Geo-social company will launch paid platform in June.
Foursquare hopes to launch paid search during the next two months. Merchants will be able to promote check-in deals on the platform when users search for local specials, employing the same algorithms currently used on the app's "Explore" tab.
First reported by AdAge today, ClickZ has confirmed the item with two sources close to the situation. One was Walgreens social media director Adam Kmiec, who has spoken with Foursquare about its future plans.
"We are interested in any way we can make our customers more aware of our specials," Kmiec said. "We also think it shows that Foursquare is maturing as an organization."
Up until this development, Foursquare mobile app searches have produced organic results. The same has been true when users tap "Explore" and then hit a "Specials" button before seeing local merchant specials on Foursquare, as well as syndicated deals from Groupon, LivingSocial, Gilt City, ScoutMob, etc. Sometime during June, sponsored results will begin appearing in both cases.
Foursquare is evidently collaborating with past brand partners to create the paid ads platform. During the last two years, it has worked with names like Walgreens, Pepsi, Dunkin' Donuts, Whole Foods, and Radio Shack.
From a longer view, it's the latest business-minded step for Foursquare, which has at least 15 million users and aspires to be a local marketing platform worldwide. Last August, the three-year-old company released a free-to-use self-service platform for business pages. The pages product is available to marketers in 11 languages.
The paid ads development isn't necessarily unchartered territory for the geo-social brand. Nine months ago, ClickZ learned Foursquare was selling custom badges to brands on its platform starting at $75,000. And its mobile distribution deal with the aforementioned daily deals players was unveiled last August. It's been assumed by industry watchers that Foursquare has been getting a sales cut for the converted referrals it dishes out to Groupon, LivingSocial, and others.
Join the Industry's Leading eCommerce & Direct Marketing Experts in Chicago
ClickZ Live Chicago (Nov 3-6) will deliver over 50 sessions across 4 days and 10 individual tracks, including Data-Driven Marketing, Social, Mobile, Display, Search and Email. Check out the full agenda and register by Friday, Oct 3 to take advantage of Early Bird Rates!
Christopher Heine was a senior writer for ClickZ through June 2012. He covered social media, sports/entertainment marketing, retail, and more. Heine's work has also appeared via Mashable, Brandweek, DM News, MarketingSherpa, and other tech- and ad-centric publications. USA Today, Bloomberg Radio, and The Los Angeles Times have cited him as an expert journalist.
IBM Social Analytics: The Science Behind Social Media Marketing
80% of internet users say they prefer to connect with brands via Facebook. 65% of social media users say they use it to learn more about brands, products and services. Learn about how to find more about customers' attitudes, preferences and buying habits from what they say on social media channels.
An Introduction to Marketing Attribution: Selecting the Right Model for Search, Display & Social Advertising
If you're considering implementing a marketing attribution model to measure and optimize your programs, this paper is a great introduction. It also includes real-life tips from marketers who have successfully implemented attribution in their organizations.
September 17, 2014
September 23, 2014
September 30, 2014
1:00pm ET/10:00am PT