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Location-based Marketing
Geomarketing and Geolocation
Gérard Cliquet
with the collaboration of
Jérôme Baray
First published 2020 in Great Britain and the United States by ISTE Ltd and John Wiley & Sons, Inc.
Apart from any fair dealing for the purposes of research or private study, or criticism or review, as permitted under the Copyright, Designs and Patents Act 1988, this publication may only be reproduced, stored or transmitted, in any form or by any means, with the prior permission in writing of the publishers, or in the case of reprographic reproduction in accordance with the terms and licenses issued by the CLA. Enquiries concerning reproduction outside these terms should be sent to the publishers at the undermentioned address:
ISTE Ltd
27-37 St George’s Road
London SW19 4EU
UK
John Wiley & Sons, Inc.
111 River Street
Hoboken, NJ 07030
USA
© ISTE Ltd 2020
The rights of Gérard Cliquet and Jérôme Baray to be identified as the authors of this work have been asserted by them in accordance with the Copyright, Designs and Patents Act 1988.
Library of Congress Control Number: 2019957599
British Library Cataloguing-in-Publication Data
A CIP record for this book is available from the British Library
ISBN 978-1-78630-580-0
Preface
This book is a follow-up to the book Geomarketing: Methods and Strategies in Spatial Marketing published by the publisher ISTE (London) in 2006, then translated into Chinese in 2012 (translation by Pan Yu and Gao Li) under the title
This new opus is no longer a collective work, but the work of a single author who has tried to bring together the main concepts, methods and strategies to implement marketing that takes space into account.
It therefore not only emphasizes the importance of mapping in marketing decision making, but also seeks to highlight the importance of a more spatialized vision of these marketing decisions in order to better reflect the realities of markets, whether local or international.
The technological progress made and more particularly the arrival of mobile tools from information and communication technology (ICT), especially tablets and smartphones, have led the author to take an interest in the specificities of geolocation, to use this pleonastic expression. For a long time, location was reserved for buildings with an economic purpose, such as factories (Weber 1909; Merenne-Schoumaker 2002) or shops (Huff 1964; Applebaum 1966). Now, it is individuals and, with regard to marketing, consumers who can be geolocated and whom it is possible to address directly via email, SMS or even social media, which makes it possible to boost marketing strategies. ICT is disrupting the daily lives of consumers and practitioners, whether retailers or industrialists. Many companies have not yet taken advantage of the opportunities offered by these technologies, and when they have acknowledged them, they are still looking for ways to use them to improve contact with their customers. These developments do not take place without raising legal issues of privacy concerns, which will also be mentioned, as the academic community has been addressing these risks very early on.
This book offers a synthesis of knowledge concerning consumer behavior, the elements of the marketing mix with of course store location in a specific section, and therefore these new aspects related to geolocation that the integration of geolocation systems in new ICT tools allows.
The author sincerely thanks Jérôme Baray, Professor at the University of New Caledonia in Nouméa, Dany Vyt, Associate Professor at the IGR-IAE and Pierre-Alain Guillo, Associate Professor at the Faculty of Economics, both at the University of Rennes, for their comments. He is also very grateful to the company Articque for the supply of maps that will found in this book, as well as to Mr. Philippe Latour for the supply of an illustration from his company Spatialist.
Gérard CLIQUET
January 2020
Introduction
This book attempts to take stock of knowledge and applications in an evolving field. It focuses on aspects related to the discipline of marketing, while others provide a broader vision of digital geography applications, using computer science, in management sciences (Caron 2017). Digital geography has also been implemented in many fields such as weather, military strategy and environmental crisis monitoring (Plantin 2014).
Research based on spatial considerations began in economics as early as the 19th Century (von Thünen 1826; Weber 1909). Publications published around the 1930s would leave their mark on the economy (Hotelling 1929) and marketing (Reilly 1931) for a long time, alongside the work of geographers of the time (Christaller 1933; Lösch 1941). But the importance of the “geography of marketing” began to be recognized in the 1960s (Revzan 1968). This evolution also marks the birth of retailing (Scott 1970), that is, the activity of selling goods in stores or on the Internet1. Chapter 4 of this book will be entirely devoted to georetailing.
The interest of multidisciplinary research, particularly of course with geography, lies in the possibility of bringing out the determinants and models of store location by linking business units and geographical elements and highlighting their evolution. This takes into account population disparities within regions, changes in the urban economy with spatial interactions within market areas and trading areas, while taking into account competition, commodity flows and geographical barriers. But only store location specialists, retailers, will continue in this direction, with traditional marketing remaining largely aspatial. However, Chapters 2 and 3 will show that all marketing can be impacted by the need to spatialize studies, especially since recent technological advances in mapping.
English speakers do not normally use the word geomarketing, instead making a distinction between GIS (geographic information systems), geodemographics,