LEDs That Sell!

There’s a revolution going on in European retail, and it’s not what or where their products sell, but in how they enlighten customers about the products they sell while they’re shopping in retail venues. One innovative way retailers are doing this is through LED technology developed by Philips.

Philips “connected” lighting is based on the premise that stores already have lighting, why not take advantage of it to reach customers on a one-to-one basis. With that in mind, Phillips Lighting is fitting whole stores with special LED bulbs that transmit a signal by emitting light at specific frequencies. These frequencies allow the retailers to send targeted information to shoppers via their tablets or smartphones.

The shoppers need to download an app to their cell phone or tablet. Once they do this, their handheld device will pick up the frequency sent out by the LED lighting. The frequency pinpoints where the customer is and in which direction he or she is headed. The customer then gets sale information about products in their immediate vicinity.

The information is immediate, in real time and can be quickly changed so even short-term one-hour sales can be put into effect. This makes for a retail environment that’s far more flexible and responsive to inventory and sales quotas. It also saves a ton of money on printed sales circulars.

Customers are not the only ones who are benefiting from ”connected” lighting. Retailers can send packing and restock orders to stock personnel as they move through a warehouse or a store space. Stocking and shelving are enhanced and become more accurate.

Is this a technology European retailers are willing to bet on? Considering Nielsen MediaResearch finds that 64% of Britons now own and use smartphones, and the numbers are even greater in countries like Spain, the answer is yes they would be willing to bet on it. Could it happen in the U.S. as well? Ask yourself this: how far do you live from a cell phone tower?