Written by Beth Walter, Sr. Product Manager – Digital Marketing
June 9, 2021
One of the most popular buzzwords in marketing today is the term “hyperlocal.” Marketers often refer to hyperlocal marketing when discussing the need for customization and personalization because it is the crown jewel of the marriage of those two concepts. You are literally customizing your ad based on a potential customer’s current or preferred location.
And please take note, it is an effective tactic. For context, about 89% of people search for a local business on their smartphone at least once a week. Approximately 58% search daily. From that search, 72% will visit a store within five miles.
So how do you reach this significant target market? There are actually three different strategies within this marketing type. Let’s dive in:
- Use of Potential Customer’s Preferred Location – This involves including local area names in your paid search campaigns so that you show up for local searches – e.g., the search term “oil change” becomes “oil change Westlake.” Furthermore, Google states that more than 46% of local searches on their platform include terms like “near me,” “local,” or a city name. The inclusion of both types of these local terms in your paid search campaigns represents a significant hyperlocal marketing opportunity.
- Identity Resolution Marketing – This is a type of marketing that allows companies to resolve data back to the individual or household level by matching personal identifiers such as their name, address, email, or phone number to digital identifiers such as cookies, mobile advertising IDs (MAIDs), and IP addresses across multiple channels and devices. You have most likely have experienced this type of marketing before. It works like this:
- You research European river cruises on your smartphone and your home computer which are both connected to the internet using the same in home network.
- The cruise company receives the information that two devices from the same IP address visited their website after searching for key terms related to their business.
- The identity resolution process begins. The IP address is tracked back to your home address and then to your Gmail, because you used your home address to set it up.
- Additional identity resolution processes are completed in a similar manner.
- Suddenly there’s a catalog for European river cruises in your mailbox, an email offering you 20% off your European river cruise if you book now in your inbox, and display ads for European river cruises are following you all over the web.
- Use of Potential Customer’s Current or Past Location – Known as proximity targeting, this can consist of techniques such as geofencing based on device ID or tools like Facebook location ads. Facebook location ads allow a business to only target people currently within a specific radius of their address, which makes them ideal for businesses seeking foot traffic for their physical locations. Proximity targeting also allows marketers to track where a device has been, via longtitude and latitude, within a 30-, 60-, or 90-day lookback period and customize marketing based on that information. For example:
- A provider identifies that your device has been at a specific location associated with an aftermarket service business for a few hours.
- The dealership classifies this behavior as belonging to someone who no longer uses their service department and is servicing their vehicle elsewhere, a “known defector”
- The dealership can now send customized, hyperlocal marketing to that person to bring them back as a customer of their service department.
The key takeaway here is that hyperlocal marketing is vital to the success of your brand and it should absolutely be at least a part – if not a large part – of your marketing plan. Start with optimizing your paid search campaigns and build out your hyperlocal marketing strategies from there. Test different variations of local search terms and continue to refine the top keywords and ad copy sets. Learn from this process and then expand to incorporate identity resolution marketing strategies.