Before we even think about getting into what geofencing is; how dealers are using it to conquest customers off competitors’ lots; and why dealerships turn to us for strategic tactics – let’s talk about today’s geofencing landscape.   

It starts with smartphones and the fact that consumers spend five hours a day looking at theirs. Which is why it’s no big surprise that 48 to 53 percent (depending on the source) of searches for dealerships come from mobile devices. It’s also one of the reasons mobile advertising continues to grow – and marketers are expected to spend $26 billion on geotargeted campaigns in 2019 alone. 

Ok. Now it’s time to ask (and answer) the big questions:  

  • What is geofencing? 
  • What can it do for my dealership? 
  • How does LOCALiQ AUTOMOTIVE do geofencing differently? 


What is Geofencing? 

 Geofencing uses global positioning (GPS) or radio frequency identification (RFID) to define a geographic boundary. Once this is done, mobile devices entering (or exiting) that area will set off an action, such as: 

  • Prompting mobile push notifications 
  • Triggering text messages or alerts 
  • Sending targeted advertisements on social media 
  • Delivering location-based marketing data 

Dealerships dig geofencing because it gives them the power to target customers and prospects directly through their mobile devices – with the right message at the right micro-moment (when consumers are thinking about buying a car). Geofencing is an affordable, effective targeted display advertising option. One that keeps your dealership top-of-mind throughout the auto buyer journey. 


What Can Geofencing Do for My Dealership?  

Think about how many of your customers – and your competitors’ customers – check their phones when they’re on the lot. Just about all of them, right? That’s why geofencing is such a strong marketing strategy. 

Consider these three geofencing tactics for your dealership: 

  • Target shoppers at your own dealership 
    • Target customers who are already in your showroom to help move them further down the auto buyer journey. Think mobile display ads with special incentives or financing options – even service offers. 
  • Target customers at competing dealerships 
    • Set up a geofence around other dealerships and/or auto repair shops. That way, when customers visit your competition, they’ll see an ad for your dealership with a special offer on a similar vehicle. What better way to encourage buyers to head over to your dealership for some comparison shopping? 
  • Target car-related businesses  
    • You can  also target businesses that focus on cars – gas stations, car washes, auto part stores, repair shops, any place where customers are actively thinking about their vehicles. It’s a great time to hit them with a trade-in offer, especially if they’re facing a big-ticket repair. Or send a service coupon.   

Geofencing gives your dealership all kinds of options when it comes to customization. And that matters, because 71 percent of consumers prefer a personalized marketing experience. You can target offers based on a customer’s past purchases and increase engagement by highlighting vehicles of interest. If you don’t close the deal when a customer visits, send follow-up ads with relevant offers or messages up to 30 days afterwards. Plus, consider sending special offers during specific times of the day, like peak traffic hours.  

Claim your area – and your competitions’ too – with geofencing. It’s mobile advertising that’s proven to be efficient and cost-effective. And it just so happens we’ve got connections with some of the top people in the business…  


How Does LOCALiQ AUTOMOTIVE Do Geofencing Differently? 

A lot of companies start with tactics. We don’t. That’s skipping a crucial step. We begin with research, studying your market share and competitive situation to gain insights; to uncover things that could have been overlooked in the past; and to identify new opportunities for the future. 

That’s how we discover where you can win – and set about strategizing tactics to make it happen. That’s when we geofence your dealership, your competitors’ lots, and nearby businesses that complement yours; all the while making sure these efforts work seamlessly with your digital (and traditional) marketing campaigns.  


Contact us to learn more about geofencing and why you need it on your lot – and a lot of other places too. 


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