Is Geofencing Marketing Cost-Effective?

Small and large enterprises often look for innovative marketing techniques which can help increase their profit margins with a minimum effort. Thankfully, geofencing marketing can elevate a business to the next level. Its concept of targeting ready-to-buy audiences in a specific location and driving them to the storefront is highly appreciable. Despite the effectiveness of this location-targeting ad campaign, marketers hesitate to integrate this strategy with their traditional marketing practices. It is because they are concerned about the geofencing cost. 

Many small-scale marketers believe that geofencing is very expensive. Hence, they can’t afford to set up this ad campaign. Definitely, it’s a misconception. In reality, geofencing is a cost-effective marketing approach. You can craft the advertising strategy according to your budget and enjoy its business results. 

Geofencing ads distribution methods

To understand how much geofencing costs, you need a good idea about its ad distribution methods. It is because the cost of geofencing strongly depends upon the platform you choose for advertising. Let's have a look. 

• Targeted display advertising: As the name suggests, targeted display advertising is an advertising technique to reach people in a target location with a digital ad. You can display these ads on websites or mobile apps, frequently accessed by potential customers attending a particular area. The specialty of this marketing approach is that these ads appear programmatically. Since it is the easiest way to promote local brands, you require a minimal cost to set up this ad campaign. Here, the geofencing cost varies with the geofenced area and the number of impressions you are likely to serve.

• Video advertising: Video advertising is similar to targeted display ads. The only difference is you need to create ads in a video format. Like other display ads, video ads can appear 3-5 times a day, and you can send them for 30 days to increase retention rates. Here you can consider the video length, the geofence size, and the number of impressions to calculate your geofencing price. 

• Connected television advertising: Generally, distributing ads on smart TV channels is expensive. Though it is not equally expensive as standard TV commercials, the cost is higher than other geofencing advertising campaigns. It is because television is a crucial platform that can steal the attention of the targeted audience. If you use it correctly, it can help spread brand awareness and increase the entire sales funnel.

• Podcast television advertising: Podcast advertising is something new and exciting method to attract customers. You can run these ads in-between podcasts and target audiences with laser precision. However, you don't have to be afraid of the bucks you need to spend on these ads. You can control the cost by working on the length of your audio clip, the number of impressions, and the geofence size. 

Note: Need to know more about geofencing cost? If so, you can check out this YouTube video.

Conclusion

Geofencing cost depends upon the geofencing size, type of ad, and the number of impressions you want. Do you have a low budget but still want to leverage geofencing? In that case, you can choose targeted display geofencing advertising. It won't pinch your wallet. Instead, it will allow you to promote your small business across local audiences. 

Companies like Get Geofencing can serve you with a one-stop geofencing solution. You can contact them to get the best possible result at an affordable geofencing cost. Get in touch with them today.