Starbucks first company to offer nationwide discount on Foursquare

Geomarketing or social location has been around for a while. Companies use applications such as Foursquare or Gowalla to let consumers/customers/people check in and let their network know where they are. Many have been talking about geomarketing for a while as an important marketing tool, but I have not seen any good examples of how it has been used, until now that is.

Starbucks today announced that they will give $1 off of Frappucino for customers who are Mayors of a Starbucks coffee shop. To become a Mayor, you have to be a frequent visitor of one single place. This is a new way of the traditional loyalty discounts that have been around for years. What differs is that in traditional loyalty programs, only you as a customer and the company know how frequent buyer you are.

With geomarketing you announce (if you want to) to your entire social network every time you visit a specific store, restaurant, train station etc. It takes the loyalty programs one step further. Not only can companies reward loyal customers but they also encourage customers to spread the word about their company. According to Mashable Starbucks is the first company to use Foursquare in a nationwide campaign in the US.

I am sure this is only the beginning of geomarketing loyalty programs. When will Facebook launch such a service? There are several suggestions on how Facebook could use it. We all love to be treated special and we all love to share who we are to our network.


About Lisa Enckell

VP Marketing at Wrapp. Swede trying to adjust to all the sunshine and fog in San Francisco. And the great cocktails.
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