Two weeks before Chipotle was set to announce its Q1 results, Foursquare’s CEO wrote a blog post on medium predicting that the chain will see a 30% dip in sales. Can analysis of location data from a crowdsourced application help revel the sales figures of a company? For sure! Remember that time when Foursquare predicted the sales figures for iPhone 6s and got it right? (Read: Foursquare predicts iPhone sales figures).
Chipotle announced its Q1 results earlier last week and guess what? The sales were down 29.7%. Its amazing how the analysis of location data can help predict the sales figures with such accuracy! Foursquare analysed the customer checkin traffic at more than 1900 Chipotle locations across USA to make this prediction.
A lot has been said about Beacon technology driving sales by delivering “smart” notifications and increasing brand awareness but maybe the whole idea might be more useful if it is used as a data collection tool for data mining and analysis!
If you are interested in learning more about Foursquare’s Chipotle prediction, head over to the medium post by their CEO.