Geofencing marketing (also called geofencing advertising) is a type of location-based marketing that lets you connect with smartphone users in a designated geographic area, such as a store, through mobile apps or mobile webpages (Berry, 2021).
Why use geofencing?
This is a great way to advertise and get a better online presence for local businesses, and it's also cheaper than Google Ads search campaigns.
The six places you can target with geofencing marketing are the following:
Your location
Competitor locations
Events or trade shows
Households via addressable geofencing
Colleges
Nearby streets and stores
Let's talk about ethical concerns with geofencing. Nowadays, more and more people have become aware of privacy concerns. According to Nearly a third of all internet users now report using some form of an ad blocker. 9 out of 10 people agree that they have lost control over how their personal information is collected and used by businesses (Demand Local, 2020).
Businesses must be careful about how they geofence. Here are the common rights for the customers:
common rights for consumers:
The right to request disclosure about what information is being gathered and what purpose it is being used for
Limitations on the use of information only for its expressed purpose
The right to access information gathered
The ability to opt-out
It's important to stay in compliance with the regulations to avoid penalties when using geofencing for digital marketing.
References:
Berry, S. (2019, October 30). Geofencing marketing: The new way to market your business. WebFX. https://www.webfx.com/blog/marketing/geofencing-marketing/
Deman Local. (2020, January 13). Ethics in geofencing: post GDPR & CCPA. https://www.demandlocal.com/blog/ethics-in-geofencing/#:~:text=Unless%20devices%20or%20apps%20can,exempt%20from%20most%20privacy%20regulations.
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