Will Foursquare scale or fail?

Everyone wants a piece of Foursquare’s location-marketing action, but the site’s reportedly struggling to scale up fast enough to meet demand. With rivals like Yelp and Facebook snapping at its heels, experts say that Foursquare needs to find creative ways to let marketers run location promotions more easily — without diluting the service’s appeal to users. “[I]f consumer attention and interest in those offers wane, then advertising attention decreases, revenue shrinks and Foursquare advertising goes the way of so many ad channels before it,” notes Augie Ray.  Scobleizer


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