Can You Geofence on Facebook? Tapping into the Potential of Location-Based Marketing in a Rapidly Growing Sector
According to Straits Research, in 2022, the global geofencing market was valued at a staggering USD 912.14 million. Fast forward to 2031, and it is projected to balloon to an astounding USD 3,551.49 million. That's a growth rate of 16.3% over nine years. The numbers are impressive, but what do they mean for the local business owner?
As a leading marketing agency in Western New York, we’ve witnessed firsthand the transformative power of geofencing and various digital marketing tactics on the business landscape. Geofencing, in particular with its unique targeting options has been a game-changer for many companies. But what exactly is geofencing, and how can local businesses harness its explosive growth to their advantage?
This article is your primer to the world of geofencing and how you can strategically use it to level up your marketing plan, and grow your sales reach.
What is Geofencing?
Geofencing is a technology that establishes a virtual boundary around a real-world geographic area. By doing so, it creates a radius of interest around a particular location and allows businesses to serve targeted ads to people within this defined area. Imagine drawing an invisible fence around your store or any location of your choosing, and being able to communicate directly with potential customers as they enter this space. That’s geofencing in a nutshell.
Why is Geofencing Important for Your Business?
The first step to a successful business is answering a question or fulfilling a need. As a business owner, you’ve likely identified the audience who needs your product or service, and now you need to target that audience.
Geofencing allows you to do just that by serving targeted ads to individuals based on their geographical location. With the rise in smart device usage, geofencing has become increasingly popular over the past five years, as it’s a cost-effective way for smaller businesses to drive results without breaking the bank.
Geofencing is especially effective if you want to:
Show your offers or product listings near your retail locations.
Run custom offers to different neighborhoods, schools, or venues.
Reach new leads for recruitment efforts.
Tailor your message based on user location.
Target shoppers at a competitor’s location.
Show a tailored message to those attending a particular event.
Can I Use geofence Targeting on Facebook?
Yes, yes you can use geofence targeting in your Facebook ads.
To set up geofencing, start by creating a campaign on platforms like Facebook. In the audience section, you can select the location to target or exclude. For highly specific local targeting, select the geography you want to target and use a “Drop Pin” on the exact location that meets your parameters. Then select the radius to target around the desired location. You can build a geofence on Facebook by setting location exclusions to make geotargeting even tighter than a mile around the location pin drop.
Facebook, for instance, determines locations in various ways such as smartphone data, manual check-ins, and places that users list as their current or home city. Geotargeting with Facebook allows you to specify the kind of "location targeting" you wish to employ, which is critical for differentiating between those who live in, have recently visited, or have the location set as a reference on their profile.
If you have a physical store, are a service provider geotargeted ads could be an excellent way to drive traffic and build awareness of your products of offerings. Just be sure to define you sales goals, and use them to help determine the optimal radius to target for your location.
Future of Geofencing: Riding the Wave of Growth
Given the projections, the geofencing market is on the precipice of exponential growth. With a Compound Annual Growth Rate (CAGR) of 16.3% from 2023 to 2031, it is evident that geofencing is not just a fleeting trend, but a lasting revolution in the realm of digital marketing. As technology continues to advance, geofencing is bound to become more sophisticated, making it even more vital for local businesses to adopt this strategy to remain competitive. The applications and possibilities are boundless, from enhancing customer engagement to optimizing supply chains and logistics.
Don't Get Left Behind: discuss Geofencing Tactics with Archer ATR Today
The digital marketing landscape continues to rapidly evolving, and geofencing is one of the many targeting tactics that continue to grow and evolve along with it. With the market poised to grow, now is the time to embrace geotargeted advertising options and integrate them into your marketing strategy.
And know, that Archer ATR is here to support you in this endeavor. As experts in technology solutions, we can help you navigate the intricacies of geofencing and devise a tailored approach that aligns with your business goals. Don’t get left behind in the fast-paced world of digital marketing.
Contact Archer ATR today, and start harnessing the power digital advertising for your business. Schedule a free assessment or call us to discuss your marketing needs.
