These days, some of the most effective marketing campaigns hold niche appeal. But while most people associate geotargeting with small brick-and-mortar businesses looking to attract a local customer base, this method holds broader appeal than you might suspect. Read on to learn more about implementing geotargeting practices in businesses of all sizes.
Geotargeting on a Regional Basis
Geotargeting doesn’t need to be limited to a small community; it’s just as effective at the regional level. For example, Forbes suggests that ads mentioning specific cities or regions fare better than national campaigns. Merely adding the name of the city or region in which the ad is displayed can help prospective customers connect with a company on a more personal level, even if they instinctively know it’s a national brand.
Geotargeting With Mobile Coupons
The most effective geotargeting initiatives are not exclusively based on the consumer’s residence – they’re optimized for mobile. It’s only natural; today’s consumers use search engines and social media on the go. Mobile geotargeting allows companies to attract consumers away from home and at the most relevant times.
With mobile efforts, companies use real-time location to target consumers. For example, this information may allow for coupons through Google Wallet and other payment apps, and these discounts can drive otherwise reluctant customers to make purchases. According to a report published in UConn Today, consumers are most likely to respond to mobile geotargeting campaigns that include significant discounts.
Several large companies have successfully launched mobile geotargeting campaigns in recent years. Dunkin Donuts, in particular, has proven a leader in this emerging approach to geotargeting, as highlighted by the Mobile Marketing Association. In an influential campaign launched in 2014, Dunkin Donuts sent mobile coupons to customers who were near competitors in hopes of ‘stealing’ them away. In this initial effort, 18 percent of recipients saved the coupon, and 3.6 percent redeemed it almost immediately.
Partnering with Other Organizations
Some of the most effective geotargeting campaigns involve partnered businesses. These initiatives allow for creative solutions that improve customer experience while also driving business for both companies. For example, Coca-Cola and the Scandinavian movie theater chain CAPA worked together in 2015 to promote beverages before and after movies. Mobile users were offered coupons for free drinks prior to movies for which they’d already purchased tickets. Upon redeeming the free drink offer, they then became eligible for free movie passes. Those who redeemed the movie passes were more likely to then spend money on concessions — especially Coke products.
The Future of Geotargeting: Voice Search
Mobile users are increasingly reliant on mobile voice assistants like Siri and Alexa. Experts anticipate that by 2020, half of searches will occur by voice. Businesses of all sizes are capitalizing on this opportunity, especially as it relates to geotargeting. To succeed, companies must optimize local keywords that reflect how customers in each region search by voice. In general, customers using voice search use longer strings of words; four or more per voice search versus just two or three in a text search.
From digital coupons to partnered campaigns, geotargeting provides excellent opportunities that extend well beyond the realm of small business. National brands can also use geotargeting techniques to appeal to regional consumers, thereby driving sales and increasing customer retention.