What is Geo-Targeting?
Geo-Targeting – The practice of search engines displaying results dependent on where you are. If you want a new pair of shoes it is useless to you if shops 5000 miles away are top of the results page and they don’t deliver!
By textbook definition, geotargeting is the practice of delivering content to a user based on his or her geographic location. This can be done on the city or zip code level via IP address or device ID, or on a more granular level through GPS signals, geo-fencing, and more.
Marketers geotarget users on their always-present mobile devices because each person’s location has something to say about their environment and their mindset at a given time — which makes it easier to deliver relevant ad content. The idea is that the more relevant an ad or offer is, the more likely it is to drive what the marketer wants: a sale.
Every visitor’s computer is tied up with an IP address that indicates its specific location. The first three digits of an IP address corresponds to country code, while the succeeding digits often refer to specific areas within that domain. This geographical information, when used for marketing purposes, is called geo-targeting.
Geo-targeting aims to improve the cost-effectiveness of marketing programs. For example, if the product is a plane ticket from Honolulu to Vancouver, then it will more likely sell to someone who is located in either of the two cities. If a visitor is in a different city, then a different set of offers may be given.
The system is not 100 percent accurate. Inaccuracies happen when web surfers use proxy servers or some other IP-masking tool, among other methods. However, these instances are rare enough for geo-targeting to still be effective. Geo-targeting is available to even small advertisers via outlets such as Google Ads.