What is geofencing? How does it work? See 3 practical examples

Have you ever thought about being able to send messages, announcements or notifications to the smartphones of your employees or consumers who pass through a certain region? Imagine how useful this would be for your business. Well, this technology exists and understanding what geofencing is can contribute a lot to the growth of your company.

The use of this tool has been growing in recent years. According to a survey conducted by Market and Markets, this market moved US $ 458.3 million in 2016 and predicts an increase of 27.5% by 2022, reaching the equivalent of US $ 1,825.3 million.

But after all, what is geofencing? How does this technology work? How can you help my business? These and other questions will be answered in this publication.

So what is geofencing and how does this technology work?

Geofencing uses technologies such as radio frequency identification (RFID), global positioning system (GPS), cell phone antennas, and even Wi-Fi signals to establish a virtual geographic perimeter.

From this, it is possible to configure notifications that are activated by push, SMS, advertising on social networks or other types of alerts or commands for devices that cross this perimeter, depending on their geolocation.

At first it may seem simple, with limited functions, but the possibilities of using this technology are very wide. That is why it is so important to understand what geofencing is and how it can help improve the operation of your company.

3 practical examples of the application of geofencing technology

Now that you know what geofencing is and how this technology works, let’s see some examples of practical applications, so that you have a greater dimension of its usefulness.

1 – Marketing

Although it is not its only application, it is possible that the use of geofencing technology in marketing is the best known.

This type of strategy allows you to better understand the consumption habits of your audience, know where they live and the places they frequent, all based on geolocation data, which allows you to improve segmentation and create much more effective campaigns.

A simple example of the application of geofencing technology in the context of marketing could be a geolocation SMS activation campaign.

Suppose you have a bookstore in the city center, you can define an area around the store and configure it so that when someone who has already bought from your business passes by, they receive a discount coupon.

Another possibility would be to establish a perimeter around your competitors, sending promotions from your store. That way, you can attract new customers just when they are most willing to buy.

2 – Monitoring of fleets and external equipment

Another great example of the application of geofencing is what you can do in monitoring fleets and external equipment.

Associated with telematics technology, geofencing can be useful both for tracking movement and for activities, as well as for sending messages and alerts to employee devices, as well as allowing automation of the time clock system.

3 – Automation of companies, homes and offices

In addition to automating the clock system, as we mentioned earlier, other possibilities offered by geofencing is the automation of homes or companies. There are endless situations that you can configure.

Let’s say you live in a very cold region and you move into your business, home, or office. Setting the air conditioning system to activate when you are around can go a long way, don’t you think? Therefore, when you arrive, the environment will already be at the ideal temperature.

You can still set up different profiles on your phone, depending on where you are. For example: when you are at home, you can do without the need for a password to unlock the device, a feature that is very welcome when you are away from home, do you agree?

Is the bread out? Set an alert for when you pass by the bakery or the supermarket. Will you be home late? Set the lights to turn on when you’re around. What about the electronic gate?

These are just a few examples of features among the many possibilities geofencing can offer!

So, is it clear what is geofencing and how does this technology work?

As you can see, understanding what geofencing is and how this technology works can generate a wide range of possibilities for your business. From marketing automation to fleet management optimization. Technologies based on geolocation can contribute a lot to the growth of your business.

Optimize your company through geolocation intelligence. Let your programmers, supported by our experts in Google Maps APIs, transform the way your company moves the market.

With a partnership of more than 14 years with Google, Maplink is recognized for the highest level of performance in specialization in Google Maps APIs.

We help in the implementation and use of the Google Maps APIs according to the needs of each business and how to optimize consumption in the console. But what are the benefits of this in practice?

  • It allows the user to make purchases online and withdraw in physical business, or vice versa.
  • It allows to dispatch orders in an automated way.
  • It makes it possible to control delivery in real time, taking into account the characteristics of your company.
  • It makes it possible to create visit routes for internal teams that go to the work field.
  • And many other possibilities.

I interest you? Enter to our website, and learn about our solutions on Google Maps Platform, or contact one of our specialists, and learn how we can help your business reach the level of large companies, such as Free market, Falabella, Cencosud, Nestle, Andreani, Coto, Movistar, Navent, BRF among many others.

Schedule a conversation with one of our specialists right now.

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About Maplink

In 2020, Maplink celebrates 20 years of experience in Location Based Services. We’ve come this far because we love helping people find their way to new places and experiences. We collaborate with companies throughout Latin America to use location data to improve and expand their business. Through our offices in Argentina, Brazil, Chile and Mexico, we offer decades of technical knowledge, the most advanced APIs, and up-to-date location data for our clients. It is not a coincidence that we are the largest Google Premier Partner in Latin America. We are the experts in Location Based Services in Latin America.

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