Do you know what geofencing marketing is? It is a location-based marketing strategy where a company uses geographical boundaries to trigger different events around a place of interest. For example, when a person walks into an area full of coffee shops, the company can automatically set the system to recognize such locations and set the user coupons for coffee. Such a marketing tactic is incredibly effective, simply because what is advertised through geofencing marketing can quickly be taken to action by the user.
That said, companies, even the large and experienced ones, can make geofencing marketing mistakes. These mistakes are generally common errors that result in businesses losing out on potential opportunities, hurting their returns from their ads.
In this article, we’re going to talk about the mistakes you must avoid that will potentially hurt your geofencing marketing efforts:
1. Too Much or Too Little Coverage
One big mistake many companies make when attempting geofencing marketing is having either too little or too large of a coverage. With too much coverage, customers get ads that aren’t relevant to them. This leads to wasted effort and money sending ads to individuals who have little to no interest in them. On the other hand, too little coverage means that opportunities are lost to customers who could have used said ads but did not get them.
To fix this problem, understanding customer behavior is a must. Knowing when and where customers will be at their highest probability of purchasing will help you set the right parameters that will maximize your opportunities and return on investment.
2. Not Getting Data from Multiple Sources
It may be tempting to only rely on the data you have collected to use for your geofencing marketing efforts. If you’ve collected a lot of data, this may be possible. However, nothing beats also sourcing much of the data from various sources.
Having more than one source of data means you have more data to work with that will drastically help enhance your ad’s accuracy and effectiveness. This is incredibly useful, especially if you’re new to geofencing and need access to customer data to properly target customers with geolocation. As such, take the time to hunt down multiple sources of data and integrate them with your first-party data.
3. Not Limiting the Frequency of Ads Customers Get
After getting the parameters right, you may be thinking of bombarding your audience with ads. Unfortunately, this is a big mistake. Although you may not have done this on purpose, not limiting your ad frequency will also lead to such bombardments. This can quickly desensitize your customers from the ads, hurting the effectiveness of your geofencing marketing efforts.
As such, solve this problem by capping your ad frequency. This way, you limit the number of ads your audience receives, making each ad they get much more valuable to them. This helps to reduce the chance of your ads getting ignored, maximizing your efforts.
There are many other mistakes that are commonly made that you must avoid. This includes using expired customer data, utilizing inaccurate tracking data, and more. Regardless, in your geofencing marketing efforts, it is vital to be mindful of all these mistakes and avoid them at all costs. This way, you can be sure that once you get your geofencing marketing up and running, you will enjoy positive results that will bring more business to your company! On that note, keep in mind that you will always run into problems and challenges. Be sure to learn from these experiences, and work hard to solve any problems you face quickly to keep your customers happy and your business growing.
Nick the Marketer is a full-service digital marketing agency focused on lead generation through social media, search engine optimization, website design, and more. If you are looking for advertising consultants to help you out with geofencing marketing, reach out to us today!