Mobile geofencing has emerged as level one buy for marketers. The sector that has benefited the most from using geofencing and has spent the most money. Geofencing ability to drill down to a set location and tag all smartphones in the geofence then place ads (video) on smartphones has become a powerful advertising tool. If you compare print, radio and out of home to mobile that cost effectiveness and benefits doesn’t come close.
The fact that geofencing campaigns can be tailored around the retailer needs also make it attractive. If a retailer is trying to increase store traffic a geofence campaign can be created that would geofence each location and drill out five miles. Place coupons in tagged smartphones and then track the smartphones back to the retail location. This will show how effective the campaign is working.
A geo-conquesting coupon campaign would be geofence all competitors. Tag all smartphones in the competitor’s location and deliver your coupon. You will be getting the demographic you are looking while they are in the buying cycle. This type of targeting makes geofencing attractive to retail clients.
Optimization also plays a role in geofencing campaigns. As the campaign runs Copley Advertising will optimize in order to get the highest click rate. Using indicators like app placement, creative A/B testing, operating systems and networks, Copley Advertising will be able to reach the click rate goal. The good news for retailers is that information on each DMA targeted (such as creative click rate, time, the day of the week and others) can be translated to their offline marketing. If a creative is getting a very high click rate in one city but not the other any use of creative should be based on the campaign’s information. When the program begins the “backend” doesn’t seem all that interesting. But we found after presenting our weekly findings for a few weeks the client begins to recognize the importance of the data.
Retail has stepped up to the plate regarding using geofencing. Because of that, they are reaping the rewards.
Copley Advertising is a mobile-only ad agency. Mobile is where we live. Any questions please email us at firstname.lastname@example.org