GPS-Equipped Cell Phones Give Rise to Location Specific Ad Business

In Japan, all 3G cell phones must have GPS (Global Positioning System) capabilities.

As a result, some very savvy businesses are capitalizing on the technology.

Cirius Technologies Inc. has a service that allows companies to send online ads to 3G users within a 1Km (1/2+mile) radius.

Cell Phone user #1, "I'm hungry."

CP #2 – "Me, too."

CP #1 – "I feel like something Okinawan. How about you?"

CP #2 – "It don't matter to me."

CP #1 – "Look here…my cell phone says there is an Okinawan restaurant about 300 meters thataway. Let's go there!"

And so they did….

One restaurant in Tokyo has already seen six

new visitors from ads that were displayed 7,000 times and viewed 70 times.

But…the amount of money the customers spent amounted to three times the ad fee. That's the wrong thing to say…it'll just make the ad fees go up.

If customers spend "twice as much as the ad expenses" then it is worth it.

I disagree…anytime you make more money from an ad campaign then you spend putting the ad campaign together…it is worth it.

Yo, iPhone! Can you do location specific advertisement?