Even if you're comfortable with digital marketing, the term "geofencing" might still be new to you. That's okay because it's new technology, but if you're looking for targeted ways to use mobile marketing to boost your small business sales, it might be just what you're looking for!

What Is Geofencing?

Geofencing is a type of mobile marketing that allows advertisers to limit their advertisements to a specific geographical area. Sometimes, those limitations can be as precise as a single shopping mall, or a block of a street.

Geofencing is tied to your own smartphone app and limited to the area you set. When people who have downloaded your app are in the area, your ads are automatically sent to their mobile devices.

Why Does Geofencing Work?

We all know that targeted ads are the best use of your marketing dollars. Marketing to people you know are interested in your products and services will always be an easier sell.

Geofencing takes targeting to the next level, by targeting ads to people who are a) interested, b) downloaded your app, and c) within the physical geographical area of your store.

With these 3 targeting criteria met, all you need is a little digital nudge to turn prospects into customers.

How to Use Geofencing

This might be the best thing to happen to mobile marketing since the smartphone itself! You might be wondering how to leverage a geofenced app to bring foot traffic into your store. Here are a few ideas:

• Create pop-up sales only available on your app. When customers are in the vicinity of your store, they'll look forward to getting notified of special deals!

• Offer customers a complimentary item if they come into your store. If you own a restaurant, it could be a free dessert with their meal, or a salon might offer a discount on products with a new hair style.

• If you use a point-based loyalty system, create a system that reminds users how many points they have (and how many they need before they can redeem them!)

• Use your geofenced app to run a contest. "50th person to make a purchase today gets 50% off!)

• Use the app to send reminders to customers, for their next dental check-up date or oil change.

Geofencing is a great marketing tool, and if you do have a local business, it could be the most effective tool in your mobile marketing arsenal. So if you don't already have an app, get one, and if you do, consider adding this useful feature!

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Location-Based Marketing: 4 Powerful Benefits of Geofencing Geofencing Advertising Guide for Google and Facebook 5 Geofencing Tools to Use for Local Marketing Mobile Apps: Do You Need a App or Mobile Website?