Today’s shoppers have no shortage of ways to find out what their fellow citizens think of various business establishments and services. The leading service providers in this space, Angie’s List and Yelp, have been profitable and popular. But a recent MarketWatch report indicates that Millennials, the consumer group most likely to seek out opinions, may be gravitating toward a different site: FourSquare.
Analysts believe one of the challenges facing Angie's List, a traditional review site, is that consumers don’t want to have to pay to access data. Younger consumers are showing a preferences for checking out what their Facebook friends think. Many folks believe that word-of-mouth recommendations from their friends are more valid than what a site filled with anonymous reviews offers. The Millennials also indicate that recommendations from their friends on social sites trumps any information they might find in a digital ad.
MarketWatch analysts point out that the one social site which might do well with Millennials is Foursquare. Valerie Davis, vice president of search media at PM Digital says “Foursquare takes a more customized approach — considering users’ likes, interests and location before offering suggestions.” This personalization is akin to what users can find on Facebook. As marketers seek to reach younger, social consumers they should remember to enhance their positions on sites like Facebook and Foursquare to increase sales.
About 3% of U.S. adults say they use the Foursquare site. Its new app, called Swarm may attract even more users as the company tries to improve personalization. AudienceSCAN data indicates that 63% of Foursquare users are under age 45. These audience members are far more likely than average to have purchased a used a Daily Deal for a business they’ve never used before. And about 40% of Foursquare users live in urban areas which is much higher than average.
In the next year about 23% of these consumer intend to buy a bicycle and over 30% will sign up for a streaming video service. In addition to running promotions with Foursquare, marketers may want to try to reach these consumers via mobile text messages and ads on social networks. Foursquare users over-index for having responded to these types of ads in the past 30 days.
AudienceSCAN data is available as part of a subscription to AdMall for Agencies. Media companies can access AudienceSCAN data through the Audience Intelligence Reports in AdMall.