What Exactly is Geo Targeting?

Geo targeting is a digital marketing strategy that involves delivering content or advertisements to consumers based on their geographic location. 

This method uses data from various sources, such as IP addresses, GPS, and mobile device location services, to identify where users are situated, enabling marketers to tailor their messages to specific regions or local audiences, optimize ad spend, and improve engagement by presenting relevant offers and information based on local preferences and needs.

Geo-targeting allows a company to create and deliver ads in specific geographic locations. The benefit of this is that it allows a business to reach their goals by grabbing the attention of the target audience situated in specific areas. Whether this is to increase sales or achieve greater brand awareness, it all varies depending on the main goals of the business.

Now marketers have access to geo-targeting, they can now target their key audience using a variety of ways. They can do this through a variety of different platforms such as Google Ads and Facebook.

How do you use Geo-Targeting?

At kyco, we have geo-targeting built into our platform. When you utilize our customer loyalty cards, there is a hidden bonus. Our loyalty card programme can send push notifications when your customers are a certain proximity away from your business. This way, when customers are in the area, your business will be the first thing on their mind when they enter. 

We bet you’re wondering how a loyalty card can detect where your customers are! This is due to GPS, or technically speaking the cellphone towers. Depending on your user's smartphone device settings, if your customer has their location access set to available then the loyalty card can see when your customer is in a close proximity to your establishment. 

A smart note to add is that when you are using geo-targeting, you can divide your audience into sub-categories that your marketing department are wanting to target. Whether that is age, area or gender you can alter this to suit your company's objectives. 

👉 Type of targeting: radius 

When targeting by radius, you’d be surprised to know it is more specific than geotargeting. This is usually used when you want a very specific location.You can do this by using your ‘Google My Business’ account when you set up a radius around your business location and adjust your ‘bid’ to make it increase when customers enter in the radius of your location. For example, you could have set your ‘keyword bid’ to £1 - however when a customer visits within a half mile radius of your establishment, you’d want to increase your companies ‘keyword bid’ up to £1.50. 

With this rule applied, you can set up different radius triggers targeting locations. Perhaps your business sets up a radius of three miles of your establishment for £0.50p, then another of 1.5 miles of your establishment for £1.50. This way it alternates depending on your marketing goals and target audience. 

You may want to adapt your bid depending on the amount of stores your business has in one location. This way you can shift and change prompts depending on how far afield your company covers. 

Targeting by radius can be very helpful when used within your marketing strategy if you want to increase your businesses foot traffic to physical shop-front. 

👉 Type of targeting: adverts

Geo-targeting by ads can be more successful, but only when you target the right area with the correct content at just the right moment. The best way to ensure your business is not wasting click-through rates (CTR) is to use accurate location settings. The best way to describe this is by demonstrating how if your company was based in central London and your company did not offer shipping to anywhere outside of this area, then your company would not want to advertise outside of the London zones. 

Some marketers prefer this way of marketing because it allows them to connect with customers and increase conversion rates. Creating segments of your target audience depending on location and pre-sets, it allows you to target customers with different messages that appeal to them directly. 

The Benefits of Geotargeting for Your Business

👧 Personalized Content

Geo-targeting plays a pivotal role in delivering personalized content to customers by leveraging location data to tailor marketing messages and offers. By pinpointing a user's geographic location, businesses can customize their content, ensuring it resonates with the local culture, preferences, and needs of the audience. 

For instance, a restaurant chain might promote specific menu items based on regional tastes or seasonal ingredients, while e-commerce platforms can display localized promotions, ensuring relevance and enhancing the likelihood of conversion. This targeted approach not only improves customer engagement but also fosters a sense of connection, as consumers feel that the brand understands their unique context and caters to their individual needs. Ultimately, geo-targeting allows companies to create a more meaningful and effective customer experience, driving both loyalty and sales.

💸 Effective Marketing Budgets

Geo-targeting significantly enhances marketing budgets by allowing businesses to focus their resources on specific locations that are most likely to yield high returns. Instead of adopting a broad, one-size-fits-all approach, companies can allocate their marketing spend toward regions with higher demand or where their target audience resides. This precise targeting minimizes wastage of resources on low-potential markets and maximizes the impact of advertising efforts. 

For instance, a local retailer can direct promotions to nearby neighborhoods or nearby cities, while national brands can segment their campaigns based on regional performance metrics. By honing in on specific locations, businesses not only optimize their marketing expenses but also improve overall campaign effectiveness, leading to better conversion rates and enhanced ROI.

🛍️ Product and Market Development

Geo-marketing serves as a powerful tool for improving products and driving market development by offering valuable insights into consumer behavior and preferences in different regions. By analyzing location-based data, businesses can identify trends and demands unique to specific areas, enabling them to tailor their products accordingly. For instance, a company might discover that certain features or flavors of a product are more popular in one region compared to others, allowing for targeted product adjustments that cater to local tastes. This localized approach not only enhances customer satisfaction but also fosters innovation by encouraging brands to experiment with variations that align with diverse market needs.

Moreover, geo-marketing supports strategic market development by identifying untapped regions or demographic segments where products may find a favorable reception. Businesses can utilize geographic information systems (GIS) and analytics to map out potential markets, assessing factors such as population density, income levels, and purchasing habits. As a result, brands can make informed decisions on where to launch new products or expand existing lines, ultimately leading to more effective marketing strategies and resource allocation. By integrating geo-marketing into their development processes, companies can create more relevant offerings, reduce risk, and enhance their overall competitive advantage in the marketplace.

🛡️ Build Authority

Geo-targeting marketing helps build authority for businesses in a competitive market space by fostering a more personalized and relevant customer experience. By tailoring marketing messages and content to specific geographic locations, businesses can connect with local audiences in a way that resonates with their unique cultural and community values. This localized approach not only improves engagement but also enhances brand loyalty, as consumers appreciate brands that understand their specific needs and preferences. Furthermore, geo-targeted campaigns often result in higher conversion rates due to their relevance, which can boost a brand's reputation as a leader in that particular market segment.

Additionally, businesses that effectively leverage geo-targeting can establish themselves as influential players within their communities. By promoting involvement in local events, supporting community initiatives, or collaborating with nearby influencers, brands can enhance their visibility and credibility. This local authority encourages word-of-mouth referrals and customer trust, both of which are essential in a competitive landscape. As geo-targeting continues to demonstrate a brand’s commitment to meeting local demands, it paves the way for strengthened relationships, ultimately contributing to a more authoritative presence in the market.

🎯 Hide Ads from Competitors

Hiding geo-targeted ads from competitors offers several strategic benefits that can enhance a business's market position. By restricting visibility of their targeted advertisements to only the intended audience, businesses can safeguard their marketing strategies, preventing competitors from easily analyzing their tactics and potentially replicating their successful approaches. 

This confidentiality enables companies to maintain a competitive edge, as they can test and refine their campaigns without the risk of competitors intercepting insights that could inform their own strategies. Moreover, by focusing their advertising efforts on specific niches or geographic areas without drawing the attention of rivals, businesses can effectively capture market share and deepen customer engagement in those locales. This targeted focus fosters brand loyalty and strengthens relationships with local consumers, ultimately contributing to a more robust market presence that is harder for competitors to penetrate.

Let’s adopt geo-targeting into your Marketing Plan

Now that you understand the power of geo-targeting, let's apply it to your business by crafting tailored marketing strategies that resonate with your local audience and drive engagement in your specific markets. Contact us today to invest into your company's marketing. At kyco, your business is our top investment that we aspire to expand and help grow! You have on-going support along the way which we never waver from.