Foursquare launches first paid service for advertisers

Geolocation service Foursquare announced the launch of the first paid service for advertisers which enables them to promote their products through the service’s users.

As the corporate blog of Foursquare reports, the service, launched in the pilot mode so far, will be called Promoted Updates. It will report on news in Friends folder and display messages of advertisers on the priority items in Explore folder. And that is also specified that only 20 selected partners of Foursquare will test the service including Best Buy, Hilton, Gap and others.

Recall that, the Foursquare has also recently launched a Local Updates service for corporate clients, which allows you to place news from the shops, restaurants and other establishments to the Friends folder.

The new feature for advertisers will work similar to Local Updates, but the fundamental difference is that Promoted Updates will allow posting updates in the Explore folder and move them to the priority position in search. Promoted Updates will be provided to advertisers in two versions - the promotion updates in general (for example, the importation of a new collection of clothes in the store), or the promotion of special offers (for example, 10 per cent discount for check-in at the restaurant).

Explore folder, updated in early June, positions Foursquare as an advisory services. In its upper part is an interactive map showing the current location of the user, as well as recommendations of nearby places. Advertising in this section means automatic targeting for the current location of the user.

During the test period the service will determine its optimal cost and the terms for advertising campaigns. Later Foursquare plans to launch a platform that allows corporate customers advertise and pay for their advertisements promotion, SlashGear says.