How Does Geofencing Advertising Work?

Geofencing advertising works in four steps: define a boundary, capture devices, serve ads, and measure results. Each step leverages mobile location data to connect digital advertising with physical-world behavior.

Step 1: Draw the Geofence

A geofence is a virtual boundary drawn around a real-world location using GPS coordinates. This boundary can be as small as a single building footprint or as large as an entire neighborhood. Mediavision2020 uses polygon fencing — meaning boundaries follow the exact shape of a location (a parking lot, a convention center floor, a competitor's property) rather than a simple radius circle, which improves targeting precision and reduces wasted impressions.

Step 2: Capture Mobile Devices

When a smartphone or tablet enters the geofenced area, its mobile advertising ID (MAID) is captured and added to a campaign audience segment. This happens passively through GPS signals, Wi-Fi triangulation, and cellular tower data — no app download or opt-in is required from the consumer. The device simply needs to have location services enabled, which is the default state for most smartphones.

Step 3: Serve Targeted Ads

Once a device is in the audience segment, it begins receiving targeted ads across thousands of mobile apps, websites, social media platforms, and streaming services. Mediavision2020's Universal Audience Targeting approach means these ads follow the device across every screen it uses — not just when the person is physically inside the geofenced area. Ads can continue to reach the audience for up to 30 days after they leave the fence.

Step 4: Measure Results with Foot Traffic Attribution

A conversion zone is drawn around the advertiser's own business location. When a device that was served an ad is later detected inside the conversion zone, it is counted as a verified store visit. This foot traffic attribution data is reported in real time through the Chattabase reporting dashboard, giving advertisers a direct measurement of how many ad impressions converted into physical visits.