What is Geofencing & Can It Help Your Business?
Have you heard of geofencing, yet? If not, you may be missing out on a marketing opportunity your competitors don’t even realize exists. Geofencing is using technology that’s existed for over a decade to target users traveling through geographic areas with advertising. If you’ve ever checked your mobile phone while in the grocery store, at the bar, or just cruising through town, you may have seen local services or products pop up in your advertising. If you’ve scratched your head trying to figure out just how those particular products, services, or locations popped up, chances are some of those ads are being served via geofencing technology.
Let’s look at what geofencing is, how it’s used, and why you should consider taking advantage of this marketing opportunity.
So, What is Geofencing?
Geofencing serves ads based on a geographic boundary set by GPS and RFID. This means that if you’re traveling in a geographic boundary being advertised to by a company, you’ll see ads on your mobile devices if GPS or RFID is enabled. For instance, if you’re lost in a neighborhood looking for the closest Starbucks, a mom and pop coffee shop in the area could serve you ads enticing you to visit their coffee shop. Even though you’ve never heard of them before, since your GPS shows you in the area looking for Starbucks, a properly run geofencing campaign can serve you ads showing Starbucks’ competitors in the area.
Can Geofencing Help Your Business?
Depending on your industry or niche, geofencing can help your business, especially when competing with others in a given area. Geofencing can help your business in the following ways:
- Engaging local shoppers as they’re traveling in your area
- Deals can be customized to geographic boundaries
- Leverages your location to your advertising campaigns
- Adds depth to analytics for future advertising campaigns
- Offer rewards to prospective customers to come into your store or give you call
Geofencing puts your brand, service, or location in front of eyes that may not have known you were there or what you can offer. By engaging local shoppers this way, you can let them know you have a location or service in the area that’ll benefit them. By customizing deals to geographic boundaries, you can offer something your competitors can’t which will lead to foot traffic or calls.
By leveraging your location, you may be able to convince someone to step through your door or give you call instead of going to the competitor they were on the way to or about to call. By adding more depth to your analytics, you can target more customized audiences with geofencing and other forms of advertising. Lastly, by offering rewards set by geographic boundaries, you can convince consumers to give you a call or visit your location because your competition isn’t offering a better offer.
Geofencing can offer a new way to reach your target audience, steal from the competition, and learn more about how to leverage your business or service around your town.