Have you ever searched for places like theaters or malls on Google Maps? The places you’re interested in searching are, in fact, simply Point of Interest (POI) data. POI data involves any location interest or landmark people want to know more about. Like most people use Google Maps to find these places of interest, businesses can use this data to understand key attributes and trends.
POI data benefits businesses by allowing them to realize where their audience is, what they care about, and how the audience can be reached. We can deep dive into how POI data helps businesses make better location-based decisions.
What is POI data?
POI data might be better understood as a GPS version of an organized map that contains information about all the significant points around you. It comprises actual geographical locations—convenience stores, hospitals, retail shops, and other popular entertainment places people search for.
For example, if Emily needs a bookstore in her area open at night, she can use Point of Interest (POI) data to find available locations. Similarly, businesses need Points of interest data to understand current competition, trends, consumer preferences, and the planning of new places. POI data not only identifies the “where” but also provides information on “what” something is and “why” that thing exists or is important.
POI data is not just a single point on a map but contains important attributes crucial for businesses to get in-depth insights. Some of the major points of interest attributes for businesses to consider include:
- Geographic coordinates: This is the best form of POI data, a set of coordinates in latitude and longitude that will locate a place on the map completely.
- Physical address: Besides coordinates, it is crucial to have the full address of a POI because clients prefer recognizable addresses for customer-oriented applications.
- Operating hours: Businesses must value their store timings to ensure smooth and efficient operations and determine the best delivery schedule for store hours.
- Contact information: Phone numbers, websites, and e-mails provide inbound communication channels for companies to initiate partnership.
Understanding points of interest with a real-time example
A Point of Interest (POI) can vary depending on the context and goals that the business expects. Now, let us picture this with an example from the automobile industry.
- Focused POI definition – Dealerships:
When a business’s scope is to capture the movement of consumers within a dealership, the POI constitutes aspects within the physical perimeter, such as the car parking lot and the store. This would help analyze consumer visits within that specific location. - Broader POI definition – Customer journey:
If businesses are seeking more insights, they will naturally want additional information, such as the locations of nearby gas stations and car wash centers. They may also analyze customer behavior and track how customers flow between these nearby places when visiting their shop.
To learn more about this, check out this case study from Xtract.io about how location-based marketing helps the automotive industry.
Why businesses need POI data
Imagine you’re planning to open a new store or need to analyze the competition in a new city—Points of interest give you the insights to make it all happen.
1. Finding the right location
Site selection is essential for businesses. Now, imagine if you’re starting a cafe. With the help of POI data, you can identify the location of other cafes, determine where people tend to have a cup of coffee and idealize a location for your new business.
2. Understanding your competitors
The POI data lets you know where your competitors are and helps identify any other new entrants in that region. So, it becomes easier to get a clear picture of where you should not be going and where the big opportunities are.
3. Improving the customer experience
Consumer demands today are all about customization and differentiation. This is exactly where POI data can help businesses. One of the main benefits under which businesses stand to benefit from location data is providing services relevant to a customer’s current location.
What do businesses need from POI data?
After knowing the necessity of POI data, businesses need to understand what they have to focus on when selecting the right POI data to make strategic decisions.
1. Accurate data: Businesses must ensure that POI data has correct information for planning their store locations. Outdated data can lead to inaccurate information, so choose providers who regularly monitor and provide real-time updates. Xtract.io has been one of the prominent players in the industry for more than a decade, providing intelligent and precise location data.
2. Data customization: Every business has unique data needs. Providers must cater to companies’ specific requirements, ensuring they are relevant and actionable for your decision-making.
3. Easy integration: Businesses must choose a provider that offers flexible integration options to help them use the data effectively. They must also validate POI data for effective utilization in their systems.
Upcoming trends to know about POI data
- Upgrading new technologies: Businesses will use more complex methods to guarantee the accuracy and timeliness of POI data. IoT integration will capture real-time data, while mobile crowdsourcing will provide genuine user feedback. These techniques will help maintain the credibility of the data, and real-time database updates will make the information readily available to companies.
- Visualizing data analytics: Predictive analytics will define forthcoming trends, pattern recognition will show recurring patterns, and behavioral modeling will examine why consumers act as they do, enabling better strategic business improvements.
- Emerging applications: Algorithms utilizing points of interest information will enhance the identification of interesting applications in various sectors. AR integration will bring human and digital presence closer and make the environment realistic and exciting.
However, with the availability of the IoT and other crowdsourcing tools to gather data in real-time, firms are in a position to guarantee that the data encompassed is accurate and timely. In addition, the technologies that are only now emerging as new, such as predictive analytics or augmented reality, are also creating innovative opportunities for improved decision-making and customer engagement. These are some of the significant trends pointing to the future of POI data.
Conclusion
Points of interest are among the most important data businesses cannot ignore. Whether it is the choice of the right store location, evaluating competitors, or even providing services to clients, POI data is a valuable tool necessary for sound decision-making. Combining movement with geographical locations makes monitoring traffic and finding patterns that can create positive change for businesses easier. Incorporating accurate real-time location data and partnering with highly reliable suppliers like Xtract.io provides periodical refreshes of location data, which businesses can utilize to make strategic decisions.
