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What are the benefits of location-based marketing for local customers?

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Location-based marketing is a strategy that uses the geographic location of customers to deliver personalized and relevant messages to them. It can help retailers attract, engage, and retain local customers by offering them value, convenience, and loyalty. In this article, we will explore the benefits of location-based marketing for local customers and how retailers can implement it effectively.

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Vineett Kapila (Vicky)

Brand Evangelist & Strategy @ GoBallyhooo
Ashish Gupta

Head Marketing I Brand Custodian I Start-Up Enthusiast I Life long learner
Jeanel Alvarado Ohemeng

Marketing & Communications Strategist | Retail, Tech, Oil & Gas

1 How location-based marketing works

Location-based marketing uses various technologies, such as GPS, Wi-Fi, Bluetooth, and beacons, to track the location of customers and send them targeted messages based on their proximity, behavior, and preferences. For example, a retailer can send a coupon to a customer who is near their store, or a reminder to a customer who has left an item in their online cart. Location-based marketing can also use geofencing, which creates a virtual boundary around a specific area and triggers a message when a customer enters or exits it.

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Vineett Kapila (Vicky)

Brand Evangelist & Strategy @ GoBallyhooo
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Location-based marketing or proximity connect, is a great idea, it allows businesses to attract their customers and reduces clutter hence improving focus on the brand. Plus it allows one to build affinity with customers by offering customised solutions. As simple as offering a freebee for simply visiting the store in the nearest proximity.

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Ashish Gupta

Head Marketing I Brand Custodian I Start-Up Enthusiast I Life long learner
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Location-based marketing benefits local customers by offering relevance, convenience, personalization, cost savings, timely information, improved decision-making, reduced search time, engagement, local loyalty programs, and community support.

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2 Why location-based marketing is beneficial for local customers

Location-based marketing can provide several benefits for local customers, such as enhancing their shopping experience with personalized and timely offers, recommendations, and information. It can also save them time and money by helping them find the best deals near them or rewarding loyalty. Additionally, location-based marketing can increase their trust and satisfaction by showing that the retailer values their relationship and understands their preferences and behavior. Last but not least, it can encourage customers to explore new places and opportunities by introducing them to nearby businesses, events, and communities they may not be aware of.

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Jeanel Alvarado Ohemeng

Marketing & Communications Strategist | Retail, Tech, Oil & Gas
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In my experience, I've seen small boutiques that do a terrible job at location-based marketing. The dreaded, "I never knew this store existed!" from customers entering the store who have lived in the area for over 5 years. Customers in your neighbourhood and surrounding areas must know you exist, often they are the ones who will visit in-store most often. If you have a DTC brand or are a retailer who primarily uses their location as a fulfillment centre such as a bakery, this may not be as relevant for you to invest time and energy in.

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3 How retailers can implement location-based marketing effectively

To implement location-based marketing effectively, retailers must obtain customer consent to use their location data and comply with relevant laws and regulations. Segmentation and targeting of customers should be done based on location, behavior, and preferences, with messages crafted to appeal to them. Testing and optimization of messages is necessary to ensure desired results. Furthermore, integration of location-based marketing with other channels and strategies, such as social media, email, and web, should be done to create a consistent customer journey. Finally, retailers must measure and analyze their location-based marketing performance and impact.

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4 What are the challenges of location-based marketing

Location-based marketing is not without its challenges; it can be costly and complex to implement and maintain, as it requires investing in the right technologies, platforms, and tools, as well as training and managing the staff and partners involved. Furthermore, customers may find it intrusive and annoying if they receive too many messages or messages that are irrelevant, inappropriate, or inaccurate. This can damage their trust and loyalty, leading them to opt out or ignore the messages. Additionally, external factors such as network connectivity, device compatibility, weather conditions, and competition can limit or interfere with the location-based marketing delivery and effectiveness.

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5 How to overcome the challenges of location-based marketing

Retailers can effectively implement location-based marketing by offering customers value and incentives to share their location data, using data and analytics to create relevant, timely, and personalized messages, and using reliable and compatible technologies with the necessary security measures. Additionally, retailers should monitor and troubleshoot their location-based marketing performance and issues. With these best practices in mind, retailers can successfully connect with their local customers and offer them value, convenience, and loyalty. Location-based marketing is a powerful strategy that can help retailers overcome its challenges.

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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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Sultan Alam

Vessel Tracking, Route Monitoring & Ship Security Alert System :Work> | <Passion: Content Writing, Engagement & Visuals Enhancing
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I would like to share how to target local customers through trendy topics and events. 1. Leverage Trendy Topics: Stay current with local trends, news, and events. Create content related to these topics on your website and social media. 2.Event Participation: Participate in local events, trade shows, or fairs. Set up a booth to showcase your products or services. 3. Identify local influencers or bloggers. Partner with them to promote your business during local events or around trending topics. 4. Google My Business (GMB): Create or claim your business on Google My Business. Optimize your GMB profile with accurate contact information, photos, and business hours. Local SEO: Use local keywords in your website content.

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What are the benefits of location-based marketing for local customers?

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2

3

4

5

6

1 How location-based marketing works

2 Why location-based marketing is beneficial for local customers

3 How retailers can implement location-based marketing effectively

4 What are the challenges of location-based marketing

5 How to overcome the challenges of location-based marketing

6 Here’s what else to consider

Retail Marketing

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What are the benefits of location-based marketing for local customers?

1

2

3

4

5

6

1 How location-based marketing works

2 Why location-based marketing is beneficial for local customers

3 How retailers can implement location-based marketing effectively

4 What are the challenges of location-based marketing

5 How to overcome the challenges of location-based marketing

6 Here’s what else to consider

Retail Marketing

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