Sunday, 19 February 2012

FOURSQUARE AND AMEX SPECIAL OFFERS

Foursquare announced not too long ago, it had reached 10M users. This starts to give it a critical mass, rather than it being a fringe platform for the digital cognoscenti. I'm late to this, so excuse me, but Foursquare's recent deal with American Express is what is really exciting for me - where Amex rewards users with loyalty card-like credits when they check in. For those outside of the business, checking-in always seemed really odd. Now many more people will have a reason to check-in - the Amex loyalty incentive.

According to Mashable:

"The New York startup won’t be receiving any revenue from the deal, but the partnership could give Foursquare a better shot at becoming a mainstream service.

“A big part of what we’re doing is building enhanced loyalty tools,” Foursquare CEO Dennis Crowley told The Wall Street Journal when the company first announced the partnership in March. “We’re seeing that things like this can drive users.”

Foursquare recently announced that it had surpassed 10 million users, but it hasn’t clarified how many of them are actively using the service after registering. A 2010 Pew Survey found that just 4% of online Americans use any checkin service.

Many digital campaigns are constantly asked to prove two really key things that this partnership helps with:

  1. Show that they can reach their audience of lean-forward-digital-types, at a rate that is competitive to the traditional sit-back-TV-watching audience (with regard to CPMs)
  2. Show that all that lean-forward behavior- tweeting, posting, checking-in - produces sales at a comparative ROI
It is well worth watching to see where this partnership evolves.

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