Marketers are increasingly focusing their digital efforts on effective mobile strategies to achieve the greatest impact for their marketing dollars. In fact, it’s estimated that spending in the U.S. alone for location-targeted mobile ads will be $29.8 billion by 2020, up from $9.8 billion in 2015.
Mobile ads have become tremendously effective in recent years due to Location Services technologies, which allow advertisers with multiple locations to treat each store as a distinct campaign with its own budget, targeting, and goals. This increases accountability and ensures every participating location achieves their goals.
Hyperlocal Mobile Targeting Strategies
The following strategies are some of the most common ways marketers successfully utilize hyperlocal marketing.
Geo-fencing, or marking an area around a business location, is an effective method to target customers within a specific radius around a specific location with incentives like coupons or discounts, helping to drive traffic and ultimately sales.
Not only can geo-fencing target customers near a specific location, it can specify the type of customers it targets near your location. For example, if an advertiser wants to target new customers, hyperlocal media can target individuals who have either not been to the location before or haven’t visited within a specified time period. If an advertiser is opening a new location near a densely populated area like a business park, hyperlocal media can target specific businesses or individual buildings with ads that promote their businesses.
Geo-conquesting is another powerful option that allows advertisers to target their competitors’ customers when they are near a competitor’s location. Ads can be served dynamically based on the time of day, or current specials running at the business to drive customers away from competitors and toward their own location.
Retargeting allows marketers to specifically target customers who have previously interacted with their ads and reach them again across mobile, desktop, and social channels. This provides a unique opportunity to tell customers a deeper story using sequential messages. Different calls to action can be used to drive different campaign objectives, such as completing a form on your website or visiting your store location.
- Millennial Targeting
Millennials are experts at blocking mobile ads. In fact, Millennials block mobile ads more than any other age group. However, by creatively leveraging hyperlocal social media, many marketers have been able to overcome the barrier of mobile ad blocking. For example, marketers can promote a special event or grand opening by creating sponsored Snapchat geo-filters that allow users to promote their brand and tell friends where and why they visited a specific location. Hyperlocal media plans can also use Facebook location ads to drive Facebook users directly to specific locations via an in-app map.
The Bottom Line
These days, every consumer has a mobile phone connected to their hand, making real-time connectivity and instant gratification two of the most important tenets of modern-day consumerism. Hyperlocal ads satisfy both of these criteria, providing an excellent opportunity to connect customers with relevant information in real time – a recipe for high impact.
 eMarketer, October 2016 [https://www.emarketer.com/Brief/Millennials-Block-Mobile-Ads-More-than-Any-Other-US-Age-Group/5500973]