GITNUXREPORT 2025

Geofencing Statistics

Geofencing boosts marketing ROI, engagement, sales, and customer targeting effectiveness.

Jannik Linder

Co-Founder of Gitnux, specialized in content and tech since 2016.

First published: April 29, 2025

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Statistic 1

Geofencing can increase customer engagement rates by up to 30%

Statistic 2

The average click-through rate (CTR) for geofencing ads is 4.39%, higher than the average display ad CTR of 0.7%

Statistic 3

88% of marketers who use geofencing have reported improved ad targeting accuracy

Statistic 4

Geofence-based advertising can improve conversion rates by up to 30% compared to non-geofenced campaigns

Statistic 5

Location-based messaging through geofencing has a 4 times higher engagement rate than traditional digital advertising

Statistic 6

The average cost-per-click (CPC) for geofencing ads is approximately $1.50, compared to $2.00 for traditional PPC

Statistic 7

In-app geofencing campaigns have a 50% higher conversion rate than web-based campaigns

Statistic 8

Geofencing technology reduces ad spend waste by targeting only relevant audiences, saving an average of 25%

Statistic 9

The average duration of a geofence is around 30 days, allowing for sustained campaigns

Statistic 10

The integration of AI with geofencing is predicted to boost campaign efficiency by 40%

Statistic 11

65% of mobile ads served via geofencing are opened within 2 hours of delivery, indicating high immediacy

Statistic 12

Geofencing has been shown to double mobile app engagement for targeted campaigns

Statistic 13

The retail sector uses geofencing to increase in-store traffic during promotional events by up to 35%

Statistic 14

Geofencing can enhance ad recall by up to 25% in mobile campaigns

Statistic 15

Geofencing enables real-time campaign adjustments, increasing flexibility and responsiveness

Statistic 16

Geofence ad campaigns have a conversion rate of about 5%, surpassing the average display ad conversion rate of 1.9%

Statistic 17

80% of marketers say geo-targeted ads outperform traditional advertising in ROI

Statistic 18

Retail stores using geofencing have seen a 20% increase in in-store traffic

Statistic 19

62% of businesses report that geofencing has led directly to increased sales

Statistic 20

Geofencing can be used for customer retention and reopening campaigns, reducing churn by up to 15%

Statistic 21

61% of consumers are more likely to shop at a store if they receive a relevant geofenced notification

Statistic 22

Over 70% of consumers find location-based notifications useful when shopping

Statistic 23

42% of mobile users have opted in to location sharing, enabling effective geofencing campaigns

Statistic 24

68% of consumers say they would like to receive offers when near a physical store

Statistic 25

46% of consumers view location-based ads as more relevant than traditional ones

Statistic 26

54% of mobile users have received a geofenced notification during store visits

Statistic 27

69% of marketers believe geofencing improves brand awareness

Statistic 28

33% of consumers are more likely to visit a business after receiving a geofencing notification

Statistic 29

Only 11% of consumers find location-based advertising intrusive, making it a less risky marketing strategy

Statistic 30

In retail, 60% of shoppers said they clicked on geofencing ads to receive discounts

Statistic 31

Over 50% of mobile users agree that geofencing notifications influence their purchase decisions

Statistic 32

71% of consumers who receive location-based alerts are satisfied with their relevance

Statistic 33

The majority of geofencing users prefer hyper-local targeting within a 500-meter radius

Statistic 34

The average dwell time near a geofence is about 5 minutes, enabling effective engagement

Statistic 35

73% of companies report that geofencing helps them better understand customer behaviors

Statistic 36

53% of consumers prefer receiving offers via geofencing over other digital channels

Statistic 37

The global geofencing marketing market is projected to reach $1.7 billion by 2025

Statistic 38

75% of mobile marketers use geofencing to target customers

Statistic 39

The use of geofencing for event marketing increased by 33% in the last year

Statistic 40

Geofencing technology is used in over 60% of retail marketing strategies in the US

Statistic 41

55% of retail brands plan to increase their geofencing ad budgets in the next year

Statistic 42

The use of geofencing in automotive marketing increased by 40% over the past two years

Statistic 43

58% of small businesses planned to adopt geofencing solutions within the next year to improve local advertising efforts

Statistic 44

77% of location-based mobile ads are served within a 1-mile radius of a business

Statistic 45

Geofencing ads reach up to 90% of mobile users within a specific geographic area

Statistic 46

64% of location-based marketing campaigns utilize geofencing as their primary technology

Statistic 47

80% of marketing professionals believe geofencing will become the dominant form of location-based marketing in the next five years

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Key Highlights

The global geofencing marketing market is projected to reach $1.7 billion by 2025
75% of mobile marketers use geofencing to target customers
Geofencing can increase customer engagement rates by up to 30%
61% of consumers are more likely to shop at a store if they receive a relevant geofenced notification
80% of marketers say geo-targeted ads outperform traditional advertising in ROI
Over 70% of consumers find location-based notifications useful when shopping
The average click-through rate (CTR) for geofencing ads is 4.39%, higher than the average display ad CTR of 0.7%
42% of mobile users have opted in to location sharing, enabling effective geofencing campaigns
Retail stores using geofencing have seen a 20% increase in in-store traffic
88% of marketers who use geofencing have reported improved ad targeting accuracy
The use of geofencing for event marketing increased by 33% in the last year
68% of consumers say they would like to receive offers when near a physical store
Geofence-based advertising can improve conversion rates by up to 30% compared to non-geofenced campaigns

Imagine a marketing tool so precise and powerful that it boosts customer engagement by up to 30%, increases in-store traffic by 20%, and is projected to hit $1.7 billion globally by 2025—welcome to the transformative world of geofencing.

Advertising Performance and Effectiveness

Geofencing can increase customer engagement rates by up to 30%
The average click-through rate (CTR) for geofencing ads is 4.39%, higher than the average display ad CTR of 0.7%
88% of marketers who use geofencing have reported improved ad targeting accuracy
Geofence-based advertising can improve conversion rates by up to 30% compared to non-geofenced campaigns
Location-based messaging through geofencing has a 4 times higher engagement rate than traditional digital advertising
The average cost-per-click (CPC) for geofencing ads is approximately $1.50, compared to $2.00 for traditional PPC
In-app geofencing campaigns have a 50% higher conversion rate than web-based campaigns
Geofencing technology reduces ad spend waste by targeting only relevant audiences, saving an average of 25%
The average duration of a geofence is around 30 days, allowing for sustained campaigns
The integration of AI with geofencing is predicted to boost campaign efficiency by 40%
65% of mobile ads served via geofencing are opened within 2 hours of delivery, indicating high immediacy
Geofencing has been shown to double mobile app engagement for targeted campaigns
The retail sector uses geofencing to increase in-store traffic during promotional events by up to 35%
Geofencing can enhance ad recall by up to 25% in mobile campaigns
Geofencing enables real-time campaign adjustments, increasing flexibility and responsiveness
Geofence ad campaigns have a conversion rate of about 5%, surpassing the average display ad conversion rate of 1.9%

Advertising Performance and Effectiveness Interpretation

Harnessing geofencing's precision—boasting a 30% boost in engagement, doubling app interactions, and slashing ad waste by a quarter—marketers are not just targeting places but strategically planting their campaigns at the right time and space, proving that with location-awareness, advertising is finally hitting the bullseye.

Business Impact and Return on Investment

80% of marketers say geo-targeted ads outperform traditional advertising in ROI
Retail stores using geofencing have seen a 20% increase in in-store traffic
62% of businesses report that geofencing has led directly to increased sales
Geofencing can be used for customer retention and reopening campaigns, reducing churn by up to 15%

Business Impact and Return on Investment Interpretation

With 80% of marketers affirming geo-targeted ads surpass traditional ROI, a 20% boost in foot traffic, and 62% of businesses seeing direct sales lifts, geofencing proves to be the digital bullhorn that's transforming local storefronts into thriving hubs—proving that in the race for consumer attention, location intelligence is the winning edge.

Consumer Engagement and Preferences

61% of consumers are more likely to shop at a store if they receive a relevant geofenced notification
Over 70% of consumers find location-based notifications useful when shopping
42% of mobile users have opted in to location sharing, enabling effective geofencing campaigns
68% of consumers say they would like to receive offers when near a physical store
46% of consumers view location-based ads as more relevant than traditional ones
54% of mobile users have received a geofenced notification during store visits
69% of marketers believe geofencing improves brand awareness
33% of consumers are more likely to visit a business after receiving a geofencing notification
Only 11% of consumers find location-based advertising intrusive, making it a less risky marketing strategy
In retail, 60% of shoppers said they clicked on geofencing ads to receive discounts
Over 50% of mobile users agree that geofencing notifications influence their purchase decisions
71% of consumers who receive location-based alerts are satisfied with their relevance
The majority of geofencing users prefer hyper-local targeting within a 500-meter radius
The average dwell time near a geofence is about 5 minutes, enabling effective engagement
73% of companies report that geofencing helps them better understand customer behaviors
53% of consumers prefer receiving offers via geofencing over other digital channels

Consumer Engagement and Preferences Interpretation

With over 70% of consumers valuing geofenced notifications and nearly three-quarters of companies leveraging this tool to boost brand awareness and understanding customer behavior, it’s clear that when marketers hit the right location-based note—often within a mere five-minute dwell time—they’re not just targeting shoppers—they’re orchestrating a symphony of relevance, engagement, and influence—assuming, of course, consumers don't mind being led to the cash register within a 500-meter radius.

Market Growth and Adoption

The global geofencing marketing market is projected to reach $1.7 billion by 2025
75% of mobile marketers use geofencing to target customers
The use of geofencing for event marketing increased by 33% in the last year
Geofencing technology is used in over 60% of retail marketing strategies in the US
55% of retail brands plan to increase their geofencing ad budgets in the next year
The use of geofencing in automotive marketing increased by 40% over the past two years
58% of small businesses planned to adopt geofencing solutions within the next year to improve local advertising efforts

Market Growth and Adoption Interpretation

With the explosive growth of geofencing—projected to hit $1.7 billion by 2025 and embraced by over half of retail and automotive marketers—it's clear that local proximity targeting isn't just a trend but the new frontier, turning mobile devices into digital fences that lure customers precisely where the retail and automotive sectors want them, leaving small businesses racing to catch up.

Technologies and Trends in Geofencing

77% of location-based mobile ads are served within a 1-mile radius of a business
Geofencing ads reach up to 90% of mobile users within a specific geographic area
64% of location-based marketing campaigns utilize geofencing as their primary technology
80% of marketing professionals believe geofencing will become the dominant form of location-based marketing in the next five years

Technologies and Trends in Geofencing Interpretation

With 77% of mobile ads hitting within a mile of a business and 80% of marketers forecasting geofencing's rise, it's clear that in the future, location isn't just extra data—it's the primary ad pitch.