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Enhancing Marketing Strategies with Location-Based Consumer Insights  

by Maria L. Searle
enhancing marketing strategies with location based consumer insights

Defining location-based marketing and what it does, the best tools for insights based on consumer location. Examples of strategies: geofencing and geotargeting, analyzing real-time location data, beaconing, and ads in wi-fi hotspots.  

What is Location-based Marketing?

Location-based marketing uses geographic location to target potential and existing customers. It does this by collecting location data from smartphones, which people have opted to share. Businesses can identify consumers close to their products or services. It’s estimated that smartphone users generate 80% of location-based ad impressions.

Up to 90% of marketers find that using location-based marketing increases sales. 86% report an increased customer base, and 84% report increased customer engagement.

What Does It Do?

Marketers use real-time location data to make their campaigns more efficient and relevant. This data isn’t limited to the consumer’s current location. It helps determine optimal ad timing and messaging as well. For example, an analysis of mobile device data could show that certain users are more receptive to ads when they commute to work in the morning.

It becomes viable to schedule digital ads at this time.  By targeting only consumers in relevant locations, companies can use their budgets more efficiently, avoiding spending on less effective, broad advertising strategies. In 2024, 67% of marketers and agencies plan to spend more money on location-based advertising.

Tools to Gain Insights Based on Consumer Location

Mapping software for sales reps can significantly improve marketing efforts. It helps visualize customer locations, enabling more effective segmentation based on geography, demographics, or purchasing behavior.

By delineating territories clearly, ensures reps focus on their assigned areas, avoiding overlaps and ensuring all potential markets are covered. With detailed maps, marketers can tailor campaigns to specific regions, addressing local preferences and needs.

Geographical data helps understand regional buying patterns, allowing for more personalized marketing messages. Personalized, location-based ads lead to 20% conversion rate growth.

Mapping software identifies high-potential areas, which helps companies allocate resources more efficiently. For example, location-targeted ads are more relevant to 41% of consumers. This software ensures marketing efforts are concentrated where they are most likely to get results, improving overall campaign effectiveness.

Examples of Location-based Marketing Strategies in Practice

Companies can target office workers with lunch specials or people living within a certain radius of a new shop. Location-based marketing is used by 53% of retailers to drive in-store traffic.

Marketing strategies are applied to derive insight based on geolocation data from an IP address, which includes the zip code, longitude/latitude, and whether the location is a business or a home. According to 2024 data, 90% of consumers who got mobile offers based on their location found them useful.

Geofencing and Geotargeting

These approaches involve setting up a virtual perimeter in a certain area. Targeted messages or ads are triggered when a device is detected in this area. This does not have to be intrusive: 28% of consumers have no problem sharing their location if they will get relevant offers of a product or service.


Beacons target potential customers in a small area by using wi-fi or Bluetooth to connect with specific applications nearby. They send signals to devices in the area, triggering servers to send emails, push notifications, or other content.

A stadium might use beacons to recognize when people who have its app are in the area. Stores can place beacons in aisles to send offers as customers browse.

Wi-fi Hotspots Ads

Public wi-fi in malls lets retailers advertise their services and products to online customers. When people access the public network, they get ads from retailers in the mall or meal offers from restaurants in the area.


  • Marketers segment their audience by collecting and analyzing location data
  • This enables more effective and targeted marketing strategies
  • Content is more relevant when tailored to the user’s location

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