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How can geofencing improve the customer experience?

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Geofencing is a technology that allows you to create virtual boundaries around a specific location, such as your dealership, and send targeted messages to potential customers who enter or leave that area. It can be a powerful tool to enhance the customer experience and boost your automotive sales. In this article, you will learn how geofencing can help you attract, engage, and retain customers, and what best practices you should follow to make the most of it.

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1 What is geofencing and how does it work?

Geofencing is based on the use of GPS, Wi-Fi, or cellular data to track the location of mobile devices. You can use a software platform to define a geographic area, such as a radius around your dealership, and set up triggers for when a device enters or exits that area. The triggers can be used to send push notifications, text messages, emails, or ads to the device, depending on the user's preferences and behavior. For example, you can send a welcome message to a new visitor, a special offer to a repeat customer, or a reminder to a prospect who has not visited in a while.

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2 How can geofencing attract customers?

Geofencing can help you attract customers by increasing your visibility and relevance in your local market. You can use geofencing to target people who are nearby your dealership, or who have visited your competitors, and offer them incentives to visit you instead. You can also use geofencing to segment your audience based on their location, interests, and needs, and deliver personalized messages that match their preferences. For example, you can send different offers to people who are looking for new or used cars, or who are interested in specific models or features.

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Geofencing allows you to collect data in order to customize offers to your clients on a more personal and intimate level. It provides you with demographic data about the local population, including what kind of offers interest them and are more likely to attract their attention, eventually driving them to your store where you can use historical/transactional data to complete the deal.

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3 How can geofencing engage customers?

Geofencing can help you engage customers by creating a seamless and memorable experience that connects the online and offline worlds. You can use geofencing to provide useful information and guidance to customers who are at your dealership, such as directions, inventory, reviews, or testimonials. You can also use geofencing to enhance the customer journey and loyalty by sending follow-up messages after a visit, such as a thank you note, a survey, a referral request, or a service reminder. For example, you can send a message to a customer who has just purchased a car, congratulating them and offering them a free car wash or oil change.

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Brian Kramer

EVP, Dealer Growth & Success | Cars Commerce
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Have you ever noticed that when you’re in an airport, and you are about to look at your mobile boarding pass in your Apple Wallet; a notification comes up on your phone? It’s almost as if it was serendipitous that at that exact moment, when you wanted to verify your gate number, your phone knew to show you your mobile boarding pass. There are thousands of similar events like this that occur with many of the apps on your phone. Most powered by geofencing triggers. When you walk into a certain area, the pass in your Apple Wallet suggests something before you even knew that you wanted it. I know that many consider it borderline creepy, but I consider it making my life easier. All thanks to geo-fencing…

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Ash Riccio

Servant Leadership, Partnership Management, Sales Acceleration, Operational Excellence, Risk Assessment & Management #letsgethitched #fltrailerqueen
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I agree with your statement above, B Kramer. If it’s ‘easier,’ what provokes the human mind to fight the convenience? In my opinion, not much, other than stubbornness or lack of focus on the result. In fast paced environments, tell me how to get there quicker, so I can better compartmentalize priorities and obligations quickly and effectively. I love this post, thank you! ??????

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Brian Kramer

EVP, Dealer Growth & Success | Cars Commerce
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Have you ever noticed that when you’re in an airport, and you are about to look at your mobile boarding pass in your Apple Wallet; a notification comes up on your phone? It’s almost as if it was serendipitous that at that exact moment, when you wanted to verify your gate number, your phone knew to show you your mobile boarding pass. There are thousands of similar events like this that occur with many of the apps on your phone. Most powered by geofencing triggers. When you walk into a certain area, the pass in your Apple Wallet suggests something before you even knew that you wanted it. I know that many consider it borderline creepy, but I consider it making my life easier. All thanks to geo-fencing…

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4 How can geofencing retain customers?

Geofencing can help you retain customers by building long-term relationships and encouraging repeat purchases. You can use geofencing to stay in touch with your customers and offer them relevant and timely content and offers that keep them interested and satisfied. You can also use geofencing to reward your loyal customers and incentivize them to come back more often. For example, you can send a message to a customer who has visited your dealership several times, offering them a loyalty discount or a free upgrade.

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5 What are the best practices for geofencing?

To make the most of geofencing, you should follow some best practices that ensure your messages are effective and respectful. Before launching a geofencing campaign, it's important to define your goals and metrics so you can measure your success. Additionally, you should choose the location and radius wisely, taking into account the target audience and avoiding overlapping or conflicting with other geofencing campaigns in the same area. Furthermore, it's important to segment and personalize messages to the specific characteristics and behavior of customers. Moreover, you should always obtain customers' consent and opt-in before sending them geofencing messages, allowing them to opt-out easily if they wish. A software platform that integrates with your CRM system and complies with data protection laws is recommended for this purpose.

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6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?

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How can geofencing improve the customer experience?

1

2

3

4

5

6

1 What is geofencing and how does it work?

2 How can geofencing attract customers?

3 How can geofencing engage customers?

4 How can geofencing retain customers?

5 What are the best practices for geofencing?

6 Here’s what else to consider

Automotive Sales

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How can geofencing improve the customer experience?

1

2

3

4

5

6

1 What is geofencing and how does it work?

2 How can geofencing attract customers?

3 How can geofencing engage customers?

4 How can geofencing retain customers?

5 What are the best practices for geofencing?

6 Here’s what else to consider

Automotive Sales

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