Some Retailers Worry Location Tracking Is Creepy

It's one of the inhibitors keeping them from using location-based analytics

Author: Rimma Kats

January 24, 2018

Using location data has helped many retailers target their marketing and advertising more precisely to better reach consumers. But new data finds there are several inhibitors keeping US retailers from taking advantage of location-based analytics. 

The study, from Retail Systems Research (RSR), found that roughly half (47%) of retailers surveyed said concerns about the "creepiness" factor in tracking consumers was one of the top barriers to using location-based analytics. 

And there's also the issue of privacy. Nearly as many respondents (46%) said overarching concerns about consumer privacy prevent them from even considering using apps that provide location data. 

Meanwhile, some retailers aren't quite sold on the effectiveness of using the data. Over two-fifths (47%) of respondents said they need more proof around return on investment (ROI), and another 35% said the technology seems unproven—and they don't want to be the first ones to test it out. 

A separate study from Carto and Hanover Research, which looked at the trials of collecting location data, also found that many US C-level executives—not just retailers in particular—found it challenging to manage privacy issues when collecting location data.


Popular

Retail 2017 TrendPack

eMarketer’s Retail 2017 TrendPack gives you everything you need to leverage the latest data and analysis for retail ecommerce.

Learn More »