Foursquare rewards directly at point of purchase

I’ve been think about possible opportunities to apply Telcordia charging/policy capabilities to location-based services.   I feel there’s a good deal of opportunity for a company that can be trusted to handle large transaction volumes at scale, and that can enable unique policies drawn from a variety of “non-traditional” sources, e.g. user status in various social networks, location, past behaviors, etc.

Here are some thoughts (link removed – turns out I’m not allowed to share) I put together on a specific opportunity that involves using Telcordia charging/policy capabilities to link Foursquare status and credit card transactions directly at the point of purchase.   This allows merchants to apply unique discounts, rewards and incentives to a user’s purchase based on their Foursquare status.  Unlike mobile coupons and printed coupons, this approach does not require any changes to mainstream customer behavior — just pay with your credit card.   Further, it allows merchants to easily and immediately identify and reward customers who are actively promoting the store’s online presence.

For Telcordia it offers an opportunity to enter a scalable and profitable transactions-based business.   For credit card companies, it represents an opportunity to harvest some unique and valuable customer data for segmentation analysis and targeting.    For Foursquare, it’s an avenue that accelerates mainstream adoption and legitimacy by easily providing immediate financial benefits to users.

Advertisements

5 thoughts on “Foursquare rewards directly at point of purchase

  1. From AMEX quarterly call, they say that their Marketing and Promotions (M&P) spend increased to $595m in 1Q10 up from $345m in 1Q09, and that their investment-related OPEX will track at 14-15% of sales up from 13%.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s