How Location-Based Marketing Helps Offline Stores Grow Online

People tend to think that because most people now live in a digital world with technology everywhere, brick-and-mortar businesses have nothing going for them compared to other shopping options such as Internet shopping, Social Media, and eCommerce sites. One large advantage that all brick-and-mortar retailers have over purely online-only retailers is their physical address.

Location-Based Marketing (LBM) is the ability for retailers to take their business's physical address and leverage that information online to help drive business growth. By leveraging the use of location data, retailers can attract and keep local customers, connect the customer experience between the physical store and the Internet, and create long-lasting digital relationships with customers. Rather than competing directly with online-only brands, retailers can utilize LBM to improve their online presence, increase their engagement, and increase their sales.

 Learning about LBM and how to use it effectively is an important part of almost every professional  SEO course, because LBM is such a critical element of Local Search Optimization and Digital Growth for offline retailers.

In this article, we will define Location-Based Marketing, describe how LBM works, and outline just how effective LBM can be for those retailers looking to expand their reach.

What Is Location-Based Marketing?

Marketing messages, advertisements, and experiences delivered based on where potential customers are located is known as location-based marketing; this is done through many different forms of technologies (GPS, Wi-Fi, mobile data, QR Codes and IP Addresses).

For people visiting an offline store through location-based marketing, they can target:

• People who are located very close to the store,

  
  

• Previous visitors of the store.

• People who visit the store to also connect them with websites

• Offers based on where the person is located and what they've done previously (past behavior).

Some examples are:

1. Google ads targeting users that are within a specific radius of the store.

2. When a user/individual has a device with active push notifications and is physically close to the store, they will receive a message via the push notifications.

3. A result of a local search that lists a store within a user's proximity.

4. Social Media advertisements that target people from a particular neighborhood.

Because location-based marketing is not about tracking individual users/individuals in a negative way but instead utilizing the user's location and their previous activities to send them a timely and relevant marketing message.

Why Location-Based Marketing Matters for Offline Stores

There are three key reasons that offline retailers face challenges growing online:

1. They have a limited ability to connect with customers digitally.

2. Competing with large, established e-commerce companies is very difficult.

3. It is hard for them to get customers who come in-store to then engage with their online channels.

Location-based marketing resolves all three of the above challenges. An offline retail store can leverage location-based marketing to:

1. Reach customers at the right time to make a purchase.

2. Get found in local searches and social feeds.

3. Convert walk-in customers into online followers and customers.

By targeting consumers who are already in close proximity to them, express an interest in them, or are otherwise familiar with their brand, offline retailers can more effectively use their marketing budget.

The Offline-to-Online Growth Connection

Location-based marketing connects the digital and physical aspects of consumers' experiences by creating continuity between them.

For example:

1. A customer looks up a product on the internet with the keywords "near me".

2. The customer finds a local brick-and-mortar store that has the product.

3. The customer goes into the store.

4. The customer scans a QR code, likes the company's social media page, and subscribes to the company's email newsletter.

5. After their visit to the store, the customer might buy the product through an online shopping platform, leave a review of their experience with the product, and/or like the company’s social media page again.

By providing location-based marketing opportunities, companies make it possible for customers to build long-term online relationships after visiting a store. 

Key Ways Location-Based Marketing Helps Offline Stores Grow Online

1. Boosts Local Online Visibility Through Search

Local SEO is one of the most powerful tools available to marketers utilizing location-based strategies.

Users search when they want to find:

Best Bakery Near Me

Clothing Store Near [City Name]

Electronics Store that is Open Now

When consumers use search engines, the search results will favor companies who provide search engines with strong signals indicating their approximate location. In fact, offline retailers appear higher in

- Google Maps

- Local search results

- Voice searches

than businesses that are not optimised for local SEO. Because of improved visibility due to the above reasons, it results in:

- Increased traffic to their website

- Increased number of views of their online profile

- Increased brand recognition

Optimising for local search provides offline retail outlets with opportunities to grow their brand presence through their website organically.

2. Attracts High-Intent Customers

Location Based Marketing can focus on high-intent customers. Location-based marketing is designed to reach customers who are within a certain distance from your store and are actively looking for what you offer and ready to purchase it.

Location-based marketing is very different from general online advertising. When someone is searching for something surrounding their geographical area, the chances of that customer converting into a purchaser has a very high rate of purchase intent. 

For offline retailers, using location-based marketing results in;

• More qualified website visitors

• Higher conversion rates

• Less waste on ads

When high-intent customers arrive in your store, businesses have the opportunity to ask customers to connect with them online to create continual value beyond that single purchase or transaction.

3. Turns In-Store Visitors Into Online Followers

While in-store customers are physically present in the store, it is a prime opportunity to digitally connect with customers, which many retail stores overlook.

Examples of ways to connect in physical stores using location-based tools include:

• QR codes on promotional materials and receipts

• Complimentary Wi-Fi access with social media log-in

• Sign-up opportunities for promotions and loyalty programs

Through these location-based tools, businesses can build an online presence and convert in-person visitors to their website to become:

• Social Media Followers

• Email Subscribers

• Mobile App Users

• Web Visitors

This online connection allows retailers to communicate with customers about:

• Product Launches

• Content Sharing

• Exclusive Promotions

• Customer Retargeting

Building a larger online audience, retailers are essentially converting their foot traffic into an online audience.

4. Enables Hyper-Local Social Media Marketing

Social media allows brands to advertise on platforms by geo-locating ads by;

• City;

• Neighborhood;

• Distance from a location

• Places visited.

Offline retailers can use hyper-local advertising to; 

Promote events within their stores 

Showcase products that are currently hot.

Share reviews left by customers. 

Drive people to their on-line pages.

Examples of targeted possibilities for offline stores; 

1. A restaurant may choose to target people located within three kilometers of their location. 

2. A women's clothing boutique may target shoppers in nearby mall locations. 

3. A gym may target local residents for online memberships. 

4. Targeting in this manner allows offline retailers greater opportunity to increase online engagement without competing at a global level. 

5. Personalization Improves Customer Experience

Location-based marketing allows businesses to create personalized communications based upon localized market conditions.

Examples include:

• Offers specific to the website by region.

• Content tailored to the preferences of a geographic region.

• Promotions related to specific events or weather in a geographic region.

Examples of Location-Based Marketing in Action

By offering customers a personalized experience, businesses will generate greater customer loyalty, engender greater trust, and higher rates of customer engagement.

As customers continue to engage the brand online, the retailer's digital presence will grow organically.

1. Entrance Noon :  Location-Based Marketing Examples

2. Retail Stores : Clothing retailers promote their websites to local audiences through location-based advertising, providing consumers with access to new collections and opportunities for online purchasing.

3. Restaurants and Cafes: Restaurants provide online menus, delivery service apps and social media accounts to diners who live within reasonable walking distance from their establishment.

4. Service Businesses : Hair salons, fitness centres and health care facilities provide information about their services and provide links for booking appointments online directly to consumers residing close to them.

The above examples illustrate how businesses that provide services in physical locations can reach new customers via the internet by focusing their advertising on a local audience rather than trying to reach a national audience

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Overcoming the Challenges of Location-Based Marketing

While location-based marketing offers a lot of potential, it also has its share of challenges:

* Privacy of Data

* Unoptimized Local SEO

* Inconsistency in Brand Presence

To overcome these challenges:

* Be Open About How You Use Data

* Maintain Consistent Online Listings

* Keep Consistent Branding Across All Platforms.

* Provide Value-Driven Messaging.

When these strategies are implemented ethically and with strategy, then location-based marketing can help build a trusting and comfortable relationship between the consumers and businesses.

When as technology progresses, it is becoming increasingly clear that the future of Retail will be a merging of both Offline Retail and Online Retail.

The evolution of location-based marketing will include:

* Personalized Marketing Using Artificial Intelligence

* Improved Local Search

* A Seamless Experience for Customers Across All Channels.

Retailers that have embraced the location-based marketing strategy early on will have the greatest advantage in competing and growing digitally.

Conclusion

With Location-Based Marketing, Store Locations have the ability to use their physical Spots to Enhance Visibility Digitally. By Reaching Potential Customers at the Correct Location and Time. Provides Business with Increased Online Presence, Expands their Digital Audience, and Builds Long-Term Relationships with Customers. Offline Stores Shouldn't Look at Digital Growth (i.e., Online Growth) as a Challenge but should instead Choose to See it as An Opportunity, which Begins Right Outside the Door. With a Good Location-Based Marketing Plan, Business Owners can enjoy success in Today's Digital World and actually flourish.