Location-Aware Technologies: How They Affect Customer Experience

Abstract

The use of digital technologies in every aspect of tourism has caused the digital transformation of the industry. Businesses have to adopt a variety of digital technologies or a combination of them in order to optimize their operations, offer better customer experience, achieve better financial results, sense the changes and capture the preferences of customers. In the last few years, mobile devices or smartphones have attracted the attention due to high levels of adoption and personal data they produce. With this kind of data businesses are able to achieve a deeper understanding of customers’ preferences and needs, to offer personalized services. In order to take advantage of these opportunities, businesses use location-aware marketing techniques, location-based social networks or applications. The combination of preferences, social media data and customer needs help businesses to attract better reviews and to achieve better campaign and firm performance. The purpose of this literature review is to compare the different mobile location-based techniques that are used to increase the value of their businesses and to offer a higher level of personalized experiences by examining the effects that these techniques have on customer experience.