Today, many are touting the benefits of buying locally produced products because — all else being equal — these products have less of an environmental footprint because they travel shorter distances to market. Yet, there has been less attention paid to how far shoppers travel to make their purchases — and the opportunity to reduce their environmental impact when doing so.
Interestingly, many consumers view eCommerce as more eco-friendly than shopping on Main Street because they don't have to travel from their homes to do so. But, environmental impact studies on the topic are mixed, and the actual answer depends on a lot of factors, including the number of products purchased at a time, the density of the surrounding area and the distance traveled to a store.
Moreover, online is estimated to represent only 7 percent of retail sales in the United States, with the vast majority of goods and services still being sold through traditional brick-and-mortar retailers.
Given that the overwhelming majority of sales are made offline, the Internet — and increasingly Internet-enabled mobile devices — arguably can have a significant impact how people shop when used to facilitate offline transactions closer to home. To that end, new mobile players with location-based services are emerging that aim to drive hyperlocal shopping.
For local businesses, such apps provide new ways to reach local audiences and drive foot traffic. Consumers benefit from the added convenience of finding what they need nearby. The environment also wins as consumers travel fewer miles to shop. Here are a few examples of mobile offerings that hold the potential to reduce the environmental impact of shopping:
Business locators. AroundMe is a popular app that takes advantage of geolocation capabilities to enable consumers to find businesses nearby. This app allows consumers to search merchant categories such as restaurants, gas stations and grocery stores, and displays results based on proximity or price (gas stations) or even availability (hotels). Such an app drives foot traffic to local establishments based on search results, as well as geo-targeted ads, while reducing the environmental impact of consumers traveling father distances to shop.
Product locators. JiWire recently launched Compass, a mobile advertising platform that enables retailers to target mobile users with relevant ads based on the location. What is interesting is that Compass can geolocate products from more than 200,000 retailers, allowing customers to then text or call retailers to put an item on hold for purchase. Not only does this create a superior consumer experience, but it enables consumers to avoid extra trips to make a purchase.
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