With the increasing use of smart devices, LBA (Location Based Advertising) has gained momentum and popularity among marketers in leaps and bounds, and has opened doors to a vast array of opportunities for advertisers. However, many believe there’s still a lot of money to be generated from LBA and more potential to explore.
According to BIA/Kelsey,
“U.S. marketers are poised to spend more than $16 billion on targeted mobile ads reaching $20.6 billion in 2018.
66% of marketers believe location based advertising is the ‘most exciting’ mobile opportunity for 2016, according to recent studies.”
In fact, LBA presents an opportunity for advertisers to personalize their messages to people based on their current location. Using a person’s location data, gleaned from their mobile devices, advertisers can send different messages to people depending on where they are.
Imagine your customers are passing by a mall, and they get a message of 40% off on clothes in a certain store in that mall. The probability of visiting the store becomes much higher than being at home or some other place. Thanks to location targeting, advertising at the right place and moment is possible now.
How LBA works
Modern location based marketing tactics like text messages and app push notifications triggered by certain actions (entering a store, making a purchase, etc.) can help tremendously in engaging and retaining customers. People have their phones on them when traveling to different locations, making mobile messages particularly useful for location-based marketing. SMS and Push notifications are the most effective of mobile messages to reaching a user on the move.
Telecom companies can target a single location or multiple locations within a single marketing campaign. Locations can be as vast as a city or as small as a store location.
There are three main ways telecom companies can trigger location based messaging:
- Use geofence: A geofence is a radial area around a location with a clear longitude and latitude. When a user enters or exits a geofence, a brand can trigger a marketing message. A brand can leverage a mobile device manufacturer’s “location services” to know when a user enters or exits a geofence.
- Use beacons: Beacons don’t rely on longitudinal and latitudinal coordinates. Instead they leverage hardware that emits a signal. When a user’s phone detects this signal, a location-based message can trigger.
- Use stated preferences: An app can send users’ information specific to their home or other area of interest by adding a location section in the app’s settings. Unlike geofences and beacons, the user doesn’t have to be in a specific location to receive messaging about the locations they care about.
Ads are much more effective when calibrated according to the interest of a customer. Location data enables that. Telecom companies can make offers based on where people are. Also, one of the major benefits of LBA is the perfect timing of the ads.
Localized ads provide a natural opportunity for targeting because people in different geographical locations behave differently, or at least have their own unique quirks.
How can Monty Mobile Help You?
Monty Mobile M-Rewards is one of our mobile advertising services intended to benefit operators, ad agencies and subscribers at the same time. M-Rewards uses the dead time while a call is connecting to play an audio advertisement as short as 7 seconds. Subscribers will collect reward points when the ads are heard and exchange them with Free SMS, Calls, Data etc. Such targeted Ads can be used to reach the right customer at the right time using this highly popular medium!
With more people being smartphones savvy, it has become imperative for marketers to target customers on mobile.
Get in touch with us today to know more about our Mobile Advertising Services at firstname.lastname@example.org