Foursquare’s Data Provides Clues on Retail Traffic Patterns

Foursquare's Data Provides Clues on Retail Traffic Patterns
Vicki M. Young
According to location intelligence firm Foursquare, competitors of retailers that close stores don't immediately see a benefit in their grab for market share but can see material gains once those closures are completed. Sarah Spagnolo, Foursquare's editor at large, said consumer behavior following Macy's closure last year of 68 locations and Sears' shuttering of 108 Kmart stores can be used to extrapolate consumer reaction — and their shopping patterns at brick-and-mortar stores — once store closures at chains such as Macy's, American Apparel and Wet Seal are completed. She had Foursquare's data analysts and scientists evaluate 1.3 million consumers to see where they went to shop, using location awareness apps that the company has in place to measure activity by consumers who have opted-in to be tracked at physical store visits. Tracking location-based technology, such as beacons, are also used. She said the data results — made anonymous and then aggregated — were then "normalized to match U.S. Census data" to eliminate age, gender and geographic bias. In general, Foursquare captures "foot traffic trails" from more than 50 million monthly global users of its Foursquare City Guide and Foursquare Swarm apps and web sites. The location-based apps, which people use to explore the

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