Geofencing in proximity marketing for entrepreneurs: validation as an effective tool to attract competitor customers

Abstract

In an increasingly saturated market, brands are adopting innovative strategies to attract customers, particularly those who are already loyal to competing businesses. Traditionally, retail marketing has relied on promotions and price reductions, tactics that often diminish profit margins without securing long-term customer loyalty. This study presents a quasi-experimental field investigation within the domain of digital marketing, employing a geolocation tool to analyze participants' geographic behavior in real time. This approach enables more precise segmentation for the implementation of a targeted digital advertising campaign. Geofencing technology was utilized to monitor users and identify mobile devices, while the D&V 360 platform was employed for the management and execution of the campaign. This combination ensured effective reach and accurate measurement of key performance metrics. The findings offer concrete evidence of the potential of Geofencing technology in the competitive marketing landscape, indicating that it can be a valuable tool for optimizing resources and enhancing the effectiveness of marketing efforts, particularly for entrepreneurs.