Value Creation for Advertisers in Location-Based Marketing Platforms: Insights from a Wi-fi Advertising Network
Dao Cam Thuy*
Nguyen Tien Dung
Tran Hoang Long
In the context of digital transformation, location-based marketing (LBM) is increasingly employed to deliver contextually relevant advertising messages at real-time points of experience. However, most existing studies primarily focus on consumer responses, while the advertiser’s perspective on the mechanisms of value creation within LBM platforms remains underexplored. This study aims to analyze how LBM platforms generate value for advertisers within the digital marketing ecosystem, drawing on empirical evidence from AWING, an emerging location-based advertising network in Vietnam. Survey data were collected from 33 advertisers across multiple industries who had implemented campaigns on the platform in November 2025. The results indicate that 78.8% of advertisers use LBM primarily to enhance brand awareness, while 75.8% aim to strengthen brand presence at experience touchpoints. Additionally, 69.7% of firms consider LBM an effective complementary channel for digital marketing campaigns. The study identifies two key value-creation mechanisms of LBM platforms: location advantage and consolidation advantage, which enable dispersed venues to be integrated into a large-scale advertising network. These findings contribute to the literature on platform-based marketing and highlight the role of LBM in supporting omnichannel communication strategies in emerging markets.
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