Location targeting

Location targeting is a form of digital marketing that allows businesses to target ads to users based on their physical location. This can be done by using GPS coordinates or IP addresses to determine a user's location. Location targeting is a useful tool for businesses that want to increase sales and ROI by targeting specific customers in specific areas. 

Types of Location Targeting

IP Address Targeting

IP address targeting is one of the most accurate forms of location targeting because it allows you to target specific devices based on their IP addresses. This means that you can target households, businesses, or even specific individuals. However, one downside of IP address targeting is that it can be difficult to scale because it requires a large database of IP addresses.

ProsConsCan target specific devices
Very accurateDifficult to scale
Requires a large database

Geotargeting

Geotargeting is a type of location targeting that allows you to target users based on their geographic location. This can be done using GPS data from devices, geolocation data from social media platforms, or even data from IP addresses. Geotargeting is a useful tool for businesses that want to target customers in specific geographic areas.

ProsConsCan target specific geographic areas
Can be done using various data sourcesLess accurate than other methods
Can be difficult to scale

Geofencing

Geofencing allows you to create a virtual perimeter around a real-world location. When users enter the perimeter, they will trigger a predefined action, such as receiving a push notification or seeing a targeted ad. Geofencing is a great way to reach users in specific locations, but it can be difficult to scale due to the need for physical infrastructure (such as beacon transmitters).

ProsConsCan target specific locations
Pre-defined actions trigger when users enter the perimeterDifficult to scale
Requires physical infrastructure

How Businesses Can Use Location Targeting

Businesses can use location targeting in a number of ways to reach their target customers. For example:

• A retail store could use geofencing to send push notifications to nearby customers about special offers or discounts.
• A restaurant could use IP address targeting to target ads to customers who live in the area.
• A hotel could use GPS data from devices to target ads to customers who are visiting the area.
• A tourism company could use geotargeting to target ads to customers who are interested in travel.
• An ecommerce company could use location targeting to target ads to customers who live in a specific country or region.

Location Targeting on Platforms

Google Ads Location Targeting

Google offers a number of options for businesses that want to serve ads on its platform. Businesses can target ads to users based on their geographic locations either in specific regions or an entire country. Google also offers a "radius targeting" option that allows businesses to target ads to users within a certain radius of their business.

Facebook Ads Location Targeting

Facebook allows businesses to add location targets to their ads in a number of ways. Businesses can target ads to users based on their current location, home location, or related locations. Facebook also offers a "custom audiences" option that allows businesses to target ads to specific groups of people, such as people who have visited your website or people who live in a certain country, a particular region or other locations, such as cities.

Location Targeting Methods

There are a few ways that businesses can target ads to users based on their location:

• By using a person's GPS coordinates 
• By using their IP address 
• By using their WiFi hotspot 
• By using their cell tower triangulation 
• By using their MAC address 

Accuracy can vary depending on the way data is collected and how precise the targeting needs to be. GPS coordinates are the most accurate, as they use satellites to pinpoint a person's location. IP addresses can be less accurate, as they can be spoofed or changed easily and don't always accurately identify a person's location. WiFi hotspot and cell tower triangulation are less accurate than GPS or IP addresses, as they rely on identifying a person's location based on their proximity to certain landmarks or towers.

Reasons for Using Location Targeting

There are many reasons businesses might want to use location targeting: 

• To target ads to customers in a specific area 
• To target ads to customers who have visited a certain location 
• To target ads to customers who are near a certain location 
• To target ads to customers who live in a certain area 
• To target ads to customers who work in a certain area 

Benefits of Location Targeting

There are many benefits of using location targeting for businesses, including:

Increased Engagement

Location targeting can help to increase engagement with your ads, as people are more likely to engage with ads that are relevant to their location. For example, if you are a local business targeting people in your city, they are more likely to click on your ad and visit your website than if you were targeting people in another city.

More Relevant Ads

Location targeting also allows you to create more relevant ads for your target audience. For example, if you are targeting people in a specific city, you can customise your ad copy to include references to landmarks or events that are specific to that city. This helps to make your ads more relevant to the people who see them, which can lead to higher click-through rates and conversions.

Improved ROI

Because location targeting allows you to create more relevant and targeted ads, it can also lead to improved ROI for your campaigns. When people see ads that are relevant to their location, they’re more likely to click on them, which can lead to more sales or leads for your business. Additionally, because you’re not wasting impressions on people who are not interested in your product or service, you can save money on your advertising costs.

Greater Insights Into Your Target Audience

Location targeting can also provide greater insights into your target audience. For example, if you notice that most of the people who click on your ads are located in a certain city or region, you can adjust your target location accordingly. This helps you to better understand where your target audience is located and how best to reach them.

More Effective Targeting of Mobile Users

Mobile users are increasingly using location-based services such as GPS and maps when searching for products and services online. By targeting mobile users with location-specific ads, you can ensure they see your ad when they are searching for businesses like yours in their area. This helps to improve the chances they will click on your ad and visit your site or store.

Increased Opportunities for Local SEO

If you’re a local business, location targeting can also help you to improve your local SEO efforts. When you target a specific city or region in your SEO campaigns, you can improve your chances of ranking higher in search engine results pages (SERPs) for those locations. This helps to get more traffic from potential customers who are searching for businesses like yours in their area.

Improved Ad Performance on Social Media

Social media platforms such as Facebook and Instagram allow businesses to target their ads by location. When you target social media users in a specific location, you can improve the performance of your ads by making them more relevant and targeted to the people who see them. This helps to increase engagement and click-through rates, which can lead to more sales or leads for your business.

Location Targeting Statistics

• 80% of consumers say they want businesses to offer location-based alerts. - (wordstream.com)
• 72% of PC/tablet users and 67% of mobile users want to receive ads based on their address, city or zip code. - (microsoft.com)
• 70% of consumers are willing to share their location if they get something valuable in return. - (wordstream.com)

Frequently Asked Questions

What companies use location-based marketing?

Many companies use location-based marketing, including local businesses, national brands, and online retailers. For example, a local business might use location targeting to reach people in their city, while a national brand might use it to target people in specific states or regions. Online retailers can also use location targeting to reach people who are searching for products or services in their area.

What are some examples of location-based marketing?

Some examples of location-based marketing include targeted ads, location-based discounts, and geotargeting. Targeted ads are ads that are specifically designed for people in a certain location. Location-based discounts are offers that are only available to people in a specific location. Geotargeting is a technique that allows businesses to target their ads to people in specific locations.

How do you select a target location in digital marketing?

When choosing a target location for your digital marketing campaigns, there are several factors to consider. First, you need to think about your target audience and where they are located. You also need to consider the type of products or services you offer and whether your target location is a good fit for them. Finally, you need to decide whether you want to target a specific city, region, or country.

How effective is location-based marketing?

Location-based marketing can be very effective if it is used correctly. When done correctly, it can help businesses to reach their target audience, increase sales and leads, and improve their SEO efforts. However, location-based marketing can also be ineffective if it is not used properly. For example, if you target a location that is not a good fit for your products or services, you may not get the results you want.

What are some location-based marketing tips?

Some location-based marketing tips include targeting specific locations, using relevant keywords, and creating targeted ads. When targeting specific locations, it is important to choose locations that are a good fit for your business. When using relevant keywords, you need to choose keywords that are relevant to your products or services and the location you are targeting. When creating targeted ads, you need to make sure that your ads are relevant to the people in the location you are targeting.

Why is location-based marketing so attractive to marketers?

Location-based marketing is so attractive to marketers because it allows businesses to target their ads to people in specific locations. This helps to increase engagement and click-through rates, which can lead to more sales or leads for your business. Additionally, location-based marketing can help businesses to improve their SEO efforts by targeting relevant keywords and phrases.

Why is customer location important?

Customer location is important because it can help businesses to target their ads to people who are interested in their products or services. Additionally, customer location can help businesses to improve their SEO efforts by targeting relevant keywords and phrases.

What are some potential problems with location-based marketing?

Some potential problems with location-based marketing include privacy concerns, spamming, and inaccurate results. Location-based marketing can be a great way to reach your target audience, but it is important to be aware of the potential problems that can occur. Privacy concerns can arise if people do not want their location to be known. Spamming can occur if businesses send too many messages or offers to people in a specific location. And inaccurate results can occur if businesses target the wrong location or use irrelevant keywords.

How can I attract people to my location?

There are several ways to attract people to your location, including using relevant keywords, creating targeted ads, and offering discounts. When using relevant keywords, you need to choose keywords that are relevant to your products or services and the location you are targeting. When creating targeted ads, you need to make sure that your ads are relevant to the people in the location you are targeting. You can also offer discounts to people who come to your location.

What is the best way to target my ads?

The best way to target your ads depends on your business, your products or services, and your target audience. You need to consider these factors when choosing the best way to target your ads. Some businesses may choose to target specific locations, while others may choose to use relevant keywords. Additionally, some businesses may choose to create targeted ads, while others may choose to offer discounts.

What are some common mistakes businesses make with location-based marketing?

Some common mistakes businesses make with location-based marketing include targeting the wrong location, using irrelevant keywords, and creating targeted ads that are not relevant to the people in the target location. These mistakes can lead to inaccurate results and a waste of money. Additionally, businesses may also make the mistake of spamming people with too many messages or offers.