Location-based Apps Picking Up Steam

It seems like the location-based social media apps like Foursquare, Gowalla and BrightKite are finally beginning to pick up steam. Starbucks was an early adopter of Foursquare, and now I’m starting to see more and more small businesses take advantage of the opportunities that are being afforded by this new medium. In fact, the social media group at HM&P is currently working with several clients, including O2 Fitness, to roll out location-based promotions.

Here’s a great example of how it works. I went to a Durham Bulls baseball game last night. I checked in on Foursquare and was notified when I did so that there was a special nearby via a yellow callout on the checkin screen. I tapped it and was presented with the following special offer:

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There are several upside to this offer. First, it’s very inexpensive (free) for the merchant – in this case Tyler’s Taproom. The only investment required is the time to claim ownership of the venue and set up the offers. Second, it’s non-intrusive for the end-user. To access this offer I wasn’t sent a text message or other form of interruption-style marketing message. I voluntarily retrieved the offer when I was notified that it was available. Because of these two factors, I expect location-based apps will be the “next big thing” much like Twitter a couple of years ago.