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Geofence Marketing Ads

Most business owners have tried promoting their business in several ways. But what if you could funnel prospective customers from your competitors’ alley right into yours?  Wouldn’t it be fantastic if it was ethical and acceptable to stand in front of your competitors business and target their customers and tell them about your brand.  Geofencing is the single most effective way of doing so. It is opening a massive world of possibilities for businesses to bring in more sales, create engagement, and a loyal customer base from a market that you have not been able to tap into in the past.

 

Geofencing use GPS data to show ads to people who are in certain physical locations. ( Your competitors- for example)  A virtual fence is drawn around buildings like stores and convention centers, and outdoor spaces like parks and streets. Anyone who enters the virtual fence is shown the ad. Ads consist of banners in multiple sizes and some text ads can also be displayed.  Since we use both first party data to run geofencing ads and also third party data, you can customize your ads based on your needs and change the ads as your marketing  and business goals change. 

 

Let me explain first party data. First party data means a person is physically in the space at the time. At that moment and they are shown the ad while in the space or location we have targeted.  Example- You have an emergency room or urgent care and you want to target the Rockets Game for the nights of the game. We would run your ads based on the Rockets schedule and the ads would be shown to people in the stadium at the times we selected.

 

Third Party Data is typically 90 days of compiled behaviors and changes.  Example – You are opening a new restaurant in Hollywood and you want to target people who have eaten out within 5 miles of your restaurant.  We would run ads in the neighbors 5 miles from your new location targeting only those devices that are in the Eating our categories.  Our system tracks behaviors and places visited and collects that data. Since our behaviors change after 90 days that device drops off.  Another example is those same people from the Rockets game can be targeted as well and you can select to only target those people who live in a certain geographical area.  GEOFencing is very granular and precise.

While DigitalWise Media also conducts geofencing on this same foundation like other geofencing companies, we set ourselves apart from those other geofencing companies by leveraging the audience data toward conversions:

 

  • We retarget customers who visit or commute through any of the geofences.
  • We track off-line or “last mile” conversions to better gage advertising success.
  • We leverage targeted campaigns only to customers within a predetermined physical proximity to your business.
  • We identify high concentrations of customers.
  • We target competitors’ locations.
  • We target trade shows and events.

 

How to get started with geofencing?

 

Geofencing is easy with DigitalWise Media.  We will help you strategize and create a winning campaign with tracking in place to monitor the results.  Think about how these factors would benefit your business. Consider different aspects of your marketing strategy, including:

    • Customer demographics (of the locals)
    • Travel radius (four to five minutes travel distance)
    • Call to actions (requiring immediate action)
    • Customers’ privacy (make the engagement safe and comfortable)
    • Targeting techniques (implementation methods)

Targeting options in geofencing ads can range from locations to demographics as we mentioned.  These are some of the options and targeting solutions that are available to run ads campaigns thats will greatly enhance your digital marketing:

What is geofencing marketing?

Geofence marketing  is the ability to place ads, banners and text ads to serve to a specific audience, or target market based on location or specific demographics. This location-based marketing practice  uses GPS points, Wi-Fi, Bluetooth, mobile data, or radio frequency identification (RFID) to define a virtual barrier. Once this barrier or fence is established, alerts are sent to those smartphone users who enter, exit, or remain parked in this pre-defined geographical location, geofence, or geotarget.  Businesses can target certain areas to communicate company branding, promotions, sales, or any other promotion messages  to anyone in the specific geofence.

Why use geofencing?

From retail, businesses,  transportation companies, to healthcare, attorneys or legal professionals, event promoters, and real estate agents, brokers or builders geofencing has a variety of uses that any business could benefit from.  Geofencing is a marketing tactic that is fairly inexpensive and has typically a huge ROI. Geofencing is a game-changer that you need to have as part of your marketing strategy. Depending on your business structure, services and products, you can targeting a specific mileage range, zip code, or a city, or using demographics  to decide who to show your ads to.  Geofencing is a highly useful digital marketing tool that delivers the best results if it is implemented correctly. The approach, however, is not just limited to mobile phone users but can also extend to tablets, desktop, and laptop users. Smart data and smart strategy are what connects it all together to reinforce the desired results.  Any device connected to the internet in a specific location your targeting will be able to see the ads.

How geofencing works?

Getting into the technical aspect of this technology, here is how geofencing works – according to your marketing campaign. Geofencing can be done around shopping centers, neighborhood stores, restaurants, hotels, airports, those big-name competitors, or practically any place where your potential customers spend time.

 

We set virtual parameters around these locations, and whenever someone enters the geofenced locations, we tag them to receive your ads on their mobile devices via the apps they use, or web pages. They must have their phones on them, connected to the internet, GPS enabled,  and they will be shown your ads. Once their device enters this fenced region, the geofence algorithm is activated to trigger actions as specified by you.

 

Location-based marketing accepts latitude, longitude, and radius edges to make it inherently circular in nature. However, you can also opt for polygonal geofences to monitor an altogether different kind of territories. This way, you can show each group of these customers differently customized ads. Our mission is to take the people going to your competitors’ businesses and get then to come to your place instead.  Mobile apps use a location API to figure out the location coordinates in both Android and iOS environments. This data can be fetched from different sources, including GPS, Wi-Fi, IP, beacons, and more. Apps rely on the operating systems to get the precise geolocation data.

How to Geofencing Can Help Your business?

Geofencing has significant benefits:

  • Local optimization increases local sales
  • Combines your offline and online business
  • You spend on people who are more likely to take actions
  • This increases brand awareness around a particular location
  • You are able to draw the prospects away from your competitors
  • It significantly cuts down the costs while producing effective results
  • People who come in with your offers provide tons of insightful data metrics
  • Gaining information about the demographics allow personalization of the message

How some popular brands use geofencing?

Here are a few real-world instances (by some big-shot brands) on how to unleash the fullest potential of your marketing strategies with geofencing:

Dunkin Donuts

In 2017, Dunkin Donuts released a personalized geofilter on Snapchat that turned the users’ head into a massive donut on World Donut Day. This filter could be unlocked only at the Dunkin Donuts stores. Those who clicked photos and tagged the store’s Snapchat handle were eligible for winning free coffee all summer or a reward price worth $10,000.

American Eagle

To drive maximum customers and improve their in-store sales, American Eagle and Shopkick took advantage of geofencing marketing tactics to the best of what they could. American Eagle collaborated with Shopkick and used the beacon tech to urge customers to try new products in the dressing room and incentivize them in the form of rewards coins. This campaign helped the store triple its sales in retail outlets.

Sephora

Offering a virtual store companion, Sephora is another excellent example to understand the smart location-data solution. As soon as the customers walk in the store, the companion turns on, providing information on past purchases, current offers, product availability, recommendations, and reviews, etc. The companion offers location-targeted messages like reminding unspent gift vouchers or alerting the users when they are around a Sephora store.

2019 General Elections

On account of 2019 General Elections in India, the Instagram app released a location-specific sticker for use in its stories. It featured a hand with a blue ink mark on the index finger as in indication of casting a vote in the sub-continent.

HotelTonight

This is great, and certainly one of the very famous examples of how successful geofencing marketing tactics are for the hospitality industry. HotelTonight is famous for providing its users with recommendations on open accommodations utilizing the users’ GPS data and delivering accurate location-based communication. It geofences URLs to group search results and offer a unique experience to customers overcoming their own processing load.

Targeting by location

Location-based targeting is a universal practice and is particularly useful for internet-connected smartphone users. Phones today are geotagged, plus the apps are GPS enabled, so it allows your business to customize promotions and offer real-time customer experience. You can initiate niche-specific campaigns, provide loyalty rewards, or prompt on-the-spot ads for in-store customers.  Our precise location targeting solutions give measurable results with on-premises mobile location targeting along with proximity and neighborhood targeting.

Targeting by Weather

DigitalWise Media offers you a sophisticated weather targeted solution to boost your store sales in rain or shine. Weather is one factor that affects the purchasing behaviors of your target audience. No one buys umbrellas when it is pleasant outside, right? For the same reason, weather targeting is particularly useful as you adjust your messages as per the seasons.  Our network of more than 10,000 weather stations and sensors enable us to trigger weather targeted ads in the form of SMS messages, push notifications, and digital billboards, besides in-app advertisements. Real-time data ensures the ads are relevant, accurate, and displayed only when the parameters are met.

Targeting by Audience

Geofencing based on audience targeting helps you show tailored ads to specific groups of people.   This is one way to reach potential customers based on demographics, behaviors, interests, and locations.  Ads can be shown based on behaviors, like people who for the past 90 days have visited fast food or restaurants.  Or people who have shopped for new cars or been to car dealers.  The behaviors is endless and there are several categories we can use to show ads specifically to those groups of people. The data is based on behavior for the past 90 days.  Since studies have shown that we change our behavior or maybe we were looking to purchase a car, in 90 days you can assume the purchase was already made. Therefore, our data is fresh and based off 90 days for behavior.  We can also set up remarketing ads for those who have seen your geofencing ads.  This is where we can target them on facebook, instagram or google.   With this kind of segmentation, you do not have to rely on or limit yourself to the customers’ enter-and-exit condition. While mapping their geo-specific data, you can better define your engagement strategies.

Things to keep in mind

 

Visitation data

This involves understanding individual customers based on their movements, along with the basics and changes in cross-shopping tendencies. Visitation data enables the marketers to note the trends or behaviors of the foot traffic at a granular level.

 

Audience data

This aspect of data being used for geofencing deals with understanding the types of customers that are visiting your business along with how that varies from your competitors. Ads to be targeted on a particularly segmented audience will be based on their visitation behaviors.

 

Trade area data

The data here deals with understanding where your customers at individual stores come from, i.e., their particular localities. Moreover, it helps you gain in-depth details of which areas the customers are more likely to shop in your store and which ones are less likely to do that.

 

Usage of apps/ software for geofencing

To successfully launch your geofencing marketing campaigns, setting up an app is of supreme importance. Geofencing cannot function independently. DigitalWise Media offers a robust geofencing solution that provides you with verified location signals mapped to real-world regions. Our algorithm is ideal for both iOS and Android OS, supporting location, and motion frameworks. When the customers are within the specified fences, the app is notified in real-time. This triggers the delivery of customized communication along with the CTA to encourage the customers to take the desired action.

 

The future of geofencing

 

Geofencing is the next big thing in location-based marketing. It offers a plethora of opportunities to both businesses and targeted customers. For businesses, technology enables targeted messages pinned to a particular business location. On the other hand, for customers, geofencing, when integrated with an app, serves as a reminder tool to try out new services they receive the notifications for.  With the increasing integration of technology into our lives, it is safe to say that geofencing will become even more extensively used than it is today. More and more businesses feel confident in adopting geofencing tactics as part of their overall strategy. Thus, the potential use of geofence marketing will continue to evolve.

 

If you are a business owner or provide a service and want to generate more branding, new customers, retarget past customers and those who have seen your ads, and increase ROI, you can certainly take advantage of our geofencing solutions to incorporate in your marketing mix.

 

Looking to get started? Call DigitalWise Media at 702-707-2600 or contact us online for more information on geofencing and other digital marketing strategies.