BLOG'S

Published on: June 02, 2025 05:21 PM

How to Use Location Based SMS Marketing?

In the case of today’s world, everything is interconnected, and marketing techniques are leaning toward more of a niche and individualized targeting. One of the most helpful and powerful yet deeply underappreciated tools in the marketing evolution is Location Based SMS Marketing. By integrating real-time location services with business communications, companies are able to market to their target customers through relevant, timely and deeply personalized marketing messages.

Everything you need to know with location based advertising and sms marketing relevant to your local market is brought together in this guide.

What is Location Based Advertising?

This form of advertising looks at mobile user’s geolocation for advertising purposes and is called Location Based Advertising (LBA). Location Based Advertising uses GPS, Wi-Fi or cell tower triangulation techniques to send tailored messages to customers who are matched up through satellite technology to a store and are situated near or within a certain perimeter.

Integrating with sms marketing adds an extra boost to LBA because any message can directly get to the consumer’s mobile device. Text message local based advertising has the potential to considerably improve foot traffic, engagement and overall customer experience.

How Does Location Based SMS Marketing Work?

Let's take a look at how location based advertising works in the context of SMS marketing

1. Geofencing or GPS Tracking: A business sets a virtual radius around a physical area, for example, within a mile of the actual shop.

2. Trigger-Based Messaging: If a cell phone user enters the marked perimeter and agreed to message reception, the system dispatches a SMS with marketing content.

3. Call to Action: The message contains an enticing offer or a discount that requires instant action (visiting the shop).

This approach allows businesses to connect with customers in real-time, improving personal experience and engagement rates.

Why Should You Use Location Based Advertising?

Here are a few reasons why it is a good idea to integrate location based advertising into your overall marketing strategy:

1. Highly Personalized Communication

With customer segmentation along with location data, businesses can communicate in a timely fashion. This helps in crafting messages that are very relevant, making a personalized marketing strategy with the target audience.

2. Better ROI

Focusing the scope to the most likely respond saves resources. This increases conversion rates and reduces cost per acquisition.

3. Improved Customer Interaction

Customers are more likely to engage with businesses when they receive offers while physically near the business, improving the overall customer experience.

4. Promotes Local Enterprises

For small and medium-sized businesses, local advertising via SMS is cost-effective compared to traditional marketing and helps them rival bigger enterprises. It facilitates targeted local marketing initiatives that boost sales and visits to the store.

Is Marketing Based On Location Effective?

Of course. Let us analyze some key SMS Marketing Statistics that demonstrate its efficiency:

·         98% of text messages are opened within three minutes of receipt.

·         Respondents to SMS campaigns stand at 45% while emails only enjoy a measly 6% response rate.

·         While near a store, customers are 10 times more likely to redeem mobile coupons than print ones.

These SMS statistics demonstrate how unparalleled the effectiveness and instantaneous nature of text marketing is and even more when enhanced with location information.

Techniques for SMS Based Marketing with Location Targeting

Here are tried and tested methods to maximize local advertising through SMS in the following ways:

1. Set Geofences Strategically

Leverage GPS technology to setup certain areas that will trigger your messages. These can include:

·         Locations adjacent to your outlet

·         Designated event spaces

·         Outlets of competing retailers

2. Audience Segmentation

Apply customer segmentation to identify behaviors, interests, and demographics so users can be grouped. This makes sure the right people are targeted with a SMS campaign.

3. Use Personalization for Your Messages

Modify messages to include dynamic information like client’s names, their interests, or historical purchases. Customized marketing initiatives improve customer retention and loyalty.

For example:

> “Sarah! Flash your message at Brew House and enjoy 20% off your next coffee, especially for you as your close by!"

4. Use Offers That Require Immediate Attention

Invoke urgency through the use of time-sensitive offers that result in immediate response.

For instance:

> “30% off for today only! All products at Downtown Electronics till 5 PM. Don't Miss Out!!”

5. Evaluate Effectiveness and Report Further During The Campaign

Evaluate your local marketing campaigns with the help of monitoring delivery rates, open rates, click rates and redemptions.

Design an efficient SMS advertising campaign targeting specific location

Location based SMS campaigns are a trending marketing technique that has been resonating well with businesses. For the marketing technique to be exactly as required, the following steps can help facilitate:

Step 1: Utilizing a Mass Texting Service

Every advertisement needs a target audience, therefore having a target audience is essential. Opting for services like Twilio, EZ Texting or SlickText would make sms campaigns easier to manage considering those services automate large scale texting.

Step 2: Set Up an Active Opt-In List

Have the option to consent through online websites, social platforms, or physical store signs. Users must be informed that by opting in, there will be marketing messages delivered directly to their devices, hence making it beneficial for them from a marketing perspective.

As an example:

> “Receive immediate discounts as you approach our retail stores after texting LOCALDEALS to 55555.”

Step 3: Create Tailored Messages for Varied Segments

Make sure all messages align and correspond to the recipient's location in order to provide value. Ensure that all messages are concise yet enticing enough to bring the user sales conversions.

Step 4: Automate Packages Based on Geolocation

Make rules along with automation where alerts will only be sent as users reach certain places.

Step 5: Make sure to abide by the regulations

Have adherence with laws like GDPR or TCPA to make sure that regulations do not hinder your marketing. Always make sure that a simple opt-out command is provided without interaction needed from the host.

How Can You Use Mobile Devices to Begin a Location Based SMS Campaign?

Initiating a mobile-first local based advertising strategy doesn’t have to be complex. Here's how:

1. Use Mobile Apps with Location Permissions

Encouragement of customer app downloads alongside granting of location permissions helps in sending offer push/SMS notifications.

2. Leverage Mobile Landing Pages

Text users with links to mobile landing pages. This helps in improving customer experience and boosts customer interactions.

3. Integrate with Your CRM

Enhance text marketing by syncing customer data to enrich segmentation and timing for sent messages.

4. Use Local Events to Drive Engagement

Integrating campaigns with local festivities, fairs, or sports events gives contextual reasons to the users for engagement.

Examples for Use of SMS Marketing Such SMS Marketing for Location Based Services

Retail

Nearby clothing stores use local marketing texts to inform customers of sales, resulting in increased store visitation.

Cafes and Restaurants

During major traffic times, coffee shops send “nearby offers” boosting lunch and dinner orders.

Auto Services

Customers in vicinity receive notifications about free checkups or discounts from car repair shops.

Healthcare

Vaccination or appointment reminders sent to users situated nearby greatly improves attendance and raises awareness. Clinics send these messages.

Advantages of Location Based SMS Marketing

Hyper Focused Engagement: Engage with your business clients at their specific location.

Greater ROI: Improved returns for lower investment.

Reinforced Customer Interaction: Augments brand loyalty through contextual messages delivered in real time.

Flexible For All Sizes Of Business: Applicable for all, be it a startup or an established enterprise.

Conclusion

The facilities provided with SMS marketing coupled with geolocation for businesses offers potent opportunities for effective local marketing.

With the engaging and converting efficiency of SMS forecasted to grow, these strategies will be crucial for brands striving to gain local market dominance. Through customer segmentation, targeted messaging and the urgency associated with texting, businesses can provide unparalleled customer service using bulk SMS and text marketing.

Begin shaping your location dependent telephone number SMS strategy and convert every proximate client into a loyal customer.