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Japan's NTT DoCoMo Starts Trials of Location Based Discount Coupons
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Japan's NTT DoCoMo has launched a trial of a location based service that offers discounts to consumers based on proximity to the retail store.
The half-year trial began today mainly in metropolitan Tokyo with around 170 stores already signed up.
The platform for retail stores sends promotional information to smartphones installed with a dedicated app. Information is only sent to people who are near a store, based on their phone's location information. The app enables users to selectively view information about sales, coupon offers, etc. from specific stores.
If a user enters one of the stores, an inaudible high-frequency sound signal transmitted inside the store activates the app's check-in feature. The user then receives coupons or other promotions that have been tailored to their age, gender and so on.
The high-frequency sound signal is transmitted by a simple device installed in the store. Numerous devices can be installed in one store, such as one at the entrance to handle the check-in process and others at various sales points to encourage customers to walk around to receive coupons and promotions. Each device is connected to a server for data processing.
DoCoMo's platform also functions as a marketing tool by creating a database on store visitors, including gender, age, area of residence and so on.
Tags: [ntt docomo] [Japan]
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