Imagine harnessing the ability to target a specific audience down to the exact home address where a potential lead lives.
There’s no doubt that this technology would be pretty useful for marketers. Well, thankfully for you, this futuristic targeting strategy is now a reality. It’s called addressable geofencing.
Businesses big and small across the nation are utilizing this awesome, innovative technique to drive more leads and boost sales.
So, what’s the bottom line?
If your brick and mortar business isn’t taking advantage of addressable geofencing, you’re losing out on A LOT of sales.
Let’s dig deeper:
What exactly is addressable geofencing?
Addressable geofencing is when advertisers place a virtual fence around the radius of a specific address of a household or business.
Although geofencing technology is much more complicated than most would even want to comprehend, the idea behind it is simplistic.
Typical geofencing allows advertisers to target potential leads with ads as they leave and enter a location radius where consumers are more likely to make a purchase. Addressable geofencing takes this technique to the next level.
Addressable geofencing allows ad targeting of a local address to a nearby business. It makes sense: people who live close to a business are the most convenient potential clients.
Delivering digital ads to consumers at local addresses is just one technique that addressable geofencing makes possible. This specific form of programmatic advertising has so much more to offer.
How is addressable geofence advertising different
Geo-targeting? Geofencing? Addressable geofencing? What’s the deal with all of these kinds of advertising, and how is addressable geofencing different? For digital advertising novices, it’s easy to get these confused, they’re all different, but they’re still related.
Geo-targeting is for advertisers going after a much broader group of consumers. Usually, geo-targeting ads will target zip codes, cities, states, or even countries. Geo-targeting advertising campaigns are often attractive to smaller businesses because of their lower costs.
Geofencing refers to predetermined geographical locations that businesses target. Once a person’s mobile device enters a geofence, the device’s Wi-Fi or Bluetooth signal is detected, which then triggers a message that is delivered to their phone.
Addressable geofencing is similar to the other two, but addressable geofencing is a whole new ballgame. With addressable geofencing, an advertiser places a geofence around a specific address. Unlike traditional geofencing that mostly targets mobile devices, addressable geofencing broadens advertising reach to all CTV devices at an address. This enables targeting of audiences with more specific demographics while extending its reach.
Advanced conversion tracking metrics
Addressable geofencing might seem a little spooky to some, and in some ways, it is, but its ability to track conversions is revolutionary.
Companies get access to a unique statistic called conversion zone tracking. These metrics give advertisers access to who is seeing their ads.
But here’s the kicker:
You’re then able to get direct insight to see the audience that’s actually visiting your business after watching your advertisement. In the past, tracking the conversion rate of our audience was nearly impossible. Now it’s all possible, thanks to GPS, WiFi, Bluetooth signals, and strategic geofences.
You can test different ads to different audiences with differentiating demographics, whether they’re audio, display, or OTT/CTV, to see how they react. You can even pick and choose the ads you want sent to each demographic.
Addressable geofencing is an advertising goldmine
Every local business needs a local mobile advertising plan; and if they aren’t already — they need to be targeting ideal customers by address.
If you tap into addressable geofencing now, you’ll be ahead of 78% of businesses that aren’t utilizing geofencing to its full potential.
Think about it:
Getting ahead of your competition now, before bidding becomes even more competitive and ad prices increase, is not a bad idea.
The advantages of addressable geofencing advertising
Being able to harness the power to target exact home and business addresses with geofences comes with some amazing advantages.
Seriously, take a look:
- Extremely accurate targeting. Targeting addresses gives you the ability to direct ads based on public data like property tax records, as well as hundreds of demographics based on age, income, and interests.
- It’s more precise than IP targeting. The downside to IP targeting is that IP address numbers don’t accurately correlate to geographical location. It doesn’t make sense to target a number when you could directly target a place with a geographical address.
- Trackable foot traffic. Physically tracking audiences that visit your business after viewing an ad has never been possible at scale until geofencing became a thing. Now conversion zones allow you to track an audience-to-client conversion.
- More personalized advertisements. With addressable geofencing’s advanced targeting, you can create ads for more specific demographics. This is unlike traditional advertising, which covers a general audience with a less effective “shotgun” effect.
- Targeting across all CTV devices. Addressable geofencing advertising campaigns can reach all devices connected to the Internet within its geofence — not just mobile.
- Increased advertising campaign success rates. Thanks to conversion zone tracking metrics and audiences precisely targeted down to an individual household, less advertising funds are wasted on the wrong audiences.
Addressable geofencing won’t just optimize a higher conversion rate for your digital advertising campaign, it will also build a better customer relationship with your audience.
Nobody enjoys receiving annoying, spammy ads that aren’t even relevant to them. So, when you’re able to send ads that are useful to the audience, the customer will have a growing appreciation for your business.
Types of ads for addressable geofence advertising
Regardless of the advertising platform you choose, addressable geofencing will add a new world of advanced targeting metrics and demographics to your marketing arsenal.
Digital marketing professionals understand that targeting the right audience can make or break your campaign. You can keep the same digital advertisements that you’ve been using, but enhance your targeting strategy with addressable geofencing.
Here are some digital advertisement types that you can enhance with an addressable geofencing strategy:
OTT and CTV advertising
Without our connected TV devices, addressable geofencing wouldn’t even be a thing. The number of OTT platforms and its users is growing every year as more people “cut the cord” to their old traditional TV.
When you combine OTT advertising with addressable geofencing, you get an entirely new advertising beast.
The popular OTT platforms that everyone is using, like Hulu and SlingTV, already come with enhanced metrics to track from the users’ connected TV device. So, it only makes sense to pair an increasingly dominant form of advertising with improved targeting.
Programmatic audio advertising
Online audio applications like Spotify and Pandora already host a family of millions of loyal users. According to Spotify’s 2018 first fiscal quarter reports, they had 99 million ad-supported listeners who were active every month.
On top of that, the range of people with specific interests and demographics that you can target with programmatic audio advertising is endless.
These users are always on their phones, listening to their favorite songs or podcasts when they’re on the go. It’s no wonder these mobile users make the perfect audience to track for your geofencing campaign.
Converting direct mail lists
Direct mail marketing has been around for a long time, to say the least — it may even seem primitive to today’s digital marketing gurus. Advertisers used to spend big ad budgets on an advertising campaign that was hardly trackable for analyzing ROI.
You might have thought your direct mail or “junk mail” list was useless, but this isn’t the case. Businesses using addressable geofencing can take advantage of their direct mail list addresses to target the same people, except using advanced digital advertisements.
You can convert all of the same paper advertisements to digital display ads to send out to the same addresses already on your list. Then, using addressable geofencing’s conversion zones, you’ll be able to track the same audience that used to be untrackable.
Addressable geofencing for your local business
No type of business would suffer more from poorly targeted digital advertisements than a local brick and mortar business.
It’s common sense:
Local businesses need to pull in customers and clients that are geographically close to their business location. If your ads aren’t targeting an audience in the right location, you’re wasting money.
A local business needs to be able to track its customers to help optimize ads. When a customer buys from you for the first time, they’re going to be more inclined to purchase from you again. Addressable geofencing’s conversion zone tracking will enable advertisers to retarget customers to influence them to come back.
Chances are if you’re a local business, you already have a list of addresses from previous customers. So you might as well resell your brand to this same loyal group of customers — it’ll be your easiest sale anyway.
Businesses that should use addressable geofence advertising
All types of local brick and mortar businesses should be utilizing addressable geofencing strategies to get the best ROI from their ad campaigns.
Whether it’s a plumbing business or a car dealership — reaching new local customers using addressable geofencing will increase sales and exposure. Many of these businesses already have a list of loyal customer addresses they should retarget with special offers or follow-up appointments.
Here are a couple of ideas for brick and mortar businesses that could apply to your addressable geofencing advertising campaign:
- Utility service providers: Regardless of whether the service you’re offering is plumbing or HVAC — targeting specific addresses could be used to advertise a special rate or to even go after your competitor’s customers.
- Banks: Banks could target households to advertise lower interest rates, loans, or new checking and savings accounts to acquire new clients.
- Automobile dealerships: Car dealerships could send ads reminding previous customers about scheduled maintenance, or bring in new customers with deals on low-interest rates.
- Real estate agents: Real estate agents could target hot-selling neighborhoods, real estate brokerages, or even specific houses already for sale to obtain highly relevant leads.
- Veterinarians: Veterinarians could target their client address list to promote pet check-ups and vaccinations. They could also place geofences around pet stores to get their business name out in front of an audience that already has pets.
This is just a small list of businesses and simple strategies to utilize. There are so many more applications and tactics that companies can implement.
Results of an addressable geofencing ad campaign
LiftIntent was challenged by a law firm that was looking to grow local audience awareness to drive more relevant leads.
Our adept advertising team set a goal to target a niche and exclusive audience to increase the law firm’s leads over a three-month period.
Check out the results for yourself:
Using advanced addressable geofencing techniques and OTT advertising, LiftIntent was able to drive engagement from a specialized local audience. In just three short months, phone calls increased by over 40% while the cost per video ad dropped by 15%.
Need help with addressable geofencing for your business?
Addressable geofencing is arguably the most advanced geographically targeting tactic for digital advertisers today.
Despite the complexity of addressable geofencing, if you’re not using it in your marketing strategy, you’re missing out big time. There’s no debate that targeting specific addresses that fall under your ideal demographic will take your OTT/CTV marketing campaigns to the next level.
You’re probably a lot more knowledgeable about addressable geofencing after reading this article, but we know it can be a lot to take in. Hiring a proven professional digital marketing team like LiftIntent will help take the weight off your shoulders.
Think about it:
You can focus on your business while we drive more high-quality leads to your business. It’s a win-win.
Are you ready to target a highly specialized audience for your business’s marketing campaign? Contact us today to take your business to the next level. Request our media kit and review our case studies today.