Location-based marketing isn’t new. For decades marketers have been able to reach their target audience at the right place and time. But thanks to the rise of mobile devices and advancing technologies, location-based marketing has become easier and even more effective than ever before.
The cool thing with location-based marketing is that it doesn’t have to only refer to the area around your physical business. Think about it, there are plenty of other places prospects can engage with your brand.
You may want to target areas your audience frequents. These could be physical locations such as a local laundromat or doctor’s office, or online locations like Instagram.
You can also target locations your audience will most likely need your product or service. For instance, a local taxi service may want to run Facebook ads with discounts in the zip code where the upcoming restaurant week will be happening.
And of course, you can target locations where your audience is mostly likely to engage with your business or become a lead. A dog walker might place flyers up in the local dog park or local vet’s office.
As effective as location-based marketing is, there are still small businesses who question whether this marketing strategy is right for them. With this in mind, here are some of the biggest benefits of location-based marketing:
Reach Customers When They are Receptive
As we just mentioned, with location-based marketing, you have the ability to engage with people when they actually need your product or service. There is no need to spend money and hope you can convince people to keep you in mind for when they might need your product or service. Getting your message in front of the right people at the right time naturally leads to a larger ROI.
Impulses are Converted into Sales
Location-based marketing removes barriers to sales. When a prospect is physically close to your store, you have a much better chance of persuading them to purchase from you.
For instance, let’s say you own a frozen yogurt shop. It’s 93 degrees out and a prospect is thinking to themselves, “God, it’s hot.” Right at that moment your location-based message hits their smartphone offering a large fro-yo for half-off. How likely is this person to buy from you? Very.
Connect More with Your Audience
When you specifically target people in one location you can create relevant content that speaks directly to their needs. This catered content helps your audience feel more connected to your business and fosters trust.
Boosts Business During Typically Quiet Periods
If you’re like most businesses, there are certain days of the week or certain times of the day when you are so busy you can barely handle every customer. Then there are those times that are so quiet you can hear a proverbial pin drop.
Location-based marketing can help to even out this common disparity and attract more customers during the normally-quiet periods. So, let’s say you own a coffee shop and after the lunch crowd leaves it’s typically pretty quiet. You could develop a 2pm-5pm discount that targets students or faculty members in the area. Or you could target some of the bigger corporations in your area and get them in your doors during these hours.
Tips for Success
Now that you understand the benefits of location-based marketing, let’s take a look at ways you can begin to employ this strategy like a pro.
Think Customers - Not Sales
When a prospect opts-in to location-based content, the last thing they want is to be bombarded with blatant ads. They trust you so don’t blow it.
Think about how you can always deliver value and improve the customer experience. An engaged and informed customer will become a loyal one.
Most marketers think of entering a location as the primary trigger for delivering location-based marketing content to mobile users. But some of your best results will come from other kinds of location-driven content.
When designing your program, be creative and think how you can reach customers at other points along their journey, such as when they are dwelling in one area of the store or when they head for the exit.
When it comes to any kind of marketing, what works for one brand may not work for another. It’s best to evaluate engagement metrics around your location-based marketing efforts to ensure you are reaching your audience at the right time with the right message.
And, be aware that location-based marketing is fast-paced and always changing. What works for you this week may not work two months from now. Always test, trust what the data is telling you, and be open to making necessary adjustments.
If you commit to a location-based marketing campaign and keep these tips in mind, you’ll find your program will deliver great results.
Need help with your location-based campaigns? Get in touch with us. We help clients leverage data to better target consumers. At the end of the day, data is only as good as the actionable insights derived from it. We can help you turn data into smart marketing strategies.