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All About Location Based Advertising: How Can It Aid Business Growth?

Tech development allows more cutting edge marketing approaches to be developed. One of the results is location based marketing. It means that the marketing activities are targeted only to a certain location. Location based advertising is a marketing activity that aims to promote the brand.

The Process of Locationalized Advertising

How does location based advertising work? Basically, the marketing team needs to target a specific area for their promotional activities. People who live at one geographical location are likely to share similar characteristics, such as: culture, language, and socioeconomic status.

To determine the location, the team can use various market research approaches. Once the location has been determined, they can finally work to reach out to people who live in that specific area. A GPS-based system can help. The outreach can be done by sending text messages or phone calls.

People may also receive links that will direct them to certain apps through this mode of marketing. They will likely access those applications when the links are sent directly to their mobile devices. This method is going to be more successful if there are some interesting offers.

Location based advertising
Pict from pinterest

There are some benefits that people would gain from implementing location based advertising in their marketing activities:

  • It increases the chance of immediate consumer actions

  • It enhances the consumer experience

  • It build consumer’s loyalty towards the brand

  • The marketing process becomes more efficient

Classifications of the Marketing Approach

What is a location based advertising describe the various types? Marketers may use certain types of location-centered advertising. The options include:

1. Geofencing

It refers to the locationalized advertising technique that utilizes global positioning systems or GPS to locate a certain location. This location has been predefined before and the tool that is being used to determine the location creates a fence to virtually lock the target location.

2. Beaconing

Beaconing is a variation of geofencing technique in location based advertising. However, instead of creating a virtual fence to target the location, it utilizes small devices in that predefined location. Whenever someone new enters the location, they will receive the message.

3. Location or Place-based Targeting

This location-based mobile advertising technique emphasizes on sending ads to people in a specific area within a certain timeframe. Because of the tools being used, the marketers can decide where to send the ads and when is the right time to do that.

4. Hyper Contextual Targeting

The context in this advertising technique is the location that shows people’s tendency to be interested in certain products. Within that location, certain people show more propensity to be loyal customers than others. These people will receive relevant ads that align to their interest.

5. Geotargeting

To perform this technique, marketers need to work together with service providers. Providers will send real time data of their customers who are at that time within the radius of the business’ shops or chain stores.

This method is arguably more robust than the other location based advertising methods.

Controversy of the Marketing Method

Despite the effectiveness of this marketing approach, the application is met with some resistance. On one hand, this advertising strategy helps people who need access to those products. An effective advertisement, especially coupled with promo, will fulfill the person’s needs.

However, there is a concern about privacy too. Some people may feel uneasy about receiving text messages from brands they do not subscribe to. A phone number is a personal contact information and having people accessing it is an invasion of privacy to some people.

Location based advertising
Pict from pinterest

The Tools for Location Based Advertising

What are location based marketing tools? There are several tools that are used to help conduct this marketing approach. Here are some of the tools:

  • SMS Broadcaster

  • Search engine directories

  • Social media check-ins

  • Online reviews

Reviewing HT Terminal Enterprise 4G

How do you use location based advertising in sms? To do this, you can use an SMS broadcaster. Terminal Enterprise 4G from HT is a good tool for this job. Check the device’s specifications in the following list:

  • An SMS text can contain up to 400 characters

  • The device can send up to 20,000 text messages in an hour

  • The outreach radius varies from 300 meters to 2 kilometers

  • It accommodates 4G technology which means more accurate location

  • The device can handle 5 tasks at once

Of course you can find another example of tools that can be used to perform this marketing approach. SMS advertising is highly recommended due to its specific nature. Nonetheless, a business will thrive if it is willing to invest in this marketing approach.

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