This startup helps businesses deliver relevant mobile ads
This is a world of brands, decisions and choices. As customers, we're spoilt for choice. It is because of this that consumers are becoming more discerning and careful. Today, businesses need to be clearer and sharper in their positioning and communication. That's where BeaconStream comes in; it helps businesses deliver relevant mobile ads based on context, proximity, location and business type, using iBeacon technology.
"We launched BeaconStream to help businesses send notifications, data, coupons, promotions and videos to consumers. This helps in increasing their customer engagement, and also helps them understand consumer behaviour," says Venkat Nallapati, CEO, BeaconStream.
Using iBeacon technology, BeaconStream aims to help businesses increase their revenue, branding and customer loyalty. According to Venkat, BeaconStream has all the tools and technology required to make mobile marketing powerful.
In 2005, Venkat moved to Arizona and founded AdeptPros, a company dedicated to enabling enterprise mobility. He says that he has always been an innovative technology expert. The need to change the world of mobile marketing with beacon technology gave birth to BeaconStream. "Beacon technology also helps businesses increase revenues in a very cost effective manner. They can have access to marketing insights and thus enhance the shopping experience for consumers," adds Venkat.
Venkat says that he wanted to use indoor location services to revolutionise different industries. He foresaw the fast growth of the footprint of beacon technology. "In less than five months, the whole idea was transformed into a product that helps businesses increase their revenue by enriching their customer's shopping experience," adds Venkat. He also says that BeaconStream not only helps the client persuade or influence customers, but also brings in great analytics on engagement and behaviour. It has other features like mobile wallet payments.
The team launched the product five months back in January 2015. For the launch in Chennai, they raised a funding of $500,000. Currently, BeaconStream has hospitals, malls and BFSI, and personal care centres in Thailand, Bengaluru, Mumbai and Delhi, as its clients.
"What is really encouraging is that we receive queries from all over the world; the US, the UK, Canada, Japan, Dubai, Egypt, Israel, Dubai, Saudi Arabia, and of course, India," adds Venkat.
Differentiator and market
Venkat claims that with BeaconStream, you don't have to be tech-savvy. He further adds that you can easily integrate location awareness features into existing apps, create multi-channel customer profiles and analyse customer behavioural data. The revenue models are of two types, namely service and experience. ‘Service’ is for daily activities or service purchases,while ‘experience’ refers to a complete one-time purchase.
Venkat believes that even after the strong e-commerce penetration, on-land retail will remain the largest market with iBeacon technology. He adds that as this space has not seen a lot of innovation apart from the swiping machine, they are a huge target base. "No retailers have so far talked about engaging with their customers at the store," adds Venkat.
Roadblocks and challenges
Internet connectivity in India is a huge problem. Venkat says that since BeaconStream uses technologies like Bluetooth to communicate with smartphones, internet signal quality is very important. The team currently is looking for a third party who can provide high-quality Internet services. "The major challenge is that we Indians play the wait-and-watch game with technology. Only if it does well in the US market, do we slowly try to adopt the same," adds Venkat.
According to reports, iBeacon is believed to reach over 60 million devices. Venkat adds that one iBeacon or BeaconStream device costs close between $20 and $22, opening several revenue opportunities.
Further, the company's expansion plans include growth through acquisitions, and working on various capital-raising methods, such as private investments and IPO processes.
"This is a cutting-edge initiative that the country is seeing for the first time. Our vision is to bring the zero debt company value to $1 billion by the year 2020," concludes Venkat.