Local Display Advertising – A Guide for Multi-Location Brands

National brands leverage display advertising to effectively push highly visual and engaging messages across 90% of internet users worldwide. Adding local micro-relevance takes it to the next level.

A location-based ad is a digital ad that is served through geo-targeting and whose message is customized for that user, at that moment, in that place. These ads are triggered by the search behavior, a website visit (remarketing) or the characteristics and affinities of the individual.

Display Ads, also known as Banner Ads, are graphical advertisements on websites. They typically include both text and images, but can also include video, audio, and interactive components.

Combining the visual flexibility of a Display Ad with the precision of location-based strategy results in what we call Local Display Advertising.

So, why would a national brand want to localize their advertising?  Let’s start with the fact that 91% of retail sales still occur offline!*  Driving foot traffic to retail locations using locally-specific details is a critical component of any retail customer journey strategy.

Even for industries outside of retail, local advertising is key. Not only does research show that consumers prefer ads that are customized to their location**, but using location as a data point in your advertising has shown to increase conversions (sales).

Due to this data, it’s predicted that businesses will spend $15 billion per year on mobile, location-based advertising by 2018.

The Four Pillars of Local Display Advertising

Here at Balihoo, we’ve learned a lot about what strategies work to increase Return on Ad Spend (ROAS), and we’ve narrowed it down to our top pillars.

  1. Custom Ad Experiences – Ads that are personalized and relevant to the consumer at the exact moment in time are powerful.
  2. Robust Audience Data – Many data points are available for targeting and customizing ad experiences.  All of these data points, when working together, create micro-relevance in advertising messages.
  3. Strict Geo-Targeting – Get down to the zip-code level, and target searches that actually occur in the vicinity of your location. These are the consumers that are most likely to convert.  These will be small but mighty campaigns!
  4. Attribution – Localizing your digital campaigns actually makes attribution easier.  Use promo and coupon codes to track local sales, or simply analyze the ad serving window and sales generated during and soon after.

Who is using Local Display Advertising?

No matter the vertical, localized display advertising is proving to be critical to driving conversions.

  • Optometry Retailer
    The objective is to sell more sunglasses during summer in sunny locations. Serve ads only when UV Index (a measurement of the sun’s UV rays) is high in each market.
  • Home Supply Retailer
    The objective is to sell power generators in the days leading up heavy storms. Launch weather-notifying campaigns during storm warnings, near store locations with generators currently in stock. Shift daily budgets away from out-of-stock  stores as inventory declines.
  • Retailer Co-op
    The objective is to sell branded GPS units in local markets at big box stores at a higher rate. Serve ads in micro-markets for products that are currently in stock.
  • Beer Brand and MLB Partnership
    Launch display campaigns for 48 hours prior to MLB home games in priority cities with low ticket sales. Include ticket discount code and beverage coupon.

*https://ycharts.com/indicators/ecommerce_sales_as_percent_retail_sales

**https://searchenginewatch.com/2016/11/11/why-local-matters-even-for-national-advertisers/

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