O2 location ads make £385,000 for Fitness First

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Operator claims location-based You Are Here campaign has delivered a return on investment of 2690 per cent for gym chain

O2 claims to have generated revenues of more than £385,000 for gym chain Fitness First using a location-based marketing campaign.

The You Are Here campaign delivered SMS messages offering a free two-day pass and details of the nearest Fitness First branch to O2 customers who entereded pre-defined areas called “geo-fences” surrounding a particular gym branch.

O2 said the campaign resulted in 1,121 people signing up for four month and 12 month contracts at Fitness First, representing a return on investment of 2,690 per cent for the firm.

Single Londoners between 18 and 35 were the most responsive to the campaign, according to O2.

O2 Media managing director Shaun Gregory said: “The evidence for using location-based marketing is really beginning to mount.

“These figures show that it is not only effective at targeting the right consumers at the right time, but also extremely effective at driving new revenue streams and huge ROI.”

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