Geofencing in online advertising
In the world of online advertising you can select a region where to show your ads. Usually you will select a country, state or city. You can do that in Facebook ads manager or in google ads. When you look at what might help you increase the return of investment on your ads, you need to recognize that sometimes targeting a region might bring along a far too high rate of non-buyers.
So that is where geofencing or geo-targeting allows us to target city districts and even better preferred buildings. Let us say you are a vet and need to get clients who want to get their dogs, cats or birds treated?
Then the best is to go to do a geo fence around locations such as pet food stores, dog schools, popular areas people walk their dogs or other locations that are most typical for pet owners.
Why is this so special for targeting niche leads? Well, each time a social media user enters that location (pet shop) we will show the dog owner our ads. When he leaves the pet shop, we will continue to retarget him over the next few days. So, we can show him or her a variety of ads. The opportunity is massive but if you do it the wrong way you will not get them to engage with your business.
We need to have specially arranged images and text for these ads. You can not expect the person to see your ad and run into your office to become your client. We need to nurture the audience with relevant content and in the right way that matches the culture of the platform where we place that content.
Do not be the bull in the porcelain shop that breaks all the china. Have the right situational awareness. Platforms like Facebook and Instagram do not like you to violate their ads policies. Being greedy or disrespectful with your banners and content can get your ads account disables or even restricted. Yes, such a situation is horrible but even when you play by the rules your account and ads can be disapproved. Nevertheless, there are ways to reduce the risk and handle situations where Facebooks artificial intelligence decides to disable or block your advertising accounts.
Let us say, you have a care product for horses. How do I go about promoting this? Well, who will buy that product? Is it the horse owner, the stable that is renting out the stable box to the horse owner, or is it a medical professional or an authority? So, we have now several people in mind that could potentially buy our product.
Next is to go and ask people who have horses. They know who buys the stuff. Then ask that person and get as much filed information. Now we have a better idea who might be the buyer (stable owner or horse owner) and the influencer (e.g. other horse owners or the doctor).
Where would I have to go to meet these people outside of the stables? Do I have to go to a café or to pet shops or an exhibition for horses or a horse racing area to find these people?
Let’s say we want to target everyone at a specialized shop for horse equipment. Well there we will definitely not run into people who have a dog but no horse. Let’s put a geo-fence around that shop.
Now our ads platform knows we want to get in touch with everyone who goes there. This way our ads will be super targeted at people who are most likely horse owners or take care of horses. We will always have people who have no horse but are interested in the equipment but not in our product.
Nevertheless, this geofencing massively increases the efficiency of our ads campaign that eventually will drive leads into our funnel that leads them directly into becoming buyers.
Depending on the platform we can reduce the targeted area to an area size of 150 feet or 45 meters. You could target one particular shop in a big shopping complex with the right geo data.
Do that in your target region 30 or 80 times and you are placing your ads right in front of people who are highly potential future buyers. This leads to a better return of investment for your ads budget.