Gone are the days when a business turns on the lights and waits for a sale. Competition is fierce, products and services are plentiful, and consumers demand special attention. To stay ahead of the game, businesses must refine their strategies to understand the Who, What and Where of their consumers. Geofencing is the evolution of location-based marketing that enables businesses to engage real-time with a relevant target audience in a moment when purchase decisions are influenced. Let’s start at the beginning.
Who Are They
Connection. The pinnacle of success when a business owner creates a relationship with consumers who align with their product, service or idea. Coca-Cola made its connection with their consumer back in 1887 with the launch of the first-ever coupon. The strategy to connect consumers to their product with a coupon for a free glass of Coca-Cola transformed the company into a globally dominant player. (1)
What They Need
As the world sped up, technologies advanced, competition grew, and time became more valuable, the evolution of marketing advanced as a necessity to maintain the connection. A one-size-fits-all coupon no longer worked. Consumer profiling and market research brought us closer to the consumer by sharing details not only about who they were but also about what they wanted. Businesses were able to refine and narrow their strategy with campaigns that spoke directly to segmented audiences.
Where Are They
The introduction of real-time data (RTD) enabled marketers to analyze every angle of consumer shopping behavior as it occurred. The newest component of RTD, geofencing takes the who and what of consumers and tells us where they are. It is precise and immediate.
6 Phases in Geofencing
Geofencing is quite literally the drawing of a virtual fence around a physical location where the targeted consumer will be hanging out. It provides an opportunity for businesses connect with consumers and to influence purchase decisions.
A Real Life Geofencing in Example
A business sells high-end running shoes. They begin geofencing by selecting a geographic area, the start and finish line of an upcoming marathon. As runners enter the area, their mobile device GPS notifies the shoe retailer of their presence. In this moment, the retailer can send a “congratulations” email on running the marathon and offer a discount on a new pair of running shoes. For 30 days thereafter, the retailer sends other promotions, news and communications to engage the target audience and stay top-of-mind. Analytical results will show how many people are reached, who views the offers and who redeems. Based on results, the retailer may choose another athletic event, a competitor’s location or their own store to run a follow up campaign.
With geofencing, business-consumer relationships are strengthened and refined. Gone is the day of one coupon for anyone and replaced with understanding a target’s need and providing information and offers of value.
Contact us today to find out how geofencing can play a role in your communication strategy.
-Larry Goldstick, President, Capture Digital Marketing – firstname.lastname@example.org
About: Capture Digital Marketing is a full-service digital marketing agency, based in Jupiter, Florida, and is dedicated to helping businesses grow by optimizing their digital presence. With clients across a range of industries including wealth management, health and wellness, estate planning, beverages and consumer products, Capture Digital Marketing multi-tiered strategies have connected businesses with consumers to grow relationships and drive revenue.
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Capture Digital Marketing specializes in creative solutions to help businesses optimize their digital presence through website development, online marketing, and individualized SEO services. Our team of professionals works with small and mid-size companies, entrepreneurs, and independent business owners, to develop digital strategies that drive revenue. For more information, contact us today at (561) 630-3699.