Definition of Geofencing
A location-based marketing strategy that uses GPS or RFID technology to create a virtual geographic boundary, triggering a response when a mobile device enters or leaves the area.
Explanation of Geofencing
Geofencing is a location-based marketing technique that uses GPS or RFID technology to create a virtual boundary around a specific geographic area. When a user enters or exits this area, they can receive targeted notifications, ads, or alerts on their mobile device. For example, a retail store might set up a geofence around its location to send special offers to customers who are nearby. Geofencing helps businesses engage with customers in real-time and provide relevant and timely information based on their location. It can be used for various purposes, such as promoting events, driving foot traffic, and enhancing customer experiences. Geofencing requires users to have location services enabled on their devices and consent to receive notifications. By leveraging geofencing, businesses can deliver personalized and location-specific messages, improving the effectiveness of their marketing efforts. The goal is to create a more interactive and engaging experience for customers, encouraging them to visit the physical location or take action based on their proximity.