How to Use Location-Based Marketing to Drive Conversions

When trying to meet your business goals, customer experience should be at the top of your mind. The more people browsing your site and responding to calls to action, the more likely you’ll be to make sales. Wondering how to convert these leads into customers? One way to do so is location-based marketing. 

Location-based marketing is a strategy that uses a customer’s location to show them relevant content. Since location-based marketing is able to enhance the shopping experience, it’s a powerful conversion rate optimization technique. Keep reading to learn the basics of location-based marketing and how you can use it to drive conversions.

Location-Based Marketing Basics

Before diving into ways location-based marketing can drive conversions, it’s important to know some background information.

One type of location-based marketing is geofencing, which creates a digital perimeter or “fence” around a customer and notifies them of offers based on where they are. Another variety is geotargeting, which takes both a person’s location in the perimeter and their personal interests into account when targeting them.

Proximity marketing is yet another version of location-based marketing. Rather than using geofencing, proximity marketing maps a customer’s precise location with advanced beacons or near-field communication technology. This technique allows for more exact location-based targeting.

Whichever type you use, all location-based marketing can influence key conversion-driving aspects of your business. Two of these factors include the customer experience and transactions.

Location-Based Marketing and Customer Experience

According to a study, 74% of consumers reported they made purchases from a brand due to the shopping experience alone. Here are three tips for using location-based marketing to enhance the customer experience:

  • Time feedback strategically: A customer is more likely to provide feedback right after making a purchase, so it’s best to request ratings soon after the customer leaves the store.
  • Eliminate shopping frustration: To create the most frictionless shopping experience possible, use location-based marketing to anticipate customer concerns at each step in their journey.
  • Help with customer navigation: Businesses can use location-based marketing to help customers locate nearby establishments and find solutions that satisfy their needs.

Location-Based Marketing and Transactions

In addition to improving the customer experience, location-based marketing can encourage transactions more directly. Here are some ways to use location-based marketing to prompt purchases:

  • Use push notifications: If a user receives a push notification for a promotion at a nearby store, they may be more likely to stop by and increase your in-person traffic.
  • Highlight purchase urgency: In your notifications, emphasize the importance of acting fast before an offer goes away.
  • Draw on customer history: Once a customer makes a transaction, you can encourage them to come back by sending reminders of their positive experience and letting them know about current offers.

By using location-based marketing to improve the customer experience and encourage transactions, your business may be able to drive more conversions. You might just find yourself meeting and even exceeding your sales goals.