How to Use Geofencing for Restaurants to Increase Store Traffic
The latest buzzword topic for digital marketing is here. Is this something relevant? Important? How can I use it to increase traffic to my restaurant?
Trends are constantly changing as digital marketing evolves and businesses take advantage of new technologies, but the popularity of geofencing is one that has multiplied during the last few years. There are many ways you can use geofencing for restaurants to drive increased store traffic.
What is Geofencing?
Geofencing advertising is the technology that allows hyper-focused advertising messages pushed out to people within a certain area that you wish to target (fence). This can be a general area (zip code or city) targeting during a specific time and space for an event, or even drilling all the way down to addressable geofencing and reaching your audience at their home.
Why should I use Geofencing?
The ability to get your message to your target audience is extremely powerful. But billboards, mailers, and so many other advertising platforms are extremely difficult to quantify your precise ROI. Geofencing solves this problem. The precise number of impressions served, clicks generated, and people who have walked into your restaurant after seeing an ad are all easy to determine, and reportable at any time.
All you need to know is your average ticket price and the number of conversions (individual instances of someone walking into your restaurant) and subtract your spend and your ROI has been calculated, easily and efficiently.
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When should I use Geofencing?
There are many reasons to use geofencing technology for restaurants with the primary being to get your message to a very specific and precise audience. Some examples of geofencing for restaurants include:
- Competitor Targeting - run geofencing ads for your restaurant to people that visit nearby competitor locations.
- Traveler Targeting - genfencing nearby hotels and resorts to target tourists or travelers close to your restaurant.
- Addressable Targeting - run geofencing ads to addresses in the neighborhoods near your restaurant.
- Event Targeting - genfece events taking place that have the same audience that would typically visit your restaurant.
Competitor geofencing for restaurants is one of the most common uses for restaurants that want to increase their store traffic and take market share in their local geographical area. Does the business down the street have a packed dining room with a long wait list while you can still increase your traffic by 10% on the same night? Have digital geofences around restaurants nearby that typically have the same demographic that would visit your restaurant. You can target these guests to get them to convert and visit your restaurant the next time they go to dine out.
Have a restaurant that thrives on tourism but want to increase traffic during off peak times? Use geofencing for your restaurant by targeting hotels and resorts in the area that have guests that match the demographics of customers. There are unique ways to ensure the ads are only served to those people while they are physically near your restaurant.
If you use mailers, you already have a list of addresses where you know your target audience to be. Addressable geofencing for restaurants would use those same addresses, draw fences around each location, and serve impressions to that audience for as long as you would like. Instead of picking up a mailer for a single time use or have it discarded, that same group will see digital ads for your restaurant a few times a day for weeks, or months. Repeated touches like this help raise awareness of your restaurant and reach top of mind the next time those people are ready to eat out or order in.
Event targeting is great for reaching look-a-like audiences and finding new customers that would be right for you. If there’s a fancy charity event or gala in your city, and your restaurant is known for its gourmet cuisine, the event could be a solid target for your event geofencing campaign. Are you an owner of a beachfront restaurant that wants to increase dinner traffic? Targeting concerts on the beach, or other nearby events could bring in a lot of new business.
Who does Geofencing?
Thousands of businesses across the globe have been using geofencing, and that number will only grow as more companies realize the value of this program and the data it reveals.
Individual mom-n-pop restaurants, large chains, and upscale dining establishments are using this technology to improve their understanding of their client base and attract new customers at the same time.
RELATED CONTENT: Lead Generation for Restaurants
How do you use Geofencing for restaurants?
MyArea Network has extensive experience in utilizing geofencing advertising for clients in nearly every type of restaurant category, from fine-dining steakhouses, fast casual restaurants to pizza chains and everything in between. Our knowledgeable customer success managers (CSMs) create a restaurant marketing plan with targets that are optimized to draw in your intended audience and provide an accurate ROI.
Even better, with mySuite, you never have to wonder how the program is operating. The data is transparent and easily accessible, and our CSM team will work with your marketing team to make sure the information is understood, and what processes are being followed to get the maximum ROI for your business.