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Importance of Location Based Advertising & How to Use it Effectively

It would be somewhat of an understatement to say that many of us lead busy lives in modern society.As days go by, it is possible to see that frantic pace in which we live our lives. This in many ways proves problematic for marketers who are trying to engage their audiences effectively. However, in the new age of mobile and proximity marketing, Location Based Advertising has stepped forward as a possible solution.This effective technique brings along a number of advantages for marketers that they need to be aware of.


Some benefits of location-based Internet marketing would refer to

  • Getting the attention of your target easier. Use location-based marketing to differentiate your business from your local competitors.
  • Increasing impulse Buying. The real-time delivery of advertising prompts benefits of immediate response. For example: Get 50% off on shoes if you come into our store in the next one week.
  • Developing stronger one-to-one relationship marketing, Consumer purchasing history can be examined, thereby enhancing future marketing messages.
  • Increased psychological nurturing. It helps in building brand recognition and loyalty among your customers by giving them more attention.

The inception of Location Based Advertising itself immediately highlights a key aspect of our modern lives. Marketers want to reach customers around the clock, wherever they are, to tackle the fast-paced nature of our day-to-day living. Marketers want to target customers on the go when they are a convenient distance from a store or redeemable location for offers and they can now do this in two main ways. First marketers can utilize “pull” advertising where customers will actively seek information on their nearest available restaurant for example. Using location-tracking technology, their mobile device can bring up a list and a map of their nearest available restaurants and even refine the list based on time and culinary preferences.

This example highlights only the pull side of Location Based Advertising however. Push advertising via Location Based Advertising can be just as effective and still allows users to opt out of the alerts if they no longer wish to receive them. The push approach has been used recently by movie theatres via “geo-fencing” a proximity based virtual field that automatically sends alerts to devices within the specified domain once a user agrees to receive the alerts. Movie theatres would send alerts allowing the user to opt in to receive free movie samples when they passed the movie theatre. Highlighted here is the ability for LBA to engage customers as they are on the go and in a convenient vicinity to where they can redeem the specified offer.

The “opt” feature of location based advertising is vital for customer security. Internet and Email can arguably provide similar information, but it lacked specificity and with the outbreak of spam has fizzled away. By opting in or out of certain alerts, not only are customers gaining a sense of control but also marketers are learning a great deal about their audiences. When customers opt-in to advertisements, they can select from a range of ways for the alert or advertisement to be delivered. This allows for real-time market research by marketers, which can ultimately lead to more engaging, specific, and targeted advertisements.

So not only does Location Based Advertising offer targeted and personalized advertisements and alerts to customers whilst they are on the go, it offers customers control of how they receive alerts if they opt in to receive them. This interaction allows marketers to gain better understanding of their customers in real-time marketing and dramatically increases the likelihood of establishing a healthy customer loyalty base and customer satisfaction. With a service so focused on customer convenience, security, and satisfaction location-based advertising is most definitely the future of proximity marketing.

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