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The benefits and how to use geolocation to optimize e commerce business

The benefits and how to use geolocation to optimize e commerce business

Geolocation is a technology refers to the use of date to estimate the location of electronic devices connected to Internet. This is the location of devices, not users. All users’ private information is still secured. No cookie is dropped, no history is extract and no personal data is revealed. 

Benefits of geolocation

Everyone in every field and career can benefit from Geolocation. Depending on users’ purpose, geolocation can be used for a wide range of purposes.  Now, let’s talk about some advantages of this technology in business.

What benefits geolocation can bring to you?

Targeted advertising

Geolocation allows shop owners to segment customers for their marketing campaigns. For example, you want to open an event in a specific region and just want to target people in that area. Then, geolocation will let you estimate location and segment audience. It’s best to introduce products in front of people who need them. Hence, your advertising plans will be more effective. And you’ll gain more for less.

Track current customers information

Thanks to the expansion of Internet and social media, customers can share their thoughts and experience across. This will have positive and negative effects on your business. As a business owners, you will want to know buyer’s reviews to make right adjustments.

Geolocation monitoring social media can help you keep track with and analyze all those data. Then, you can come up with new plans or strategies.

Assess the number of frequent visit

With geolocation, marketers can track the number of customers’ visits. Then, they will be able to evaluate the major types of customers, their behaviors or interests. Therefore, Marketers can establish business strategies for the targeted audience.

For example, your major customers are women below 30 living in cities. Then, you can set the price higher than that in the countries. Also, you can focus on promoting sales with discounts or coupons.

Gain more new customers.

Geolocation let marketers know where people is going online as well as their Internet speed. Thus, brands can target their audience based on business-type level. They will also be able to offer potential customers the right products, deals or promotions. Thanks to that, you can turn strangers pr potential customers into buyers. Thus, you surely gain more revenue, and raise brand awareness as well.

Keep track of your delivery

Geolocation offers great benefits for both sellers and buyers. It allows customers and shop owners to know the location of the products, regardless to the sizes. Nowadays, most of the food delivery or ride hailing companies are using geolocation. For the company, they will know the estimate location of the customers and the route. For the customers, they can easily choose the location. Also, they can keep track with drivers’ route to estimate the time arrived.

You can keep track of your delivery with geolocation

Fraud detection

Cyber attack is getting more complicate recently. For example, account take over on bank or social media. People can easily get their information leaked or lose money. Therefore, many companies is using geolocation to reduce the number of fraud. By using IP ( Internet protocol) location technology with fraud profile data, fraud can be prevented. 

For example, when your Facebook account got hacked, the geolocation system will aware that your account was signed in in a different devices. Then, it will review before allowing. Facebook can send you message to confirm the signing-in, or block it.

Moreover, high-fraud area will be revealed. This will help security and police put an end to this crime. As a result, the number of fraud will decline.

How to use Geolocation to optimize e commerce business

The benefits of Geolocation is undeniable. Now, let’s break down how to use it to optimize your e commerce.

One of the outstanding benefits of geolocation is targeting customers. It will allow business owners to segment different types of customers. This will make your marketing plans more effective.

Target customers in specific areas.

Using geolocation, shop owners can focus on customers in a particular areas, regardless of sizes. Marketers can learn what’s common about people there. What’s their behavior, their culture, language. Learning about customers is the initial step to a successful plans. Then, they can come up with suitable marketing strategies to boost shop revenue.

Measures interests in area

With IP geolocation let shop owner know where customer is online, their connection speed. Therefore foresee their business-level and preferences to draw up business strategies, discounts event, etc.  The point is right products for the right people. Besides, shop owners can integrate online and offline campaigns at the local level more effectively.

Make adjustments referring to the locations

Different locations requires different marketing methods. Even in the same countries, languages or religions can be different between regions to regions. Therefore, it’s necessary to make suitable adjustments. If you target customers in big cities or capital, the price will be higher than that in the suburbs. 

Social media ads

The number of people on social media is increasing dramatically. Moreover, social platforms allow advertisers to allocate targeted customers. Shop owners can run advertisements according to customers geography.

Facebook, for example, is one of the largest media platforms in the world. Marketers can use Facebook to run ads referred to their segmentation. To illustrate, you want to set up a campaign in a specific city or State. Just program your segmentation in Facebook and your ads will appear to the right person.

In conclusion

Geolocation is now a new definition since we use it a lot in daily lives. We hope to deliver you some brief knowledge about geolocation and how to use it to boost your sales. However, nothing it’s perfect. Geolocation can give you information about customers locations and help you target them geographically. However, it’s best to use geolocation with other kinds of segmentation such as demographic or psychological data. This will ensure your success.

If you are looking for a experienced company can help you with geolocation technology, you should call ArrowHitech. Having 12+ years in e commerce, we can grant you a great marketing plan that can suit your objectives and vision. We can help you from building business strategies, developing Shopify themes and apps to 24/7 support afterward. Contact us here or via email: or hotline +84 243 7955 813

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