Contents
- What is geoadvertising?
- How does geoadvertising work?
- Why is geoadvertising needed and where is it used?
- Formats and services of geoadvertising
- How to evaluate the effectiveness of geoadvertising?
- How to fill out a company profile in a navigation service?
What is geoadvertising?
Geoadvertising, or geo-targeted advertising, is advertising placed in navigation services such as "Yandex Maps," "Yandex Metro," or "2GIS." It uses location data from users obtained through IP address, GPS, or Wi-Fi to promote products and services. A key aspect of geoadvertising is its ability to accurately determine the user's location, significantly increasing the likelihood of their visiting the advertised location. This, in turn, positively affects conversion rates.
Ads are shown only to interested users who have previously made search queries on similar topics. This leads to minimal lead costs, as the need has already been established. The main task of the business is to satisfy this need.
How does geoadvertising work?
The process of geoadvertising begins when a company inputs information about a product or service into the service and launches an advertising campaign. For example, consider a pet store. When a user opens a navigation or map application, they grant permission for access to their location information. At that moment, the service reads the location data, and if a search for "Pet Stores" is made, the system returns available options.
Priority is given to those stores that use geoadvertising, making them more noticeable in search results. For instance, the pet store "Four Paws" is highlighted on the map, making it more visible to users.
Geoadvertising is not limited to priority placement in search results. It can also include banners that appear while routing, or suggestions for users to slightly alter their route to make advantageous purchases or grab a bite to eat.
Why is geoadvertising needed and where is it used?
Geoadvertising works most effectively for B2C companies offering offline products and services. However, it can also be used for B2B businesses since employees of such companies also use navigation services. The main tasks of geoadvertising include:
- Attracting new customers. Navigation services are used by tens of millions of people every day, among whom potential customers can be found. This is especially relevant for small and medium-sized enterprises targeting local clients.
- Personalizing offers. Geo-targeting allows the development of individual advertisements and landing pages, showing users offers near their location.
- Enhancing promotional effectiveness. Advertisers can offer products and services based on the user's location, allowing them to focus on areas with high potential for attracting customers.
This approach allows optimizing advertising expenses and reducing customer acquisition costs. For example, a developer of elite residential complexes managed to reduce CPA from 14,000 rubles to 9,000 rubles by using advertising on "Yandex Maps."
Formats and services of geoadvertising
In Russia, there are two main platforms for geoadvertising: "2GIS" and "Yandex." Let's consider their features:
2GIS
The audience of the service consists of over 60 million users per month. "2GIS" offers two main ad placement formats:
- Geocontextual advertising. This implies higher placement of the company in search results, obtaining a special marker on the map, and the ability to add additional information to the company profile.
- Media advertising. This includes placing logos, banners, and markers in the application, shown to the target audience based on their location.
Yandex
Geoadvertising is placed in "Yandex Maps," "Yandex Metro," and "Yandex Navigator," with a total audience of about 40 million people monthly. The main formats of geoadvertising in Yandex include:
- Priority placement. The company appears higher in search results and is highlighted with a special icon.
- Branded pins. These markers appear on the map during route planning and lead to an advertising banner.
- Banners. They are shown to users while routing if an organization is linked to the destination point.
- Route recommendation. Native advertising suggesting users visit specific places without increasing travel time.
How to evaluate the effectiveness of geoadvertising?
To evaluate the effectiveness of geoadvertising, it is important to track the metrics provided by geoservices. In "2GIS," the following metrics are available:
- Number of views of the company information;
- Position in search results;
- User profile;
- Number of check-ins and calls;
- Number of visits to the website or social media pages;
- CTR (click-through rate) — the percentage ratio of clicks to impressions;
- Number of clicks on the address or creation of routes.
In "Yandex," it is also possible to track impressions and clicks. However, it is important to remember that a click on a banner does not always lead to a store visit. The most reliable way to evaluate effectiveness is to track the number of customers and sales volume before and after the advertising campaign.
How to fill out a company profile in a navigation service?
The effectiveness of advertising in geoservices largely depends on the quality of the completed company profile. Here are some recommendations:
- Select relevant areas of activity (for example, store, cafe, gym). In Yandex, you can specify up to three categories, in "2GIS" — up to five.
- Add high-quality photos that reflect your business.
- List services or products with prices, highlighting what distinguishes you from competitors.
- Briefly describe current promotions or special offers, regularly updating the information.
- Complete the profile as much as possible to receive the "Information confirmed by the owner" badge, which will make your profile more noticeable.
By following these recommendations, you can increase your chances of attracting customers through geoadvertising and optimize your advertising strategy.