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What is Geomarketing? Welcome to Geomarketing 101

March 27th, 2019 | Jessica Meyers

This guide will explain how geomarketing works, and show you how to do geomarketing right to get benefits for your business. It includes tips, geomarketing tools, and examples so you can master geomarketing as a business promotion strategy.

What Is Geomarketing?

Geomarketing is a form of marketing that uses location data to target advertising and promotions to reach consumers with appropriate messaging in particular localities. For example, geomarketing can help you ensure that you’re not promoting winter coats in Florida or bikinis in the Colorado mountains.

Why Use Geomarketing?

Location data is proven to boost the effectiveness of marketing campaigns by up to 80%. This has a lot to do with relevance. Geomarketing lets you take relevance and personalization to the next level by marketing to your customers based on a combination of historical visitation behavior and where they are now.

Now that almost everyone has a mobile phone, and many have opted in to enable their location services, geomarketing is an essential part of any marketing strategy.

One popular option is in-app ads. This allows you to target promotions to people who are actively using your app, based on the behavior they’re already exhibiting. Users of GroundTruth’s geomarketing services have found in-app ads an excellent way to keep promotions relevant so that more of their customers take action.

Geomarketing Examples

Wondering how geomarketing advertising platformssolutions can help your business? Here’s how restaurants, retail outlets, and charities have used geomarketing effectively to reach their ideal customers.

1. Using Geomarketing to reach restaurant customers

Here are a couple of examples of quick service restaurants (QSR) and fine dining restaurants have used geomarketing to reach more customers:

  • Outback Steakhouse used location targeting to serve ads to nearby potential customers and exceeded industry standards by 80%. They had a 25% improvement in requests for information about dining at Outback.
  • Dunkin’ Donuts used location data successfully to connect mobile device users with their local store, resulting in a 72% click through rate for directions.

2. Increasing Retail Visits with Geomarketing

Geomarketing has been similarly successful for retail outlets, as the following examples show:

  • Timberland was able to increase store visits by 6% by targeting urban adventurers near their stores.
  • Currys PC World used a similar approach, combining audience and location targeting to increase store visits by 12%.

3. Using Geomarketing for Charitable Causes

Tools for geomarketing can also be a big help for causes looking to improve their reach in certain areas or among certain audiences. Here are a few examples:

  • GroundTruth is pretty proud of partnering with the Federation of Internet Alerts (FIA) to send Amber Alerts in areas where people have been reported missing. This has resulted in a 98% abduction to recovery rate.
  • Movember used geomarketing services to get a 50% increase in donations for a men’s health cause.

Geomarketing Tools

Wondering how companies and causes achieve these excellent results? Here are the targeting tools that underpin GroundTruth’s geomarketing services. They include audience targeting, location targeting, and weather targeting.

Audience Targeting

GroundTruth’s audience targeting feature helps businesses to:

  • Show ads to people who have visited a location, brand or category within a certain time frame.
  • Combine visitation data with demographics for fine-grained behavioral targeting.
  • Use data on behavior, purchases and more to create your own custom audiences.

Location Targeting

Location targeting helps you get more insight into how your customers behave in particular localities. This includes:

  • On-premise mobile location targeting, so you know whether your potential customers are on their way to your store, in the parking lot or is already inside the building. Depending on which it is, you can target appropriate promotions.
  • Proximity targeting, which lets you geofence a location in order to show particular promotions to nearby customers.
  • Neighborhoods, which allow you to use visitation and demographic data to show promotions within geographical boundaries.

Weather Targetings

Customer behavior changes according to the weather. GroundTruth’s weather targeting features help you tap into that information to influence customer behavior to improve sales.

What Kind of Ads Can Be Used in Geomarketing?

As you can see, there’s no limit to how you can refine targeting when using geomarketing services. Here are some of the kinds of promotions you can run.

One popular option is in-app ads. This allows you to target promotions to people who are actively using your app, based on the behavior they’re already exhibiting. Users of GroundTruth’s geomarketing services have found in-app ads an excellent way to keep promotions relevant so that more of their customers take action.

Other ads you can use include:

  • Display ads on digital billboards
  • Push notifications from your app
  • SMS messages, which have a high trust factor

You can also use a combination of all the ad types to reach different audience segments.

How to Get Started with Geomarketing

AIf you’re thinking about getting started with geomarketing, there are three essential steps you need to follow.

First, define a goal for your geomarketing campaign. This is essential so you can work out which technologies you want to use, and which ads are most appropriate. Having a goal also gives you a way to measure success.

Typical goals include:

  • Getting more online traffic to your site
  • Attracting more visitors into your store
  • Building brand awareness
  • Getting more people to take up a certain offer
  • Encouraging people to donate to a cause

WSecond, think about timing. Demographic and visitation data can help you work out when your target customers are most likely to be able to see your promotion.

Third, consider the location. Use visitation behavior to build your ideal audiences.

With these three factors, you can create personalized promotions based on current location and past behavior. That means you successfully target the right people in the right place at the right time.

Jessica Meyers
Director, PR and Communications

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