The Power of
If you’re working in marketing, you’ve likely heard the term geofencing. But what really is geofencing? How does it work? And why can it be a powerful tool?
Geofencing is a virtual perimeter placed on a real-world geographic area to establish a dedicated set of boundaries. Geofencing can be built to follow an existing set of boundaries such as a neighborhood or community or dynamically generate a radius off of a precise pinpoint location, like a retail store.
There are a wide range of applications for geofencing, from virtual dog fences to corporate security, but location-based marketing is one of the most common uses. Using primarily GPS technology, a business can build a virtual boundary that is alerted when a user carrying a digital device enters a dedicated perimeter or geofence area.
Geofencing allows marketers to effectively and efficiently target potential customers within a dedicated area, including those close to their place of business, with a timely and relevant offer. Imagine a convenience store located just a short distance off a major highway. With a geofencing perimeter in place, a retailer can target drivers who would typically unknowingly pass by with a message making them aware of their existence and delivering a timely and relevant offer.
What makes geofencing especially attractive is that it is a hyper-efficient way to spend your marketing dollars. Because most geofencing is built on a CPM impressions model, it:
In addition to building a geofence around your place of business or a highly coveted consumer area, you can also create a geofence around a competitive business to lure potential customers away from your competition. Competitive geofencing is also sometimes referred to as geo-conquesting. Geo-conquesting can be an excellent strategy for any business, but in particular, it can be a powerful tool for challenger brands who are looking for ways to compete against more prominent, well-recognized brands.
To learn more about how you can integrate geofencing into your next marketing omnichannel marketing strategy, visit https://www.taylormda.com/Contact to get in touch with one of our Marketing Advantage Program experts.
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