Location-based social networks will continue to grow in importance in 2011. While currently only 4% of online adults use location-based social networks, they allow businesses to engage with mobile users as they explore the real world. Checking in at locations through these services gives businesses opportunities to reach loyal customers, communicate offers, and build brand affinity. To get started, businesses should get listed on location-based networks and analyze check-in data to understand customer demographics. They can then use special offers tied to checkins to reward loyalty and encourage word-of-mouth through customer reviews and tips. The space will continue to evolve rapidly through augmented reality, QR codes, and tying the virtual and physical worlds more closely together.
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