When an offer is redeemed, Koupon Media creates an anonymous unique identifier for that user and start adding data to a profile, including when and where the coupon was used and what was bought. That information is shared back with the brands and retailers so they can refine their future offers.
Koupon targets offers based on general redemption patterns and contextual inputs like geo, weather, region and time of day, and on individual user preferences collected over time. It’s CRM for convenience stores.
“GasBuddy has the right users and we have the content and the relationships with retailers to make the recommendation process go all the way through to an action,” said Koupon Media CRO Brad Van Otterloo. “It’s hard to get that first engagement, but using mobile coupons is habit-forming. And it makes sense for people to open their phones while they’re waiting to get gas, unlike in a grocery store where it’s unnatural to have your phone out.”
That’s why beacon programs, which seemed to hold so much promise for supermarkets, haven’t made much of an impact beyond the experimental.
“Think about it – people in grocery stores are pushing a cart, they’ve got their kids grabbing things off shelves, they’ve got a list and they just want to get in and get out,” GasBuddy’s Fox said. “But we know people are opening up their phones when they’re filling up on gas because we get tens of millions of submissions a month. That makes it the ideal time to reach them.”
Koupon claims a 10-12% redemption rate on its coupons, discounts and promos.
“We’re looking to create a scenario where everyone wins,” Fox said. “Users benefit because they’re getting a great deal on an item in the store, the stores benefit because they’re driving more people and selling additional products and the CPG brands benefit because now they have a way to reach convenience store customers almost like a digital version of the Sunday circular from Kroger.”
Beyond coupons, GasBuddy recently rolled out a feature called business pages, a BI tool within the app that retailers can use to track analytics about themselves, like how many times their location comes up in a search, how many clicks they receive and how many people have visited their station, as well as to see crowdsourced rankings and reviews of the user experience and their amenities, like the cleanliness of the bathroom or the alacrity of the service.
The Cuebiq partnership, struck in early October, is also just starting to rev up, with plans to start building anonymous user profiles and segmenting users based on historical location, tracking footfalls and analyzing the effects of ads on store traffic.