Location-Based Marketing

As some of you may know, I’m currently participating in the Google Online Marketing Challenge. If you’re not aware of what that is, it’s a competition where a small team (3 – 6 people) work with a small business to create search advertisements on Google (and related sites) using AdWords.

One of the great things about marketing is that when it comes down to your target audience you can be specific and target particular groups of people. Whether it’s age, gender, education level or income etc, there are lots to choose from when it comes to the consumer’s demographics.

Although demographics are good to think about and target, have you ever thought about where those consumers are from? Do they share a similar location? Are they all coming from the same suburb? Now, I’m not looking at just countries of consumers. I’m talking about a more specific location. Right down to the post code and suburb of consumers.

I mentioned the Google Online Marketing Challenge because when using AdWords, there’s an option called “Location Targeting“. What this means is, you can choose where your ads will appear depending on the location of where it has been searched.

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Now, don’t ask me “How does Google know where I am” or “How does it appear and not appear depending on my location” or “Will the ads appear and then not appear if I jump in and out of the location radius”. Look, I don’t know the technical details but I know why it’s a marketing tactic that can be useful.

Let me give you an example so that it makes more sense. The small business my team and I are working with is called “Company A”. When looking at Facebook metrics and data, we discovered that Company A had a lot of consumers searching their Facebook page in Fitzroy, Collingwood and Northcote.

Now, let’s say that Company A wanted to boost brand awareness to consumers living in these locations and create advertisements that would help improve foot traffic in store. What you can do, by using AdWords, is choose specific locations so that ads will only show in those places. That is, you can choose to have ads show in Fitzroy, Collingwood and Northcote only. Therefore, the advertisements will only show if consumers search particular keywords within these suburbs. How cool is that?

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Now, here’s another example. Say that, Company A knows that Fitzroy, Collingwood and Northcote are where most of their customers are coming from but want to boost awareness to other suburbs near these suburbs too. What you can do (using AdWords) is choose where your ads show within a radius. That is, you can choose how wide of a radius from a particular location – 10km+ Fitzroy or 20k+ Fitzroy. Through this, you can also exclude particular suburbs that fall within the radius you’ve set. This way, your ads will show to only places you want them to and not to irrelevant locations.

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Hopefully my post so far has demonstrated how location target marketing can be useful. However if you’re still confused… How can location-target marketing help marketers engage with consumers?

  • Demographics can be difficult to figure out

It can be difficult for some businesses to target particular demographics if they don’t have the right resources to understand who they want to target. For example, if Company A wanted to target specifically young men who like buying ethically made clothing, it can be difficult to just target those consumers using search advertisements. With location targeting, it makes things a bit easier because you can observe where these type of consumers are from thus show your advertisements based on where they are.

  • Delivering targeted messages

When using location targeted marketing, Company A can deliver messages to those around the area (whether or not they are part of their target market) and thus boost their brand awareness. By having a broader area to target, Company A can offer insightful messages about their brand across all demographics instead of just one.

  • Two birds, one stone

Say Company A discovered that consumers were looking at their website on mobile devices in Fitzroy. By using location targeting (with AdWords), Company A can make sure their advertisements are mobile optimised and target Fitzroy so that the consumers searching for keywords related to Company A’s brand can see their ads. It’s a two birds, one stone kind of thing.

I hope this has given an insight into why location targeted marketing can be useful!

Until next time, leave a comment below and give this post a like!