Just because your marketing strategy has a location component doesn’t mean that it’s Location Intelligent. With all of the data now available, organizations can understand precisely where their customers are, how they move about, and even where they spend their money — a wealth of information that allows geomarketers to create hyperlocal, customized, and competitive campaigns with a broad range of KPIs, especially if they keep the following five priorities in mind.
1. Follow The Money: Market in Neighborhoods that are Already Hot — or Up-and-Coming
To understand the economic importance of a place like Times Square, it’s critical to consider more than just the average rent or the median income of its residents. It is important to tap into modern derivative datastreams. With spend insights from 2.3 billion Mastercard credit cards globally, which generate roughly 160 million transactions per hour, businesses can understand the impact of potential infrastructure projects or incoming merchants, allowing them to target both affluent locations and neighborhoods that are heating up.
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2. Understand Neighborhood Dynamics for More Targeted Geomarketing
While much of our shopping now happens online, there are still brick-and-mortars that are safe bets for the local economy, like grocery stores, gyms, and hotels. For Out-of-Home marketers and providers (which, by the way, is the only traditional ad format still growing), the relative location of Out-of-Home assets and local businesses is critical - increasing the effectiveness of paid search by 80% and social media by 56%. On the map presented above, not only are they flagged, but they’re plotted in relation to the closest billboards — a visualization that’s likely to persuade any business owner looking to advertise in the neighborhood.
3. Investigate the Transit Patterns of Customer Segments
Potential customers and audiences don’t necessarily live in the neighborhood. For attractions like an outlet mall, consumers are willing to make a road trip. In fact, a growing percentage of Out-of-Home audiences are commuters, with a larger disposable income from moving out of cities. In combination with high rates of car ownership, these consumers are willing to drive from well outside the city — up to two hours away. By investigating transportation routes, marketers can not only understand which areas customers are coming from, but they can also design localized marketing campaigns accordingly. And by emphasizing an on-site customer experiences, they can drive similar consumers to make the trip.
4. Use Location Data to Pursue a Broad Range of KPIs
The map above, which plots the projected success of five new locations of a New York City retailer, has essential data for anyone looking to further activate their current fanbase — the average online spending of customers in the surrounding area. However, marketers often have a complex set of KPIs, which require a wide range of data. For example, with this map, overlaid with data from the U.S. Census, you could target, say, millennials, who may not spend as much as other customers but are more likely to generate buzz on social media. Or, you could optimize for nuclear families with kids, who may turn into lifelong brand loyalists.
5. Launch Hyper-local Campaigns that Avoid your Competitors’ Territories — or Confront Them Head-on
No matter how hot your newest campaign is, it isn’t the only show in town. With Reveal, you can visualize your catchment areas compared to your competitors’, allowing you to develop a comprehensive expansion strategy that takes into account the competition you may face. On the flip side, Reveal also identifies relevant points of interest, allowing you to identify any potential synergies.