What is Hyperlocal Advertising?


One of the biggest digital advertising trends in the last couple of years was the rise of Hyperlocal Advertising. Popular as ever, this specific type of geolocation targeting is on the steady course today to reshape the advertising strategies for big players and small businesses alike. And if you’re still not very sure what’s the idea behind it, here is the simple breakdown for you:

What is hyperlocal anyway?

Starting from the name itself, hyperlocal means a very specific area, locally (in close proximity) to a certain place (ie. your home, your office, the main street, etc.). It could also stand for specific community or neighborhood, or even a particular zip code.

In this sense, Hyperlocal Advertising is the means with which you advertise your message to a very targeted audience based on their specific location. The location is often pinpointed with the help of location-based technologies, like the GPS on smartphones.

What types of targeting are there?

You have few options:

Radius targeting - where you select an area around a GPS coordinate and you set your campaign to target all those inside of the area. So for example, if you’re an insurance company, you can setup a specific campaign with a creative and a particular KPI for each street, or each zip code, where you have your agents based.

Retargeting - yes, you can do retargeting with Hyperlocal Advertising. Let’s say your store is in location A. You can set a retargeting campaign with an enticing offer that would bring back customers who have been near your store and who have gone to the nearest location B or C.

Contextual - we’re used to talking about contextual targeting when we speak about the webpage a user is visiting. Similarly, in Hyperlocal Advertising we can define different context types of target audiences depending on the type of location they’re in (shopping center, university, bar, etc), or their demographics (gender, ethnicity, age group), as well as specific characteristics of the area (average household income, political leanings, sport preferences, etc.)

What are the benefits?

First and foremost this is a strong tactic to build a truly personal and relevant message to your target audiences. Moreover, Hyperlocal Advertising is a powerful way to take this a step further and build relationships with your prospects, to show relevance with their interests and tastes on a much deeper level. As we mentioned, hyperlocal is heavily reliant on smartphones which also enables advertisers to diversify and broaden their mobile advertising campaigns.

What businesses can benefit?

For some time it was accepted that Hyperlocal Advertising will be mostly beneficial for small local businesses. Hyperlocal was the perfect way for them to connect and to appeal to their very specific local consumers. Recently, however, we’re starting to see more and more big players starting to explore its opportunities - insurance companies, retailers, real estate, car companies, etc. Personalization is the new king in the digital space and Hyperlocal Advertising is a powerful tool to create a bespoke experience for consumers, wherever they might be.