Role of Geo-fencing in Marketing

What is Geo fencing?

Geofencing is a location-based service in which an app or other software uses GPS, RFID, Wi-Fi or cellular data. It triggers a pre-program action when a mobile device or RFID tag enters or exits a virtual boundary set up around a geographical location, known as a geofence.

Depending on how a geofence can configure it prompt mobile push notifications, trigger text messages or alerts. As well as send targeted advertisements on social media, allow tracking on vehicle fleets. In addition to disabling certain technology or deliver location-based marketing data.

Some geofences are set up to monitor activity in secure areas. That insure management to see alerts when anyone enters or leaves a specific area. Businesses can also use geofencing to monitor employees in the field. In addition to automate time cards and keep track of company property.

How geofencing works?

An administrator or developer must first establish a virtual boundary around a specified location in GPS- or RFID-enabled software. This can be as simple as a circle drawn 100 feet around a location on Google Maps. As specified using APIs when developing a mobile app. This virtual geofence will then trigger a response when an authorize device enters or exits that area. As specified by the administrator or developer.

Here are other common geofencing applications:

• Social networking
• Marketing
• Audience engagement
• Smart appliances
• Human resources
• Telematics
• Security

Why is geofencing so important today?

You may not fully be aware, but let’s review some of the reasons that will make you kick yourself in the butt for not leveraging it:

i) Easy customer reach: When it comes to reaching out to your customers, geofencing is an option you shouldn’t neglect — because it notifies your customer about your product/services whenever they’re close to your business location through their mobile phone. That’s cool, isn’t it?

There’s no doubt as to the results it will generate, especially when you consider how addicted people are to their mobile phones.

ii) Instant consideration: Can you call the attention of your customers instantly when they walk by your store without shouting at the top of your voice?

• I doubt.
• Through geofencing, you’re able to trigger instant messages that pique a customer’s interest and nudges them to come check out the latest deals in your store. Remember that 90% of SMS are read within 3 minutes . So, geofencing campaigns help consumers make informed and instant decisions.

iii) Grows brand awareness: The mobile marketing strategy that leverages on geofencing provides local and multi-channel businesses, the chance to communicate with their potential consumers who are close by and ready to purchase through mobile phones.

• These messages serve as a reminder to your consumers to choose your brand out of the thousands of other similar businesses around a particular location.

iv) Reduction in cost of marketing: With the high cost of creating ads campaign, using geofencing is sure to cut down the cost and still produce a great result — since it only focuses on local consumers and these consumers are likely to buy from you.

Geofencing is more like an extension of your restaurant, store or shop. And with geofencing you don’t need to stand in front of your store to call anybody that passes by. Because you’ve already known your potential consumers.