What is Beacon Technology?

The online world never ceases to surprise us as business owners. Marketing itself is a sector of business that has been largely influenced by strides being made in technology on a daily basis. In 2013 a particularly exciting idea of proximity marketing came into the limelight. Apple was behind the innovation of beacon technology which potentially changed the market of retail sales which we observe today have sky-rocketed due to the technology.

What is a Beacon?

Beacons are a device operated on wireless Bluetooth which enables it to connect with other smartphones that have their Bluetooth turned on. A better idea of how the device operates and can influence consumer behaviour can be gained through this hypothetical situation.

Imagine a potential customer is walking near your shop and has his Bluetooth turned on. The beacon will attach itself to the Bluetooth device and do its magic by sending out a message that can increase the chances of sales to be made.


Beacons are particularly important in delivering information that one cannot possibly share with a potential customer walking by. When beacons are connected to a smartphone that has a specific app downloaded the information of the retailer will pop-up on the screen of the potential customer. Thus, enticing him to visit the store. Retailers have been successful in formulating a strategy that uses promotional offers to be popped up on the screen as soon as a device is connected. Promotional offers or discounts being offered at your store gives you a great chance to reel in customers.

A study conducted by Swirl highlights and important fact about consumer behaviour. It says that more than 70% of shoppers who do receive beacon pushed content tend to buy products from a retailer or at least visit them. This is interesting to note because firstly, the nature of a beacon and how it acts with a consumer makes it appealing for the customer because he is surprised.

The ability to make a customer surprised and actually making him aware of what a retailer offers is hands down one of the most successful marketing tactics to materialize sales. Beacon primarily works on the principles of engagement and helps in the development of an effective marketing campaign.

Why your Retail Business needs to Implement Beacon Technology:

Beacons placed strategically in a retailer are able to drive growth, create a positive brand affinity and initiate the sales process. Results so far have been extremely positive, Hilmi Ozguz the founder of Swirl claims that businesses who haven’t adopted beacons in their marketing campaigns will surely feel the need to in the near future.