Imagine this: You can display your favorite digital ads to specific groups of people based on exactly where they are located.

Whether they’re near shopping centers, restaurants, or even your competitors’ locations, your ads will reach local and potential customers alike. Geotargeting makes this possible, turning this marketer’s dream into reality!

This guide will explain what geotargeting is and how you can use it to grab more attention from your audience. It also discusses why geotargeting is effective and provides examples of successful geotargeting strategies to inspire your next advertising campaign.

Ready to focus your advertising directly on your ideal customers? Let’s start with understanding what geotargeting means.

Content Outline

What Is Geo-Targeted Marketing?

Geo-targeting is a method of showing ads to people in specific places, based on certain details about them.

It’s not just about where they are — it also considers their interests and who they are. For instance, ads can pop up on your phone when you’re close to a store.

Geo-targeting can even avoid showing ads to certain groups or places you’re not interested in reaching.

This way, the messages you see are more personalized and useful, which can make them more likely to catch your attention and make you want to buy something.

Geo Targeting vs. Geofencing

Geofencing and geo-targeting are both ways to advertise based on where people are.

Geofencing sets up a virtual boundary, like a fence around an area, where ads are sent to anyone inside that boundary. It’s like saying, “If you’re in this area, you’ll see our ads.”

On the other hand, geo-targeting goes deeper by using details about what people do and who they are to show them more specific ads.

For example, a store might send notifications to women who use their app, are near the store, and have bought women’s shoes before. This way, the ads are not only about where you are but also about what you like and do.

These methods help marketers create ads that are more personal and relevant to you, which can make you more likely to pay attention and maybe even buy something.

It’s all about making your advertising experience fit you better based on where you are and what you’re interested in.

Benefits of Geo Targeting

Geo-targeting helps you target the right customers in specific areas while avoiding others. It lets you show different ads in different places, tailored to what people there are interested in.

For example, Google ads change depending on where you are, showing local info.

Benefits:

Personalization: You can make ads personal to increase how much people engage with them.
Lower Costs: It can lower how much you pay each time someone clicks on your ad, making your ads more effective.
Better Targeting: You can reach people who live or move around in certain areas, showing them ads that matter more and wasting fewer clicks.
Better User Experience: You can reach customers when and where they’re most interested, which makes your brand more memorable.
Local SEO: Helps your business show up more in local searches.
Competitive Edge: You can even hide ads from your competitors using their IP address.

How Does Geo Targeting Work?

Geo-targeted marketing uses location information like country, city, zip code, IP address, or device ID to show ads where your customers are.

In the past, ads were aimed at specific places to save money and reach the right people. Now, with mobile technology, ads can be even more precise.

For example, using GPS or Bluetooth signals from nearby devices, you can send personalized ads or notifications when customers are near certain places.

This data gets even more detailed when combined with details about customers’ interests and behaviors from apps and mobile searches.

So, you’re not just showing ads to people in a place, but to people who are interested in something related to your business.

For instance, if someone often orders coffee through your app, you can send them offers based on their coffee preferences and where they usually get their coffee.

This makes their online and in-store experience more connected and personalized.

Is geotargeting marketing effective? Absolutely. Here’s why:

1. Wide Audience Reach:

A large number of people in the US own smartphones, with 81% having one. For younger consumers, like millennials, almost all (94%) own smartphones and spend more time on them than watching TV.

This means geotargeting can reach a broad audience where they spend their time.

2. Increased Campaign Success:

According to research, 83% of marketers believe using location data improves the success of their campaigns.

Geotargeting helps marketers understand their customers better by using their location and behavior, which leads to more engaging campaigns.

3. Driving Online and Foot Traffic:

Geotargeting is great for bringing more people to your website or physical store. By knowing where potential customers are, you can show them relevant promotions when they are most likely to be interested.

4. Proven Effectiveness:

Marketing campaigns using location data are shown to be 80% more effective. This is because you can target your advertising precisely to where your customers are, increasing the chances they will engage with your ads.

Geo Targeting Use Cases

Here’s how different companies are using advanced technology to create personalized and engaging experiences for their customers:

1. Sacramento Kings:

The Sacramento Kings use technology to enhance the game-day experience for fans at Golden 1 Center.

They send personalized messages to fans’ phones when they approach the arena using a special app. This is made possible by using Airship’s personalization tools and Real-Time Data Streaming.

They can include details like the fan’s favorite player or ticket status in these messages. This encourages fans to use the app during the event, leading to high engagement rates.

2. South by Southwest (SXSW):

SXSW in Austin, Texas, connects their SXSW GO app with a mobile wallet pass to create a seamless digital experience for attendees.

The app helps guests plan their schedules, view event lineups, and see which sessions their friends are attending.

Using Gimbal’s location technology and Airship’s mobile engagement features, SXSW sends personalized alerts and recommendations based on attendees’ locations and schedules.

Beacons strategically placed around the festival grounds trigger notifications, allowing SXSW to understand how attendees interact with their event.

3. William Hill:

William Hill, a prominent sports betting outlet, uses location-based push notifications to send targeted offers to users. These offers, like free bets, are based on where the user is located.

By segmenting users and using location profiles, William Hill ensures that their messages are highly relevant.

This strategy has significantly higher engagement rates compared to non-targeted messages, as explained by Alex Rutherford, head of mobile sportsbook.

4. GasBuddy:

GasBuddy helps users find the best gas prices and partners with major brands for its GasBack rewards program. They use Radar and Airship to send automated push notifications when app users enter specific retail locations.

These notifications offer limited-time GasBack rewards directly on users’ lock screens, encouraging them to take advantage of deals while they are nearby.

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Conclusion: What Is Geo-Targeted Marketing?

Geo-targeted marketing helps companies connect with customers exactly when and where they need them the most — those critical moments that define their relationship with your brand.

Interested in learning more about how geo-targeted marketing can create personalized experiences that build loyalty? Contact us today to find out more!