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Driving Retail Innovation with Geotargeted Marketing Campaigns

How location-based marketing drives innovation, profit, and engagement
June 25, 2024

Geotargeted marketing is a marketing strategy that involves delivering content, advertisements, or promotions to consumers based on their geographic location. This approach leverages data about the physical location of potential customers, which can be identified through various means, such as GPS data from smartphones, IP addresses, Wi-Fi networks, and even registration information.

As of 2024, 30% of searches came from mobile devices related to a concrete location. This statistic draws attention to mobile users' inclination to search based on their location and indicates that many searches are focused on finding information relevant to potential retail customers' geographic locations.

Driving innovation and profit with geotargeted marketing

Geotargeted marketing tailors marketing messages to specific audiences in particular locations, increasing relevance and engagement. More than half of all consumers are willing to provide information on products they like in exchange for personalized discounts. Accordingly, for 59%, personalized engagement based on past interactions is critical to their decision to become a paying customer.

Mapping software for businesses enables the geographic segmentation and analysis of customer data, making sure the right messages reach the right customers in the right location.

Improved ROI

Targeting specific regions allows marketers to optimize their ad spend and avoid wasting resources on broad, less effective campaigns. On that note, the search rankings of local businesses with accurate online citations are 70% higher.

Local promotions drive engagement and foot traffic

Marketers should promote local events, sales, or offers specific to a certain area because these can drive foot traffic to retail stores. Messages that consider local customs, weather, events, or regional preferences are also more likely to resonate with the audience.

Geotargeted marketing channels

Geotargeted marketing can be implemented through various channels, including search engines. One approach is displaying ads to users searching for products or services in a specific area. Over 90% of searches still occur on Google, which shows how important it is for local retailers to optimize their Google Business profiles.

The role of email campaigns

Email campaigns involve sending region-specific offers or information to subscribers based on their geographic data. You segment your email list and tailor your messages according to the geographic location of your subscribers.

You can collect geographic data using mapping software, sign-up forms, or surveys. Include fields in your sign-up forms that ask for location details such as city, state, or zip code, and encourage subscribers to update their location information through periodic surveys.

Mobile advertising

Businesses that advertise for mobile use GPS data to deliver ads to users' smartphones when they are near a specific location. In 2024, Google made mobile-first indexing a priority, and 70% of websites have tried to enhance their local search rankings by adopting mobile-friendly designs.

According to a recent survey, 60% of US businesses have adopted multichannel marketing. This led business revenue to increase by 21% in 2023.


What are the benefits of geomarketing?

Geomarketing helps identify a target group spatially. It allows retailers to select an advertising and marketing tool at an optimal cost in the right areas. Retailers should only conduct their regional marketing in the actual catchment area of their retail locations or branches.

Is geotargeting the same as geofencing?

Geotargeting ads focus on specific customer details within a chosen area. On the other hand, everyone who crosses a virtual fence gets geofencing ads regardless of how they behave.

What software is used to map business processes?

Flow chart software is among the most widely used types of process mapping tools. Tools like Miro allow people to build and work on all kinds of process maps, using different symbols and shapes that represent different processes, decisions, roles, and information flows.

How do you innovate in retail?

  • Geotargeted ads.
  • Socially conscious branding.
  • Displaying inventory on Google Maps and Search.
  • Mobile ordering.
  • Increasing personal and custom experiences.
  • Incorporating text communication.

What is the future of retail?

Machine learning, AI, and natural language processing are improving in-store operations and customer experiences. AI-optimized algorithmic merchandising allows efficient stock allocation and predictive inventory planning.

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