What Is Geofencing?

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Brittany Rohr

Founder and CEO

The number of mobile users in the United States has been continuously growing, allowing marketers to take advantage of mobile-based marketing, such as geofencing. With digital marketing dominating the marketing industry, it’s no surprise that the emerging trends are associated with technology and innovation. Now, let’s take a look at how geofencing technology affects the day-to-day operation of businesses.

In this article, our digital marketing experts will explain everything you need to know about geofencing and its applications.

What Is Geofencing and How Does It Work?

Geofencing is a location-based service that utilizes global positioning system (GPS), radio frequency identification (RFID), cellular data, or Wi-Fi to initiate a pre-programmed action. It works whenever a mobile device enters or exits a virtual boundary within a geographical area called geofence. A great example would be when you pass by a new restaurant and suddenly receive a notification about their deal of the day.

The action it initiates will depend on the developer or administrator of the geofence. It can send a text message, prompt push notifications, send targeted social media ads, deliver location-based marketing information, or track moving vehicles like Uber or Lyft. Other businesses use it to monitor their employees, keep track of their property, and send alerts to the management if someone enters or leaves a specific area.

According to Zippia, as of 2021, the United States had 294.15 million smartphone users, and around 47% of the web traffic in the US came from mobile devices. With the rising number of mobile users in the country alone, geofencing is becoming standard for many businesses in different industries.

4 Tips for Effective Geofencing Marketing

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1. Pay attention to your geofence size.

Many businesses get too excited about geofencing, pushing them to oversize their geofence. Unfortunately, oversized geofences do not drive results as expected. One of the basic geofencing rules is to keep your targeted area within a four to five-minute walking distance from your shop. Your mission should always be to make it convenient for customers to visit you. Sometimes, companies only want their customers to visit their website, such as an e-commerce business. In such situations, they can utilize geofencing when they attend an event and target the attendees.

2. Research your target market.

Understanding your market and its behavior is crucial in creating a target area that delivers exceptional results. For example, being active on social media allows you to interact with your prospective customers and understand their wants. You would also learn their thoughts about your company and their experiences with your products or services. Upon getting to know your target market, you can create personalized ads to engage them in buying from or subscribing to your business.

3. Create an actionable advertisement.

Calls to action or CTAs are essential factors that drive your customers to purchase your products. The CTAs in your ads should be direct, specific, and inviting. You should also remember that being too pushy or salesy may turn off your market. Therefore, keep everything natural to create an effective sales funnel regardless of the products or services you offer.

4. Review your data regularly.

Checking how your marketing campaign is doing will help you determine if your current strategy is working or not. It’s essential to monitor the traffic, conversions, and ROI. But if you’re not good at marketing strategies and analytics, you can always hire a marketing agency to help you with your geofencing campaign.

Explore Geofencing Marketing with Rohring Results

Geofencing marketing is a great tool that will help boost your digital marketing campaign. It can give you an edge over your competitors, especially if your business has a brick-and-mortar store. If you want to explore geofencing marketing for your company, schedule an appointment with us, and we’ll help you develop, launch, and manage your campaign.

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