American Eagle Outfitters says beacons are driving better sales

Oct. 15, 2014

On the heels of its acquisition by South Korea-based mobile and commerce firm SK planet, shopkick reports that it has driven more than $1 billion in revenue for its partner retailers since its launch in 2010, more than half of it within the past 12 months. This year, shopBeacon, its end-to-end, iBeacon-compatible technology, joined its ultrasound presence technology as a means through which offline retailers can engage directly with shoppers.

According to the company, there are more than 7,500 shopBeacon devices live across 3,000 stores. Among those stores, shopkick inaugural partner American Eagle Outfitters has installed shopBeacon technology at more than 100 locations and has tested its impact on shopper behavior over the past months.

During the initial test, some American Eagle customers received a shopBeacon message upon entering the store, offering a small incentive for visiting the fitting rooms. Resulting data showed that the percentage of shopkick users who visited the fitting room area to try on clothes was more than double for those who received the shopBeacon messages vs. those who didn’t.

“We’ve found that focusing on the customer and creating engaging experiences is core to customer satisfaction, and that translates into better sales. So we were very excited about these results from shopkick’s shopBeacon experiment,” said Joe Megibow, chief digital officer at American Eagle Outfitters. "At American Eagle Outfitters, shopkick has helped us test and rollout new, innovative ways to interact with our shoppers, and we were excited to be the first to help prove the power of shopBeacon. We found that being able to offer small, timely rewards for trying on clothes dramatically impacted behavior, and we love creating opportunities for our customers to experience our clothes and our brand.”

To date, shopkick said it has driven more than 50 million verified walk-ins to stores, as well as 100 million product scans and millions of transactions.

Topics: Consumer Behavior, Marketing, Point-of-Purchase / POP, Technology

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