Marketing strategies are evolving quite fast. There are now many new ways to reach customers and skyrocket growth. Yet, location-based marketing still remains one of the less used strategies that actually work! As the name suggests, this is a marketing technique that sends marketing information to mobile devices based on their global position. While this technique is simple and effective, many marketers don’t know how to get started. We are here to help! Here is a guide on how to get started with location-based marketing.
Table of Contents
Understand the Meaning
Before diving into location-based marketing, it is important to have a crystal clear understanding of this concept. You will need to understand what location marketing is all about. After all, the decisions you are going to make will be hinged on grasping the core concepts before planning and execution.
Yes, knowing it in and out gives you proper knowledge to make the right decisions. Things can go wrong, and you need to understand why and how to act. If you are wondering what is location marketing definition, then again, it is simply a marketing technique that uses customers’ mobile device location information to send them specific marketing adverts and content.
Understand how Location-based Marketing Works
Location-based marketing leverages three simple techniques to identify and send marketing information to customers. First, it draws an area of interest and captures mobile devices within that area. Second, it compares the mobile information with historical data to decipher their interests. For example, customers who visit a coffee point would be perceived to love drinking coffee.
Once the customers and their interests are paired, the customer is sent the digital marketing information over their device. For example, the customer would be asked to rate the services they received or show better services within their area of interest. You can send offers or other convincing services to siphon the customer from your competitors within your area.
Customer Privacy is Key
Sending location-based information to a customer means you acquired their location data. Well, this is not bad, but how you use that information is critical. Whenever you send marketing information, avoid targeting individuals. Let your information be general to every customer. Simply deliver your ads as if you are giving them to a large group of people with similar behavior.
At least the customer would feel safer and willing to respond to your marketing queries or content. Remember, there are regulations regarding data privacy, and you don’t want to collide with the legal framework. Besides the federal/state legislation, there are industry organizations that help regulate how you collect and use customers’ data.
Is Location-based Marketing a Fit for your Business?
Now that you have a broad knowledge regarding location-based marketing, everything narrows down to whether it is or not a fit for your business. Location-based marketing is no doubt a good fit for several industries. Retailers, groceries, beauty parlors, shopping malls, and restaurants are a few examples of businesses that are a good fit for location-based marketing. However, this technique is not a fit for those products that can be found anywhere, like sugar, milk, and soda. Such products are best suited for demographic-based marketing.
How to get Started
When you are ready to go the extra mile, start by testing this technique with free tools. You can find good location-based tools on google and Facebook. If you need more sophisticated and thorough tools, you can always find advanced providers. After you are done with the testing, proceed to measure the performance and then fine-tune it to get better results.
Location-based marketing is undoubtedly one of the best marketing strategies. The key is to understand how it works before executing it as part of your growth hacking strategy.