Geofencing vs Geo Targeting: What is the difference?

Now and then, for every business, ad campaigns are bread and butter to grow!

According to a survey, the potential value of the location-based service market is close to $20 billion. These geo-services have shortened the gap between customers and businesses.

Recognizing the power of these services, 90% of ad campaigns are using geofencing and geo-targeting as crucial marketing tools.

However, for an average Joe, these two are similar, but there is a thin line between the two that you must know before you plan for mobile app development.

Well, geofencing vs geo targeting, both the services are all about leveraging location services.

Geofencing vs Geo Targeting: How do they differ?

Geofencing vs Geo Targeting

Geo-Targeting

In Geo-targeting, tailored messages are triggered to users based on their location at a given time.

In the world of digital marketing, people think about geo-targeting when they consider doing paid ads on various social media platforms, search engines, social media platforms, and banner ads on websites.

Here, this is an example of a geo-targeted message sent to people in the USA and Holland by Skype in a different way.

geo-targeted message

In geo-targeting, people are targeted differently based on their different needs and interest.

Geo-targeting ends the language barrier. With geo-targeting, brands can experiment with different languages and send messages in various local languages to entice their customers.

various local languages

Benefit:

Geo-targeting helps marketers to target a particular set of customers. Marketers can run ad campaigns by targeting customers based on their exact geo-location. It will help you to drive leads and conversions.

Geofencing

Geofencing is a bit more complicated compared to geo-targeting. It targets a customer or potential customers within a pre-defined distance or perimeter of a fixed location.

It is done via WiFi or Bluetooth for sending push notifications to customers whenever they visit the geo “fence.” push notifications to customers.

Benefit:
Geofencing helps you to generate instant leads via push notifications, SMS alerts, and more. If the geofenced offer does not provoke a customer, it will at least help marketers to understand customers and their behavior.

It will help them to gather all the necessary information so that they can change their strategy and target them in the future.

Conclusion

Geo-marketing is gaining grounds in every space. Less often, people understand the blurred line between geofencing vs geo targeting, which is of prime importance.

Businesses can stand out by combining the power of geo-targeting with geo-fencing.

For instance, via geo-targeting, you can send a message to a user regarding a sale going in the shopping mall. When the user enters the mall and purchases the item, you can retarget the user with geofencing service.

Through geofencing, you can approach a user once again, when he/she is in the shopping mall itself. When a user is done with shopping, send another message to him stating about the discount that he will get for shopping one or more items.

Isn’t it amazing?

Fuel the purchase with a clear understanding of geo-services! Contact our experts to know more.

Geofencing vs Geo Targeting – FAQs

1) Where is Geofencing used?

Geofencing is a technology that helps to identify geographical boundaries via GPS and RFID technologies. It helps you to shoot messages and content via push notifications to a group of users that come to a specific geo-location.

2) When should I go with Geofencing?

If you want to connect to customers present in a narrowly-defined geographical area or want to attract customers belonging to specific demographics, then geofencing is better.

3) When should I go with geo targetting?

If you’ve defined your target market and want to show ads to those targeted customers only, then you must go with geo targetting instead of geofencing.

4) What is the difference between beacons and geo-targeting?

geo-targeting uses GPS technology to identify customer locations. Whereas Beacons are created using Bluetooth nodes and are used when you want to notify customers when they visit a particular aisle.