Geofencing Programmatic Micro-Proximity Marketing

It is necessary to understand how device ID targeting works to understand how geofencing advertising works. Every mobile phone has a unique ID that can be tracked anywhere in the world. Geofencing technology tracks your potential customers’ geographic location via device ID targeting as a part of your overall digital marketing strategy. 

The main objective of a geofencing campaign is to broadcast ads to people based on their physical location – it can be their real-time location (such as when they walk near your store) or locations that they visit frequently. Geofencing advertising is also intimately linked to two other marketing tactics, both of which Mid Michigan Interactive offers:  

Geofencing Technology & Programmatic Advertising 

Speed is of the essence when it comes to geofencing advertising, as your target audience could leave the designated location at any time. Ordinarily, manually buying and selling display ads takes a lot of time. Programmatic advertising is an automated way of buying and selling ads in a second, allowing you to deploy your ads as soon as your prospective customers enter the designated location. 

Geofencing Technology & Proximity Marketing 

As explained, geofencing can help you market to potential customers based on their current or past locations. Proximity marketing works similarly to geofencing, but only in real-time – you can only broadcast your digital advertisements to mobile audiences currently within the location. 

How Can Geofencing Advertising Benefit You? 

Geofencing advertising is one of the most efficient location-based marketing strategies. It can unlock many opportunities and benefits when used correctly. Some of the most notable benefits to your business could include: 

• Increasing Leads & Conversions

It is easier to persuade potential customers to visit your store if they are already within the area. You can also easily redirect potential customers from your competitors’ stores to yours just by pointing them in the right direction (and standing out from the competition, of course). As such, you can attract and convert more leads. 

• Improving Customer Retention

It is natural for your current customers to be curious about what the competition offers. However, many people prefer shopping from the same brand to meet their expectations. 

As such, it is easy to convince customers to come back to your brand by reminding them of what you have to offer whenever they visit the competition. Geofencing will let you know when your current and potential clients get near the competition. 

• Improving User Engagement & Experience

Imagine your potential customers browsing stores meters away from yours when they suddenly start getting ads about what you have to offer. They will feel appreciated that you are aware of their needs and curious to see what you have to offer, resulting in an overall better user experience and engagement.