Brief & Objectives

Sponda want to position themselves as innovative property investors, a bold statement that simply can't be achieved with old fashioned push marketing campaign. To achieve a position like that, a brands needs to act and innovate. Sponda's mission is to constantly look for new tools for their clients to do better business with or create one for them. Agency developed the idea pro-actively for Sponda. There was no brief, just a target position.

Data-based innovation

There is a lot talk that ecommerce is killing brick-and-mortar because they have all the data and know how to use it for better customer service (marketing as service) and ad targeting. If e-stores are winning because of their efficient use of data, why not take their best practices and use them in the real world? By bringing the perks of online stores to the real world, it's possible to build a unique concept for loyalty programs and customer service. Physical Cookie is an innovation that has the world buzzing. It's a system that brings online cookie functionalities to the real world, creating an entirely new medium that reacts to customer behavior instead of spamming them with push notifications.

Globally shopping malls suffer from the lack of data. They usually know from door counters how many persons entered certain door and how many exited another door. They don't know how long did the customer stay, which stores did they visit or which was the route they took.

With Physical Cookie we can gather real time data that helps us to understand our customers shopping behavior better and enables us to do smarter and more relevant marketing inside the shopping mall in our own media channel. This is a disruptive loyalty program for a shopping mall. Instead of identifying the loyal customer at the end of the shopping process (purchase) the system identifies loyal customers upon entering the shopping mall, thus enabling a more fulfilling shopping experience.Globally shopping malls share another common dilemma – there is a lot of traffic on the ground floor but higher we go, the less footflow they get. Our goal was to increase the traffic by creative use of data to the less frequented floors. Thanks to data we had clear KPIs and we could measure them in real time. After implementing the physical cookie system we have seen that the time spent in the mall and floor-to-floor conversion have both increased with following numbers:

1) + 21,7% The time spent in shopping center

2) + 14,5% The floor-to-floor conversion

This proves that customers have found our new smarter communication useful. Physical Cookie system is a low opt-in that doesn't invade your personal space. Instead of push-messaging your most personal media Physical Cookie system just tracks your behavioral data and helps the retail space to react and better serve the consumer. Privacy is not a problem, because we don't care who you are. We are only interested in you shopping behavior.

Gather

1) Passive RFID-chip implemented in keychain (unique digital identity)

2) Cookie catchers implemented inside the mall (Can read up to 10 meters distance)

Harness & Interpret

a shopper carries three things with them, a phone, a wallet and house keys. The application space is too crowded and so is the loyalty card, so we needed to find a way to implement intelligence and data gathering to a set of house keys. We combined online analytic techniques, retail footflow analytics and RFID-technology to create a system, that tracks consumers in real-time, analyzes their behavioral data and delivers dynamic messages and offers in a form of digital posters and price lists at the right place and the right time. A live team develops the creative assets in accordance of the data gathered and the system can perform A/B testing for the desired assets, making sure that conversion develops positively.

Privacy is not a problem, because we don't care who you are. We are only interested in you shopping behavior. and that is a game changer. Instead of sign ups and a wide range of cards, Physical Cookie offers a low opt-in loyalty system that makes marketing feel like service.

RFID-readers pick up RFID-Physical Cookies as they enter the shopping mall. Every Cookie has an unique digital identity, making tracking each individual behavior possible. The system then analyses the previous behavioral data and then displays a dynamic message or an offer based on that data and the systems set of rules.

The set of rules can be adjusted according to time (weekend, morning, etc), weather (sunny, rain) or events (sports, concerts) making the messages even more relevant to the consumers. After showing the message or and offer, the system then tracks for behavioral patterns that occur and saves them to the individual id.

The system enables marketing automation, A/B testing, reactive marketing and real-time foot flow analysis in the physical space.