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Beacon Street Partners presentation on iBeacons
Beacon Street Partners Powered by KontactIO
1. What are iBeacons?
2. How do they work?
3. Why are they important?
4. Do they work on every device?
5. Who’s using them
6. Industry statistics
7. Bonus
Beacons are small devices that broadcast a
BluetoothSmart radio signal to trigger alerts or
messages on consumers phones. You could see
them as the next version of GPS.
Instead of using satellites to triangulate your
position in the world as GPS does, beacons
transmit a low energy signal from a device with a
radius of 50-100 meters to provide
unprecedented location services that can
accurately measure positioning down to inches.
1. What are iBeacons?
2. How do they work?
3. Why are they important?
4. Do they work on every device?
5. Who’s using them
6. Industry statistics
7. Bonus
Almost all of the logic behind a beacon
deployment is through the supporting software on
the devices (e.g. beacon aware apps on
smartphones).
The distance between transmitting beacon and
receiving device can be approximated into 3 distinct
ranges:
Immediate: Within a few centimeters
Near: Within a couple of meters
Far: Greater than 10 meters away
The only role of the beacon is to notify the
smartphone of its existence at the physical
location. Beacons come in a lot of shapes forms
and sizes.
1. What are iBeacons?
2. How do they work?
3. Why are they important?
4. Do they work on every device?
5. Who’s using them
6. Industry statistics
7. Bonus
iBeacons represent something in the world,
rather than somewhere, giving you greater
flexibility and control.
They give context to a physical space.
1. What are iBeacons?
2. How do they work?
3. Why are they important?
4. Do they work on every device?
5. Who’s using them
6. Industry statistics
7. Bonus
Beacons work with both Android and iOS. They
were initially introduced in iOS7 and are
compatible with every Android version > 4.3
This puts beacon functionality in 300 million +
devices!
1. What are iBeacons?
2. How do they work?
3. Why are they important?
4. Do they work on every device?
5. Who’s using them
6. Industry statistics
7. Bonus
American Airlines
Major League Baseball
Nivea
Marriott
Coca Cola
Tesco
Virgin Airlines
Hammerson
Walgreens
Levi's
Orlando Magic
Duane Reade
Philips
Apple
Oscar Mayer
And then some..
1. What are iBeacons?
2. How do they work?
3. Why are they important?
4. Do they work on every device?
5. Who’s using them
6. Industry statistics
7. Bonus
There will be about 4.5 million active beacons
overall by year end 2018, with 3.5 million of
these in use by retailers.
Source: BI Intelligence Estimates
Half of the top 100 retailers in the U.S. are
testing beacons this year, and we expect them
to have this new technology installed in one-
third of their stores by the end of 2016.
Source: BI Intelligence Estimates
Beacons are compatible with about one-third of
active smartphones globally and nearly all
iPhones.
Source: BI Intelligence Estimates
It makes sense for retailers to open up their
beacons so that outside apps can use them to
send alerts and notifications to their users.
Source: BI Intelligence Estimates
Retailers will also be able to collect valuable
consumer data thanks to beacons, but privacy
issues need to be considered.
Source: BI Intelligence Estimates
Only 3% of retailers are currently able to
identify customers walking in store, but 72%
plan to do so within five years.
Source: BI Intelligence Estimates
Beacons can help retailers attract users to their
apps, retain those users, and increase
engagement on those apps.
Source: BI Intelligence Estimates
Adoption of beacons led to 16.5 times more app
usage in-store and 6.4 times increase in app
user retention.
Source: BI Intelligence Estimates
1. What are iBeacons?
2. How do they work?
3. Why are they important?
4. Do they work on every device?
5. Who’s using them
6. Industry statistics
7. Bonus (Because consultants love graphs)
Percent of US Retail Locations with Beacons
(Top 100 retailers)
8%
92%
32%
68%
85%
15%
2014 2015 2016
Source: BI Intelligence Estimates
Global active smartphones compatible with
Bluetooth Low Energy (May 2014)
90%
(259 million)
288 million
iOS
24%
311 million)
1.3 billion
Android
Source: BI Intelligence Estimates
Mobile commerce initiatives to improve the
customer experience in stores
(North America, March 2014)
28% 62%
Use mobile marketing
16% 63%
Collect real-time data from POS
3% 72%
Identify customers walking in store
Have today Plan to in 5 years
Source: BI Intelligence Estimates
These companies have this iBeacon stuff all figured out

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PP on IBeacons

  • 1. Beacon Street Partners presentation on iBeacons Beacon Street Partners Powered by KontactIO
  • 2. 1. What are iBeacons? 2. How do they work? 3. Why are they important? 4. Do they work on every device? 5. Who’s using them 6. Industry statistics 7. Bonus
  • 3. Beacons are small devices that broadcast a BluetoothSmart radio signal to trigger alerts or messages on consumers phones. You could see them as the next version of GPS. Instead of using satellites to triangulate your position in the world as GPS does, beacons transmit a low energy signal from a device with a radius of 50-100 meters to provide unprecedented location services that can accurately measure positioning down to inches.
  • 4. 1. What are iBeacons? 2. How do they work? 3. Why are they important? 4. Do they work on every device? 5. Who’s using them 6. Industry statistics 7. Bonus
  • 5. Almost all of the logic behind a beacon deployment is through the supporting software on the devices (e.g. beacon aware apps on smartphones).
  • 6. The distance between transmitting beacon and receiving device can be approximated into 3 distinct ranges: Immediate: Within a few centimeters Near: Within a couple of meters Far: Greater than 10 meters away
  • 7. The only role of the beacon is to notify the smartphone of its existence at the physical location. Beacons come in a lot of shapes forms and sizes.
  • 8. 1. What are iBeacons? 2. How do they work? 3. Why are they important? 4. Do they work on every device? 5. Who’s using them 6. Industry statistics 7. Bonus
  • 9. iBeacons represent something in the world, rather than somewhere, giving you greater flexibility and control.
  • 10. They give context to a physical space.
  • 11. 1. What are iBeacons? 2. How do they work? 3. Why are they important? 4. Do they work on every device? 5. Who’s using them 6. Industry statistics 7. Bonus
  • 12. Beacons work with both Android and iOS. They were initially introduced in iOS7 and are compatible with every Android version > 4.3 This puts beacon functionality in 300 million + devices!
  • 13. 1. What are iBeacons? 2. How do they work? 3. Why are they important? 4. Do they work on every device? 5. Who’s using them 6. Industry statistics 7. Bonus
  • 14. American Airlines Major League Baseball Nivea Marriott Coca Cola Tesco Virgin Airlines Hammerson Walgreens Levi's Orlando Magic Duane Reade Philips Apple Oscar Mayer And then some..
  • 15. 1. What are iBeacons? 2. How do they work? 3. Why are they important? 4. Do they work on every device? 5. Who’s using them 6. Industry statistics 7. Bonus
  • 16. There will be about 4.5 million active beacons overall by year end 2018, with 3.5 million of these in use by retailers. Source: BI Intelligence Estimates
  • 17. Half of the top 100 retailers in the U.S. are testing beacons this year, and we expect them to have this new technology installed in one- third of their stores by the end of 2016. Source: BI Intelligence Estimates
  • 18. Beacons are compatible with about one-third of active smartphones globally and nearly all iPhones. Source: BI Intelligence Estimates
  • 19. It makes sense for retailers to open up their beacons so that outside apps can use them to send alerts and notifications to their users. Source: BI Intelligence Estimates
  • 20. Retailers will also be able to collect valuable consumer data thanks to beacons, but privacy issues need to be considered. Source: BI Intelligence Estimates
  • 21. Only 3% of retailers are currently able to identify customers walking in store, but 72% plan to do so within five years. Source: BI Intelligence Estimates
  • 22. Beacons can help retailers attract users to their apps, retain those users, and increase engagement on those apps. Source: BI Intelligence Estimates
  • 23. Adoption of beacons led to 16.5 times more app usage in-store and 6.4 times increase in app user retention. Source: BI Intelligence Estimates
  • 24. 1. What are iBeacons? 2. How do they work? 3. Why are they important? 4. Do they work on every device? 5. Who’s using them 6. Industry statistics 7. Bonus (Because consultants love graphs)
  • 25. Percent of US Retail Locations with Beacons (Top 100 retailers) 8% 92% 32% 68% 85% 15% 2014 2015 2016 Source: BI Intelligence Estimates
  • 26. Global active smartphones compatible with Bluetooth Low Energy (May 2014) 90% (259 million) 288 million iOS 24% 311 million) 1.3 billion Android Source: BI Intelligence Estimates
  • 27. Mobile commerce initiatives to improve the customer experience in stores (North America, March 2014) 28% 62% Use mobile marketing 16% 63% Collect real-time data from POS 3% 72% Identify customers walking in store Have today Plan to in 5 years Source: BI Intelligence Estimates
  • 28. These companies have this iBeacon stuff all figured out