Geotargeting has become an important move for marketers, however not many understand what this method is all about, what it’s implied, and how to take advantage of it. Today we are going to explain all about this method, that thanks to smartphones and other devices, it has been helping marketing, keep reading!

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What is geotargeting?

This method is using data that is obtained from the user’s mobile devices, this data shows current and past locations, with different contents around that location can be displayed on their devices. There are different names for this method not just geotargeting, among them we can find location marketing, geolocation marketing, proximity-based marketing, and hyperlocal marketing. 

The main reason to use geotargeting is to promote products or services from a specific location, for example, a hotel can target a promotion for all the users that are in its location, this promotion will appear as ads on different websites and social media, inviting them to use the hotel’s services. 

Location marketing has become an asset for many marketers, they say that campaigns run with a more successful rate when it’s used for geotargeting. When a business focuses on the local audience, they can gain more loyal customers that will always support local talent and entrepreneurs, don’t underestimate the power of local pride. 

But why is geotargeting more powerful than ever? Simple, people are using more mobile devices than TV or Radio, and even they are starting to read their preferred newspaper online. So, the focus on digital is key to have success on the market, this doesn’t mean that traditional marketing is dying, au contraire it’s keeping its power but even then they understand that the digital aspect is important. 

The different ways to do geotargeting are:

 Advantages and disadvantages of geotargeting

As with everything this method has its pros and cons, check them out!

Advantages

Disadvantages

  • Location Targeting: this helps to increase the in-store visits using some of the mentioned above.
  • Data offerings: with location and trade area data, plus visiting history, marketers can study campaign results to get what is the shopping behavior of their audience. 
  • Enhanced targeting: this is all about precision going beyond location, you can use shopping patterns, weather, and even time to personalized ads and improve ROI.
  • New performance models: location marketing has allowed marketers to find new models like the cost per visit performance model. This is all about paying when customers make an in-store visit, improving the ROI. 
  • Opt-In requirements: this method can only work when users activate the location feature on their devices, plus they must permit apps to use that data. 
  • Non-smartphone users: yes, they’re still a big part of the population that don’t use smartphones or any digital device, so geotargeting is not of any use for this audience.
  • Wrong targeting: this method can work if marketers do it right. Yes, it is incredible the amount of data that you can collect from one location, but segmentation is important here. 
  • Problems with location data: not every user is keen on sharing their locations, they can use a VPN permanently or they have problems with the correct location, anyway targeting them can be ineffective.  

Geotargeting can be what marketers are seeking to design more personalized campaigns, however, this method has its problems and limits. As a marketer you must understand that using different tools can be a campaign success, don’t stick with just one method. 

Geotargeting types.

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