About Foursquare and Its Business Model
May 4, 2010 § 4 Comments
I just had Foursquare since 4 weeks and I am loving it every day more and more. I use it every time I go a Restaurant (or to School) and my stats are improving (click to enlarge):
Below some insights about Foresquare’s concept:
1. Fact: Foursquare, a location-based social network, has reach 1 million users. So please, don’t even take the time to express your critics or concerns about this tool. Sign in, get your iPhone, Blackberry or Android App for it, and just use it! Simple! (see the 2min guide below)
2. Achtung! Be ware, Foursquare is addictive! Should I let Enrique Dans continue to be the “Mayor” of ie Business School? No way! I am already mayor of Restaurant Micota in Madrid, and I will defend my tittle to dead! I know it sounds stupid, but this is exactly the main idea of Foursquare, making your life like a game.
3. New in town? Find great new locations or if you are local, discover constant new places. Your Phone uses its GPS to know where you are at and gives you useful nearby places, tips, map location, etc.
4. Stay in touch. Every time a friend “checks in” you are informed and probably closed to you. More friends in one location? Foursquare will let you know. Maybe it is time to move to the next bar and meet more friends. Foursquare makes most sense (and fun) if you have a lot of friends. So, join in and play a little!
5. Stop being a follower. Do you consider yourself an early adopter? Get Foursquare. This “real life” game will change how you do things…if not today, tomorrow. So why wait? Foresquare could be the next twitter. Well, this is what lot of people are saying. I really don’t know (or care), but what I am sure now is that I am not following this time (I am still trying to figure out how to use- or rather say, enjoy- my twitter experience.)
My guesses about the Business model:
1. Special offers: like a membership/loyalty program, Foresquare enables any venue to communicate better its promotions with its customers. It even made restaurants and bars give special offers to its “Mayors”. I am pretty sure Foresquare’s is getting some bucks here somehow.
2. Following brands. Take for example ZAGAT, the Web’s most trusted guide to restaurant reviews and ratings in the USA which has now also coverage on international cities like Madrid, can be now followed via Foursquare. This means, ZAGAT recommends you a list of places you could visit by adding them to your “to do list”. I am sure ZAGAT is paying some bucks to Foursquare for its announcement. See some of the brands that have already joined Foursquare (click to enlarge):
3. It’s all about the metrics: Foresquare has already introduced new analytic tools and dashboard stats for business to track this ones in order for them to know more about its visitors behaviors. This is my greatest guess where Foursquare will be getting its biggest bucks soon.
The located-social network is not the future, is already the present!
If you are just a follower or you belong to those who worries about your intimacy, privacy, bla bla bla? See here.
Blog to you soon…
Tagged: Social Media