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Until relatively recently, WiFi was seen primarily as a way of providing mobile users with fast Internet access. However, there is a growing recognition that it also represents an opportunity for the development of new value-added mobile services. Forward-thinking companies are looking at the ways in which such services could contribute to future business success.
One such company is Steen & Strøm, which owns or manages 52 shopping malls in Scandinavia. Steen & Strøm recognises the potential of using location-based services to enhance the experience of shoppers using its malls. To investigate this potential, it entered into a partnership with HP, aimed at developing a WiFi-based digital shopping solution for customers at the Bruun's Galleri mall in Aarhus, Denmark.
"We are always interested in exploring the use of cutting-edge technology to expand the shopping experience. This focus on technology helps us maintain our market-leading position," says Finn Chabert, technical manager, Steen & Strøm Denmark.
The partnership with HP gave Steen & Strøm access to revolutionary networking technology solutions from ProCurve Networking. In collaboration with ProGate, a specialist in location-based services, ProCurve developed a system for use by people with personal digital assistants (PDAs) or WiFi-enabled mobile phones. The University of Aalborg also participated in the project, helping to develop positioning services.
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On the hardware side, the solution is based on ProCurve Wireless Access Points 420, with a ProCurve Integrated Access Manager 760wl to provide stable roaming and strong security. To ensure that WiFi triangulation capabilities extend throughout the 29,000 m2 mall, access points have been installed at a high density.
The software has three main components. First, a triangulation application positions the user accurately as a necessary prerequisite for delivering location-based services. Second, a content management system (CMS) links data and triangulation coordinates so that the right content is delivered to the right user profile in the right zone. Each shop has its own zone in the physical space adjacent to it, and there is also a global zone extending across the entire mall. Individual stores have their own user-friendly web interfaces to the CMS and can control what marketing information is presented when a customer enters their zone. This information may be dynamic or static.
The final software application is the digital shopping assistant (DSA) application running on the end-user device. This can be installed automatically when the user first logs onto the wireless network. It provides several options, including the creation and activation of a personal profile. Any offers fitting this profile will then appear on the device when the user enters the appropriate zone. The high bandwidth enables offers to be presented in the form of video, music, text or pictures.
Users can also locate specific items that interest them. A list of outlets selling these items is displayed, and when one of the outlets is selected the device guides the user to the destination using the interactive map. In combination with a WiFi tag that can be attached to a child's clothing, the DSA can also continuously monitor the child's location.
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According to Chabert, the pilot installation has worked extremely well. This is due in part to the sophisticated security features of the ProCurve Integrated Access Manager and the ability of the ProCurve Wireless Access Points to maintain optimum performance regardless of the number of users. .
From the customer's perspective, the system provides valuable assistance in navigating around a very large shopping area. It also represents a short-cut to finding out about the best deals. Extensive testing has revealed a high level of enthusiasm among potential end-users - most notably an elderly woman who was filmed for television as she used the system to track down the luggage she wanted.
Potentially, the system can enable people who own stores in the mall to market their products to a wider audience, as Chabert explains: "The impact of conventional advertising is limited to people who come into the store or at least look in the window, but WiFi makes every visitor to the mall a potential customer. A supermarket, for example, could promote its special offers across the entire global zone."
For Steen & Strøm, the digital shopping system represents a strong marketing tool. For example, it is possible to analyse the flow of people through the mall and thus provide an objective basis for assessing the desirability of different shop sites. The system also provides a mechanism for investigating whether and how value-added internet services increase the attractiveness of the mall.
At the moment, the system's potential impact is limited by the fact that relatively few customers own suitable end-user devices. However, all major suppliers now offer WiFi-enabled phones and take-up is likely to grow steeply in future. In recognition of this, Steen & Strøm is considering extending the pilot installation to other Danish malls.
"As a forward-thinking company, Steen & Strøm is keen to understand how shopping patterns will evolve and what features will be most attractive to the shoppers of tomorrow. This innovative project is giving us a valuable insight into these key areas," concludes Chabert.
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Company: ProGate
Headquarters: Åbyhøj, Denmark
Telephone: (+45) 87 41 98 00
URL: www.progate.dk
Business: IT solutions provider
Products: Location-based services, wireless networking solutions, CRM solutions
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Steen & Strøm wanted to investigate the potential of using location-based services to enhance the experience for customers in its shopping malls.
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- ProCurve Networking and ProGate developed a WiFi-based digital shopping solution.
- ProCurve technology provides the physical infrastructure.
- ProGate developed the content management system and digital shopping assistant application.
- Customers with PDAs or WiFi-enabled phones receive location-based marketing information ranging from text to video.
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IT improvements
- ProCurve technology provides strong security and high performance.
- The content management system enables shops to control the marketing information presented to potential customers.
- The digital shopping assistant provides users with a range of options, including the ability to create a personal profile.
Business benefits
- Customers are highly enthusiastic about the solution.
- Shops are potentially able to market their products to a wider audience.
- Steen & Strøm has a valuable new marketing tool.
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Primary applications
- Location-based digital shopping services
Primary hardware
Primary software
- Triangulation application
- Content management system
- Digital shopping assistant application (DXA)
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When you are ready to explore the benefits a ProCurve Networking solution can offer you, call HP at 1-800-975-7682.
To learn more about ProCurve Networking's Adaptive EDGE Architecture™ solutions, visit our home page.
Purchase: In the US, HP business solutions, products, and supplies can be purchased at your local HP partner, or bought directly from HP either online or by calling 800-613-2222.
Finance: HP finance plans provide all the benefits of new technology without the risk or cost of ownership. For details, call 888-999-4783.
Accessibility: HP is committed to providing products and services that are accessible to people with disabilities. For more information, please visit the HP Accessibility web site or call 888-259-5707.
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