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How To Geofence: Create Highly Successful Local Ads

Pareto PPC

September 11, 2022

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Good marketing can make or break your business, but it can also make or break your budget. Many companies are now wondering how to geofence with their online ads to better reach their desired customers. By using physical location and GPS data to narrow down your ads to a local area, you can better reach those customers you need without using up ad spend on those you don’t. 


In this article, we will go over the ins and outs of how to set up geofencing marketing and how targeting an audience can help streamline your marketing, while making your ad spend more effective. 


What is Geofencing Marketing?


Geofencing marketing in a technique of using location-based information to target a specific audience of users in a designated area. Instead of paying for a general ad that anyone will see and hoping that your target audience will stumble across it, you can use geofencing to consolidate your marketing material to those who enter and exit the geographic location you feel will be most effective. 


To set up geofencing marketing for your business’ ads,  you will need to first choose a defined area and set your desired boundaries. When a user in your target audience enters into the defined geographic area, they will be sent an ad or alert for your business. 


This allows you to target potential customers in your local market and even target outside audiences when they are more likely to need your business or services.   

What Are Geofencing Ads? 


A geofencing ad is a specifically targeted advertisement for your business that is catered to those who move physically within a defined geographic area.  Geofencing ads can be used to drum up business in the local area around your business, keep your services top of mind with those moving around nearby, and even target potential customers who move into your defined geofencing area. 


Geofencing ads can showcase new products, promote services, or influence your target audience to seek out your business when they’re in your local area. 

Geofencing vs Geotargeting Ads


Geotargeting is another method of marketing to a specific audience. Geotargeting also operates within a specified target area and sends ads to users currently within the boundaries you designate. 


While both geofencing and geotargeting have many things in common, the most noticeable difference is the method of geographic targeting. As we detailed above, geofencing designates a target location zone and sends an ad to users as they move over the border lines (known as the fence) around the target area. This makes geofencing more fluid, targeting users as they move in and out of the target area.


Geotargeting is also aimed at reaching users in a designated geographic area, but it puts more of a focus on users who are within the boundaries, not moving over the borders. For this method, users who are sitting within the localized area will be served an ad for the business. This makes geotargeting more stationary, focusing only on users who are already within the target area. 

5 Benefits and Features of Geofencing Ads


Here are 5 of the most important benefits and features of Geofencing ads.


Conversion Zones


In-depth market information is the best way to know if your marketing campaign and your targeted ads are paying off. But how do you set up a geofence marketing effort that gives you that data? Conversion zones are the answer. 


When a member of your target audience enters into the zone and crosses one of your geofence lines, they will set off an alert and an ad will be served to them. If that user then makes their way to your business and makes a purchase, you will tally that as a conversion from your geofencing ads. These conversion zones let you know how well your ads are doing at getting your target audience into your business and will help you understand how to geofence more effectively.


Geofencing Makes It Easier to Reach Customers


Geofencing allows you to reach potential customers who you have specific needs that your business can meet. Instead of standing on a street corner with a sign, you can target a tailored audience where they already live – on their phone, tablet, or computer. 


For example, if you’re a baby clothing store, you can set up geofences that target users who spend time near local daycare centers or playgrounds. The more specific you make your geofencing, the better access you will have to the people you need to reach. 


Increase Local Sales


You don’t need a nationwide ad for a local business. Time and money goes to waste if your ads are sent to a general audience who will never encounter your business. Geofencing allows you to limit your ads to the audience that matters. Local consumers will be the ones seeing your targeted ads, helping you grow your name in your local area. 


Retargeting Audiences Within a Specific Area


Missed a perfect targeting opportunity? No problem. Geofencing allows you to retarget users who were in a specific area at a past time. This comes in handy if there was an event or location that would have been a great target for fencing but you didn’t have your ad ready.  This allows your business to retroactively utilize marketing opportunities even after they have gone by. 


Personalized Customer Experience 


You want people interested in your business to be the ones seeing your ads, and users agree. Potential customers also want to see ads for products or services that might be beneficial to them or their interests. Geofencing’s in-depth audience targeting ability helps make sure this happens for your business and your customers. 


Ads will be served to your potential customers who want to see them and you will be able to customize your approach for potential users. This helps your customers feel more connected to your brand before they even try it, helping your business promote a positive experience for your users. 


Ready for More Leads? 


Why send ads to a general audience when you can find the specific customers who will love your brand locally. Let geofencing help take your business’ marketing to the next level with personalized targeting, a great user experience, and better utilization of your ad spend budget. Pareto PPC can make that happen for your brand.  Contact our team today to let us help you find your audience and grow your business.

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