A number of retailers in India see growing promise in location-based advertising, which targets mobile users based on where they are and provides offers they're likely to find relevant at a particular time. "We were among the first to map our outlets on Foursquare. ... It works well because as a category, retail is local in nature. And, as a concept, LBS is about targeting the last-mile customer," said Cafe Coffee Day's K. Ramakrishnan.

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