Last month, I indulged in a Parisian gastro-tour. Before
traveling, I carefully selected only the most elite restaurants for each of my
Amass. Check. Le Atelier de
Joel Robuchon. Check.
The list went on. With a plethora of tasting menus
and mountains of foie ahead of me, I didn’t expect to find myself hungry in the
middle of Paris. But I was.
I immediately deferred to
my always on, always there companion – my smartphone. I frantically scrolled through its apps, looking for
nearby diners before I became too
function… Overwhelmed with options, I stared helplessly at its screen, hoping
that one café would magically stand out from the rest. As though reading my
mind, an ad for a neighborhood bistro magically appeared in my app. 100 Meters…
less than a block away. An
ad saved my day.
* * *
With mobile devices becoming more ingrained in everyday
users’ lives and as buyers’ expectations increase, advertisers must fight to
remain center stage. Their mobile ads must be both engaging and relevant – and
these days, location is becoming even more important.
personal care study we found that 4 out of 5 American
consumers actually expect mobile ads to help them find something nearby and
that more than half of them expect mobile ads to influence them to switch
brands. This is great validation for advertisers to incorporate
geo-fencing as part of a comprehensive
strategy. And according to a study conducted by Nielsen, mobile users are 42%
more likely to like location-based mobile ads now than in 2012.
What is geo-fencing?
A geo-fence is a
virtual perimeter that is established around a physical place (e.g. a retail
location, an airport, a sports arena, etc.) to send push notifications or ads to
mobile devices that enter or leave the defined area.
How can YOU stay
relevant using geo-fencing?
: Understanding who your consumer is, the context surrounding their mobile use, and how they're using the mobile phones can be instrumental to building a successful campaign. Point-of-interest targeting, e.g. geo-fencing ads around locations where your consumers are, can be especially relevant.
your box: Build
geo-fences around where your customers are likely to be, which may not always
be where you are. Competitor conquesting has proven to be a hugely successful
tactic for many big brands.
The rule of thumb is that
geo-fences should be within a 4-5 minute travel radius from the targeted
location to remain relevant.
The message of the ad should prompt immediate action. The
call-to-actions should be clear and concise to best drive conversions.
- Be Transparent:
It is important to inform users about how you are using their location
information. Mobile consumers are open to receiving discounts, offers and
relevant advice, and they want to maintain their privacy – be transparent about
how you are using their information to help gain their trust and loyalty.
multiple targeting techniques:
Leverage geo-fencing as part of a
comprehensive targeting strategy. Context targeting, day-parting, content
targeting and retargeting are just a few other targeting methods that you can
choose to implement.
As always, data is key. In this digital age, advertisers
are consumed with calculating ROI and making data-centric decisions.
Fortunately, tools exist that aggregate and analyze user engagement,
conversions and brand lift, all measures of ad performance and
effectiveness. It is imperative that you
leverage these tools and understand the accompanying metrics in order best
optimize your campaigns.
Geo-fencing in action
Besides the perfectly placed café ad that was served while I
was starving in Paris, what are other examples of successful geo-fencing
campaigns? The following are a few examples of awesome geo-sensitive campaigns
that ran on InMobi’s network.
- QSR: A
top 5 QSR business wanted to increase its breakfast share and maintain its
stronghold on the QSR segment. It geo-fenced ads to consumers within a small
radius around coffee shops, teahouses and cafes. It also chose to geo-fence ads
around its two largest competitors. The geo-fencing was a highly successful
component of a comprehensive targeting campaign.
In an effort to secure back-to-school sales, a top 5 US retailer geo-fenced
ads to consumers near its competitors’ stores. The campaign was a great
success, out-performing non-location-based ads by 24%.
A world-class entertainment resort geo-fenced ads to consumers within a
small radius around its parks. The geo-fenced ads experienced tap-through-rates
8.7x those of the non-targeted ads.
Whether it is to entice users to your stores or to destroy your
competitive landscape, you can leverage geo-fencing to effectively reach your
consumers. As location targeting becomes the norm, don’t get fenced out!
To learn more about our research, contact
InMobi for Brand Solution
Maximizing Mobile Marketing Opportunity