Is partnering with geofencing companies right for your business?

Business News | 7 Sep, 2019 |

What if I told you that you could send ads to customers in the direct vicinity of your store? What’s more, what if I told you that those customers actually want and favor those kinds of ads?

What exactly is geofencing, and can your business profit from investing in it? What advantages do geofencing companies offer? Keep reading to get all the answers and more.

Mobile Geofencing as a Marketing Strategy

To recognize the importance of geofencing companies, you need to know what they do. What exactly is geofencing, and how does it work as a marketing tool?

In short, it means using technology to advertise to your customers in a specific location. Here’s how it works:

* Customers download your mobile app

* They provide the app with their location data

* You set up a virtual boundary for a specific location (a geofence)

* When customers enter the geofence, an ad will pop up on their device

Location-based marketing has already proved effective for many businesses. Now, smartphones, apps, and GPS systems provide an easier way to pull off this marketing tactic.

While simple in concept, geofencing is difficult to pull off. We’ll get into more details about how geofencing companies can help below.

What Businesses Benefit From Geofencing?

Hundreds of businesses are already enjoying the advantages of geofence marketing. Are you one of them? If not, then you’re likely wondering if your company should invest.

Here are the most famous types of businesses that are seeing profits from geofencing:

* Uber

* Apple Maps

* Walgreens

* JetBlue

* BMW

* Ibotta

Taco Bell, the national Mexican fast-food chain, boosted their annual sales by 6%. They made a simple app, created a geofence, and then targeted people who were close to a restaurant.

This isn’t the only pro-active approach you can take, though. You could also send ads or discounts to customers in competing stores.

Even if your business doesn’t have a physical location, you can still use geofencing. Take Ibotta, a couponing app, for example. It reminds users to scan their receipts when they’re near a grocery store.

Advantages of Hiring Geofencing Companies

What types of advantages can you expect to see after implementing geofencing? Here are a few:

* Boost in profits

* Better customer retention rates

* Greater engagement with your app

* Optimized customer experience

Geofencing marketing companies help you achieve these goals in a cost-effective way. They’ll help you develop a strategy, set up the technology, and understand the data you receive.

Ready to Boost Your Marketing Strategy?

These advantages and benefits encourage new businesses to start geofencing every day. Is geofencing the marketing strategy of the future? We’ll have to wait and find out!

Now that you have the facts, would you consider using geofencing as a marketing strategy? What types of benefits do you see geofencing companies providing for your business?

If you found the information in this article helpful, then you’d love our other marketing tips. Head over to our website to read our latest content.

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