4 Ways Geolocation Will Transform Your Business to the Next Level

November 28, 2018 Blog

Mobile phones are the closest electronic device and have surpassed television consumption that once ruled the world. In today’s digital arena, smartphones are an essential accessory, especially for millennials who are now the focus of marketers and advertising agencies.

Mobile phones allow businesses to reach customers quickly and effectively. An average smartphone user has 30 mobile applications on the phones and actively uses half of them. The potential and scope of mobile phones to create wonders for businesses cannot are difficult to ignore. One of the most significant and most useful features of mobile phones is the geolocation which shall transform businesses in the future!

This article explores why geolocation is the next big thing in businesses across industries!

How Does Geolocation Work?

Geolocation is a rough estimation of the geographic location of an object, such as a mobile phone or a desktop. The feature generates a set of geographic coordinates which determine the location of the object. Geolocation uses radio frequency methods like that of Time Difference of Arrival for accuracy. Various software numbers facilitate Internet-based geolocation, Internet Protocol address, RFID, MAC address, Wi-Fi positioning systems, canvas fingerprinting, device fingerprint, or GPS. Geolocation identifies the presence of an object at a specific longitude and latitude.

The information obtained via geolocation is used for various purposes, and its potential in the business world is jaw-dropping.

  • Facilitating Product Delivery

Almost all businesses offer home delivery to assist customers and boost sales. It is a beautiful sales technique to attract customers who are either reluctant to visit the retail store or do not have the time for traditional shopping. Home delivery helps businesses in reaching a greater audience, irrespective of their location. According to psychologists, people like instant gratification and want their desires fulfilled immediately. Therefore, businesses focus on quick deliveries, and are even delivering the same day!

Geolocation facilitates fast delivery, by analyzing traffic conditions, identifying the fastest routes, and reducing the lead time. It allows business to enhance customer satisfaction, by providing the desired product in no time. Geolocation is at its best for restaurants and cafés that must avoid traffic jams and deliver food as soon as possible. Geolocation helps in avoiding busy routes, ensuring fast delivery before the food gets cold.

  • Order Tracking and Added Transparency

Geolocation allows customers to track their products. It means that people can track their food right from when it leaves the restaurant till the rider rings the doorbell. Tracking products allow customers to trust the company and believe in its services, without any doubts. Geolocation is best utilized by courier services and online retail stores, letting customers know the parcel’s expected time of arrival.

Uber, a revolutionary example or geolocation, is one of the successful transportation network company, with services in more than 750 metropolitan cities. The San Francisco-based Uber is grounded on geolocation where the company keeps track of its cars and drivers. A customer books a ride and the nearest driver receives a notification, powered by strong location-tracking. The customer can track the assigned car and can share the tracking link with a family member for security purposes. Similarly, geolocation facilitates flight tracking.

  • Focused and Personalized Marketing

Geolocation identifies when and where the target market is. It helps businesses in identifying purchasing behavior and buying patterns, and the data is helpful in focused and personalized marketing. For example, the technology determines that majority of the target segment visits grocery stores early morning. FMCG’s can then run campaigns on text messages in the first half of the day, so it reaches potential customers during or before their shopping time.

Similarly, identifying the potential customers’ locations helps in reaching them at the right time, and in the right place. Instead of offering discount codes to everyone, a company can send promotional messages when people enter the mall. It will encourage people to visit the shop and explore the products. Also, a restaurant can notify people to take a certain route to reach the place while he’s driving within a certain distance.

Tip: Allocate an expiry time for the offer, to create urgency and encourage store visits.

  • Creating Communities and Fostering Engagement

Geolocation allows businesses to develop communities and foster strategic relationships with its customers. It is best utilized by social media applications like Facebook and dating application, like Tinder. Facebook allows people to connect with people who are from the same city and encourages social engagement. Similarly, Tinder allows you to match with people who are within a certain distance, for fruitful and worthwhile engagement. Snapchat had also benefitted from geolocation by enabling users to know where and when were their friends last seen.

Geolocation can help people in meeting their friends and family members when they are in the same public space, such as malls, museums, and galleries. For example, you may receive a notification that your Facebook friend also has food in the same restaurant.

The technology is excellent for event marketing, by attracting people nearby to visit and participate in an upcoming event.

With technological advancements empowering businesses, geolocation shines brightly for its great utilities. However, companies must be careful in using customers’ data for promotional purposes, ensuring utmost privacy. It is essential to notify the user if an application uses his location, as is notified when an app wants to access photos and camera.

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