Geofencing Blog For App Marketers

7 Reasons to Embrace Geofencing

Do I even need to explain what geofencing is? This latest trend in mobile marketing is here to stay.

Geofencing enables mobile marketers to send location based notifications from their App. In a nutshell, geofencing means creating a “fence” around a location within which you want people to receive your notifications. You define your notification and that’s it, you're done! You can then target people based on their location. Not sure about what it has to offer? Just take a look at the pros below! 

1. Relevance


Geofencing has the highest potential for high relevance of any existing marketing channel because it gives you the possibility to reach people with perfect timing. When customers download your application and agree to share their location, they allow you to target them individually, and personalize the notifications you send them. You can send notifications when they enter a specific area, thus avoiding sending irrelevant information that they will ignore or get annoyed by. Relevance is, of course, achieved through flexibility. You can define a Geofence which includes the whole city or just the pavement in front of your store and define specific times during which your notifications should be sent (for instance opening hours). The notification message can include anything, like a discount or a link to a specific site for your campaign. Geofencing can work for any business with physical locations and it’s up to you how you make it serve your needs. But most importantly, if done right, it is perceived by consumers as an additional and useful service rather than just a marketing trick.

2. Time Efficient Implementation

Unlike other forms of marketing, setting up a geofencing campaign is very easy. Managing and improving your geofencing campaigns can be done in a neat dashboard and does not require any technical skills. Just implement the plugin using the step-by-step guides of your supplier and immediately create your notifications. Companies such as Plot Projects, provide easy to use dashboards to manage your geofences and notifications and are in charge of the maintenance. Therefore you can optimize your campaigns at any time without worrying about any possible platform updates which used to demand major application adjustments in the past. 

3. Extensive Insights into Performance


Some may question “Okay, lets say I do this. How do I know if it works?” Geofencing gives you access to information that will help you define the success of your campaign, such as the number of notifications sent and viewed and the conversion per location-based notification. You can also gain deeper insights: which stores convert better, at what time of the day they do so, and the conversion per platform (e.g iOS, Android). Consequently, you can understand what impact geofencing had on your business and how many customers it brought you. How much did it boost your sales? How high was the ROI?

4. Proven Trackrecord

Did you know that 26% of people open an app once and never use it again? Also, 78% of those who enabled push notifications on their smartphones claimed that they would disable them, or even delete the application if they were unhappy with what they received. But no more. Numbers prove that users are more likely to use an app if they receive location based notifications. According to statistics, the click-through rate of geofencing notifications is 30%, which far exceeds that of generic push notifications, which is only 2%. Geofencing increases your app usage by over 200%, leading to higher customer engagement. In simple words, sending relevant notifications to people actually urges them to click on them and, consequently using the app more often than usual.

5. Cost-Efficient Marketing Tool


Your business cannot afford a big marketing campaign? Geofencing does not require a huge budget to deliver effective marketing because it gives you the possibility to get your message through to your audience without having to pay a lot of money for advertisement. It is efficient because you can create your own marketing channel instead of having to buy one of an ad agency.Thus, you can invest a small budget and compete against the big retailers! There is a wide range of options, just pick one according to your needs and financial capacity.




6. Users Demand It

Doing what’s best for your company does not mean that your customers’ interest is not your first priority. Recent studies concluded that 70% of consumers find location-based notifications to be valuable and 53% of them are likely to engage with location-based advertising. According to a customer experience study, 47% of consumers surveyed stated that they would be likely to shop from a retailer that offered promotions when they are nearby. It actually seems that people love to receive this type of notifications. And it is not difficult to understand why. In addition to being highly relevant, geofencing notifications are also convenient! Nothing is more convenient than receiving interesting information (e.g for deals) without doing any research and being able to take advantage of it immediately.

7. It's a Young and Fast-Growing Industry


It is expected that the real-time mobile location-based marketing and advertising market will reach $9 billion by 2017. Taking this numbers into account, a great amount of money will be invested and a growing number of businesses will try to get their share of this promising industry. Therefore it might be a good idea to integrate this technology before everyone else does. Be innovative and stay ahead of the competition!

For more information about Geofencing read this article.




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