How Companies Are Using Data From Foursquare

wjousts writes: Technology Review reports on how businesses use data from all those Foursquare check-ins. "Merchants can analyze various metrics over time, including how many check-ins are recorded each day, who the most recent and most frequent visitors are, how visitors who check in break down by gender, and what time of day the most people check in; businesses with multiple locations can aggregate statistics to fit their needs. Foursquare provides the same platform 'for Joe's coffee shop and Starbucks,' says Eric Friedman, Foursquare's director of business development, but companies use the tools and data in different ways, depending on their specific objectives. "

Comments

There remains questions...

[Kamiza Ikioi]

I think the biggest question is economic class. Sure, this works for Starbucks because Starbucks is a higher end retailer who's users are tech savvy. But this does nothing for Family Dollar who's users are all over the gambit. This means, then, that you can only poll a certain section of the populous, whereas, using instore data makes more since for most businesses which captures 100% of data, rather than a subset (bothers to check in) or a subset (uses Foursquare) or a subset (owns a smartphone).

The other problem is time is automatically skewed. People running to the store late night to pick up toilet paper are unlikely to check in, especially on a weekday. But those trying out a new steakhouse on a Saturday afternoon are more likely to check in. So the time data is naturally skewed to recreational times.

While I applaud this as a way to see when advertising deals on social networks may best impact your business, this by no means will help you determine if you need to make sure your toilet paper is fully stocked at 3am.

Re:'Biased' data

[stonewallred]

Using your "good" customers to bring in new customers is a winning game, as long as you continue to provide the same level of service.

I send out and/or drop off cards to my "good" customers at least once or twice a year.

They are simple business cards with my standard business card on the front and on the back a 20% discount, parts and labor, printed on the back.

I take the time to write the customer's name I am sending them to on the card. And the letter I include with the card tells them that if they like my service to please give out the card to folks who might need my services.

And for every card that is turned in, they will get $20 bucks.

I usually spend around 300-400 bucks a year redeeming those 20 bucks a pop cards.

And they usually generate me 80-90 bucks gross profit after the 20 buck payout and 20% off per card.