What is geomarketing?
Geomarketing is a form of marketing that uses location data to guide advertising and promotions so that the right messages reach people in specific locations.
For example, geomarketing can help you ensure that you are not promoting bikinis in places where there is no beach or the weather is cold all year round.
Purposes of geomarketing
There are many reasons for companies to take advantage of the use of this location-based insights. Here are some examples.
Suppose you are wondering where to open a new point of sale. A geomarketing analysis can help you discover the areas where your target customers are to find out if your store will attract pedestrian traffic or not.
With the data from your geomarketing campaign you can find out the behavior of customers based on their purchasing habits . This is because the data reveals how consumers move between different outlets, where they stop, and where they shop. In other words, typical consumer buying patterns can be determined and the information used to better target marketing.
Another use of geomarketing tools is to target digital advertising campaigns to certain demographic groups of consumers, and to segment customers to market to those who are most likely to buy.
Location data is proven to increase the effectiveness of marketing campaigns by up to 80%. This has a lot to do with relevance. Geomarketing allows you to take relevance and personalization to the next level by marketing to your customers based on a combination of historical visitor behavior and where they are now.
Now that almost everyone has a cell phone, and that many have chosen to activate their location services, geomarketing is an essential part of any marketing strategy.
Examples of geomarketing
Do you wonder how geomarketing can help your business? Here’s how restaurants and retailers have used geomarketing effectively to reach their ideal customers.
Use geomarketing to reach restaurant customers:
- You can do a location targeting to serve ads to nearby potential customers.
- Use location data to connect mobile device users to your local store.
- Use location data to serve ads to people whose past habits show they might be interested in what you have to offer. This approach can double the benchmark success rates.
Increase visits in shops with Geomarketing
Geomarketing has been similarly successful in retail stores. For example, Timberland was able to increase visits to its stores by targeting urban adventurers who were near its stores.
You can use a similar approach, combining location and audience targeting to increase visits to your stores.
Audience targeting, location targeting, and time targeting are tools that will help you in your geomarketing campaign.
It helps companies show ads to people who have visited a place, brand or category within a specified period of time.
Visitor data can be combined with demographic data for more accurate behavioral targeting.
Using data on behavior, purchases and more, you can create your own custom audiences.
Segmentation by location helps you to better understand the behavior of your customers in certain locations. This includes:
- Location targeting, so you know if your potential customers are on their way to your store, in the parking lot, or are already inside the building. Depending on what it is, you can target the appropriate promotions.
- Orientation by proximity, this allows you to geolocate a location to show specific promotions to nearby customers.
How to start your Geomarketing campaign?
If you are thinking of getting started with Geomarketing, there are three essential steps that you must follow.
First, define a goal for your campaign. This is essential so that you can determine which technologies you want to use and which ads are the most appropriate. Having a goal also allows you to measure success.
Typical objectives are:
- Get more online traffic to your website.
- Attract more visitors to the store.
- Create brand awareness.
- Get more people to accept a certain offer.
Second, think about the right time. Visiting and demographics can help you determine when your target customers are most likely to see your promotion.
Third, consider the location. Use visitor behavior to build your ideal audience.
With these three factors, you can create personalized promotions based on current location and past behavior. This means that you can successfully target the right people at the right place at the right time.