Geofencing Ads 101: A Retailer's Step-by-Step Guide

Why Do Some Retailers Win with Geofencing While Others Struggle?

Have you ever wondered why big brands seem to dominate geofencing advertising while local retailers struggle to see the same success? The truth is, it’s not just about running ads—it’s about having the right infrastructure to support them.

Global brands have a massive advantage: customer data. They collect and analyze vast amounts of first-party data, enabling them to fine-tune their geofencing ads campaigns, personalize ads, and retarget customers effectively. But what about local retailers who don’t have that luxury? Can they still compete?

The answer is YES- but only if they build the right foundation first.

Let’s break this down step by step, using real-time analytics and industry trends to understand how local retailers can leverage geofencing ads effectively and achieve the same level of success as big brands.

The Power of Geofencing in Today’s Retail Landscape

Geofencing ads are location-based marketing strategies that allow retailers to send targeted promotions to customers when they enter a specific geographic area. The goal? Drive foot traffic, boost in-store sales, and enhance local customer engagement.

Why Are Retailers Investing in Geofencing Ads?

The Data Speaks

- 72% of consumers act on location-based ads within a few minutes of receiving them. (Source: Statista, 2024)

- Businesses that use geofencing see a 20% increase in foot traffic compared to those that don’t. (Source: Retail Dive, 2024)

- Retailers with personalized geofencing ads experience a 1.5x higher conversion rate than generic ads. (Source: Think With Google, 2023)

- These numbers prove that geofencing is one of the most effective tools for local marketing—but only when done correctly.

For example: Imagine a local sneaker store located near a shopping mall. With geofencing:

- Customers walking near the store see an ad offering 10% off on trending sneakers.

- They click on the ad, which directs them to a landing page showcasing available stock.

- They walk in and redeem the offer, increasing in-store conversions.

This approach bridges the gap between online engagement and offline sales, making it an essential tool for modern retailers.

Gain insights with this short and informative video. "What Are the Common Myths About Geofencing Ads?"
 

Misconceptions About Geofencing: Why Big Brands Seem to Do It Better

There’s a common myth that big brands are simply “better” at geofencing ads. The reality is, their success comes from data-driven decision-making and strong customer insights, which most local retailers lack.

Big Brands’ Success Factors

1. Massive Customer Databases

Big brands like Starbucks and McDonald's collect millions of customer interactions daily, allowing them to create highly targeted campaigns.

2. Personalized Retargeting

Their ads don’t just target anyone in a location—they use first-party data to retarget past customers, increasing conversion rates.

3. Integrated Digital Infrastructure

They connect geofencing with their CRM, loyalty programs, and e-commerce stores, creating a seamless omnichannel experience.

Challenges for Local Retailers

1. Lack of First-Party Data

Most small retailers don’t have a system to track or store customer interactions.

2. No Digital Infrastructure

They often run geofencing ads without connecting them to landing pages, CRM tools, or analytics.

3. One-Size-Fits-All Targeting

Many local businesses simply push ads to anyone in a geofence, instead of using behavior-based triggers like big brands do.

The Solution: Building a Geofencing-Ready Infrastructure

To level the playing field, local retailers must:

1. Set up a store locator to help customers find their nearest branch.

2. Create multiple landing pages or microsites for hyperlocal targeting.

3. Collect first-party data through forms, IVR, and engagement tools.

4. Track geofencing performance with real-time analytics.

This is where Sekel Tech’s Geofencing Platform helps local retailers create the right foundation to compete with big brands effectively. In the next section, we’ll walk through a step-by-step guide to launching a high-converting geofencing ad campaign—even if you’re just getting started.

Step-by-Step Guide to Running a Successful Geofencing Ads Campaign

Here’s a step-by-step breakdown of how local retailers can create a high-performing geofencing ad campaign, just like big brands.

Step 1: Establish a Store Locator

Why Store Locators Are Essential for Local Discovery

A store locator isn’t just a map—it’s a crucial tool that helps customers find your nearest outlet when they’re actively looking to buy. When integrated with geofencing, a store locator can:

✅ Increase Store Visits: Customers searching for your product see the closest store, making them more likely to visit.

✅ Enhance SEO & Local Rankings: Google prioritizes businesses with optimized store locators in local search results.

✅ Improve Customer Experience: A seamless way for users to navigate to your store boosts engagement.

🔍 Data Insight

- 78% of local searches lead to an in-store purchase within 24 hours. (Source: Google, 2024)

- Retailers using interactive store locators see a 25% increase in foot traffic compared to those without one. (Source: Think With Google, 2023)

📌 Real-World Example: How a Retail Chain Boosted Foot Traffic with a Store Locator

A leading electronics retailer integrated Sekel Tech’s dynamic store locator with geofencing ads. Results?

📈 30% rise in-store visits

📈 15% increase in online-to-offline conversions

📈 Better tracking of customer journeys & sales attribution

👉 Buy Store Locator from Sekel Tech

🔹 Next Step: Once the store locator is set up, retailers need landing pages for better customer engagement.

Step 2: Create Multiple Landing Pages

Why Landing Pages Matter for Geofencing Ads

When customers click on a geofencing ad, they need a personalized landing page that drives them to take action.

Without a dedicated page, customers drop off, and conversion rates suffer.

✅ Personalized Shopping Experience: Customers see relevant offers, store details, and local availability.

✅ Higher Conversion Rates: Tailored pages convert 2-3x better than generic websites. (Source: HubSpot, 2024)

✅ Improved Lead Generation: Capture customer data via forms, chatbot interactions, or click-to-call options.

How Sekel Tech’s Microsites & Product Selector Improve Geofencing Ads

- Microsites: Create localized product pages tailored to different store locations.

- Product Selector: Helps customers browse available inventory before visiting in-store.

- Call-to-Action (CTA): Direct customers to "Call Now," "Get Directions," or "Buy Online."

👉 Buy Microsites & Product Selector from Sekel Tech

🔹 Next Step: Now that you have a landing page, you need a data-driven infrastructure to track and engage customers.

Step 3: Build a Digital Infrastructure

Why Infrastructure & First-Party Data Are Critical

Big brands dominate geofencing because they leverage data effectively. Local retailers must do the same by:

✅ Tracking Customer Behavior: Understand who’s engaging with ads and visiting stores.

✅ Personalizing Offers: Use data insights to retarget potential customers.

✅ Measuring ROI Accurately: Attribute in-store purchases to online interactions.

📉 Problem

Many retailers rely only on third-party ad platforms without building their first-party data system.

📈 Solution

Sekel Tech’s IVR & customer data solutions help retailers own their audience and optimize geofencing ads campaigns.

How IVR & Data Collection Work for Geofencing Ads

- Call Tracking (IVR Service): Track customer calls from ads and analyze call patterns.

- Customer Journey Analytics: Map how customers engage across search, social, and store visits.

- CRM Integration: Store and utilize first-party data for personalized follow-ups.

👉 Use First-Party Data & Buy IVR Services from Sekel Tech

🔹 Next Step: Once the infrastructure is in place, data collection & optimization become the key focus.

Step 4: Collect & Optimize Data for More Effective Geofencing Ads

What gets measured gets improved. Geofencing is not a one-time setup—it needs constant tracking & refinement.

How to Optimize Geofencing Ads with Sekel Tech’s Real-Time Analytics

✅ Track Store Visits: Use mobile tracking & store check-ins.

✅ Measure Ad Performance: Monitor CTRs, foot traffic uplift, and conversion rates.

✅ Retarget Engaged Users: Run follow-up campaigns based on past interactions.

📊 Industry Benchmark

Retailers who continuously optimize geofencing ads see a 35% higher ROI than those who set it up once and leave it. (Source: eMarketer, 2024)

👉 Buy Real-Time Conversion Analytics from Sekel Tech

🔹 Next Step: Now that your geofencing ads are optimized, security & trust must be prioritized.

🔐 Security & Trust: Why Compliance Matters in Geofencing Ads

When handling customer data, security & compliance are non-negotiable.

✅ SOC 2 & ISO Compliance: Ensure data privacy & secure transactions.

✅ Transparent Data Usage: Gain customer trust with ethical data handling.

✅ GDPR & CCPA Adherence: Stay legally compliant with international standards.

🔹 Final Step: Apply Sekel Tech’s Customer Journey Framework to ensure a seamless flow from discovery to retention.

The Sekel Tech Customer Journey Framework: End-to-End Success

A successful geofencing strategy isn’t just about running ads—it’s about creating a full-funnel customer journey.

📍 Discovery: Customers find your brand through search, social, and local ads.

💬 Engagement: First-party data & personalized interactions boost conversions.

🛒 Conversion: CRM-driven follow-ups turn prospects into customers.

💳 Purchase: Seamless online & in-store transactions (EPOS, CRM, CDP).

🔁 Retention: Ongoing loyalty campaigns to keep customers returning.

Final Thoughts: How Retailers Can Win with Geofencing

Big brands succeed with geofencing not because they spend more, but because they build the right foundation.

✅ Start with a store locator for better discoverability.

✅ Create landing pages & microsites to convert visitors.

✅ Use first-party data & IVR services to build a strong digital infrastructure.

✅ Continuously collect & optimize data to refine targeting.

✅ Ensure security & compliance to build long-term customer trust.

🔹 Ready to take your geofencing strategy to the next level? 🚀 Implement these steps and see the difference!

Frequently Asked Questions (FAQs)

1. What is a geofencing campaign?

A geofencing advertising strategy uses virtual boundaries around a specific location—such as your store—to target potential customers in real-time. With Sekel Tech’s geofencing solution, businesses can track when a mobile device enters these zones and deliver personalized, high-intent ads to drive foot traffic and conversions.

2. Is geofencing effective?

Yes! Geofencing is a highly effective marketing tool that enhances customer engagement and boosts in-store visits. Research shows that 71% of consumers prefer personalized ads, making geofencing a powerful way to connect with local shoppers. Sekel Tech’s platform enhances geofencing effectiveness by integrating real-time analytics, first-party data tracking, and AI-powered targeting to maximize ROI.

3. How do I create a geofence ad?

Setting up geofencing ads involves defining target locations, selecting the right ad formats, and optimizing for conversions. While Google Ads allows geofencing on search, display, and YouTube, Sekel Tech’s geofencing platform provides a more advanced, AI-driven solution with store locators, microsites, and automated lead tracking—ensuring better audience reach and higher engagement.

4. What is the purpose of geofencing?

Geofencing helps businesses target hyperlocal customers with personalized offers, boosting foot traffic, online interactions, and overall sales. Sekel Tech’s geofencing infrastructure combines first-party data, CRM integration, and IVR solutions to convert local interest into actual store visits and sales.

5. Where can geofencing be used?

Geofencing is versatile and can be applied across retail, events, automotive, real estate, and more. With Sekel Tech’s geofencing capabilities, brands can:

✅ Send real-time offers when customers are near a store.

✅ Retarget customers who have previously visited a location.

✅ Enhance event engagement by delivering location-based ads.

✅ Optimize ad spend by focusing only on high-intent users.

Take Advantage of Sekel Tech's Geofencing Platform

Unlock the full potential of hyperlocal marketing with Sekel Tech’s advanced geofencing platform. From precise location-based targeting to real-time conversion analytics, Sekel Tech helps retailers drive foot traffic, capture high-intent leads, and maximize in-store sales. With seamless integration of store locators, microsites, first-party data tracking, and IVR solutions, you get a complete end-to-end geofencing strategy—all in one platform. Don’t let your competitors outshine you—start optimizing your geofencing ads campaigns with Sekel Tech today! 🚀

👉  Book a Demo Now

Read More Blogs -

1. Mastering Geofencing Google Ads: 10 Tactics to Maximize ROI

2. 10 Key Geofencing Myths and Facts You Should Know

3. 10 Ways Geofencing Facebook Ads Enhance Brand Visibility

4. Geofencing Ads: 10 Campaign Ideas That Boost Store Traffic