Visa and the Gap, as they are able to test certain features of location-based deals, without having to roll out a full-fledged NFC infrastructure that will initially probably mostly appeal to first-movers.  Instead, the Gap is able to appeal more broadly to their most loyal customers.  By engaging this audience with location-based deals, they are able to learn about their most important customers and paving the way for more advanced technology when the time is right. 

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