Behind the scenes guide to geofencing prices
One of the biggest questions – and common misconceptions – is around the cost of geofencing. So what IS the cost of geofencing marketing? The short answer: It depends on needed features. Pricing typically ranges between $4-$14 CPM (cpm= cost per thousand impressions). Read more below to see where you could fall within this spectrum of cost per thousand impressions.
Reasons Why Does Geofencing Pricing Vary?
Many factors can affect the price, including advanced targeting features and impression volume. For example, if you purchase a 1 million impressions, your CPM will likely be higher than if you were to purchase 25M impressions. Our pricing is based on volume so the more you purchase the lower the overall CPM.
Here are five questions to consider when requesting a quote for geofencing services:
5 Cost of Geofencing Components
- Full-service or self-service? – On a budget? Hands-on kind of team? Some self-service options may work for you, but others it may be too much of an investment in time and resources. At Thumbvista, we offer both Managed and Self Service. We consider ourselves a full-service agency with self-service competitive pricing. We can provide the level of service and premium features one would expected from a full-service agency, but our pricing is comparable to what you would see with many self-service options. It’s the best of both worlds. Self service campaigns can start low and have flexibility base on needs. These campaigns are good for general branding around your business or your competition. Full or “Manage” services are typically a little more cost per thousand due to the nature of the campaign. Many times the managed services will be a great fit for more complex targeting using data, premium placement buying or advance optimization techniques. This can be well worth the minimal difference. (For our self service option read more below.
- Size and number of geofences? – The size and number of geofences can greatly influence the cost of your campaign. Fifty geofences within a zip code will cost you more than simply geofencing the entire zip code. The larger the geofence, the lower the CPM (cost per thousand), because the volume is typically higher and inventory is more plentiful.
- Where do you want to be seen? – This is a tricky one, but important. If you want specific placements, you can and should request them. If not, then the real-time-bidding (RTB) world takes over and your ads could appear on thousands of different sites, some of which could contain questionable content. Thumbvista uses blacklists and manual optimization techniques to help ensure quality placements. We also offer placement white-listing for specific or premium requests. Only want to appear on national news sites? We have a white list for that. Only want quality parenting sites? We have a white list for that too.
- What is the level of reporting? – Not all services are alike. Some are fully transparent and others are not. Some show the breakdown of impressions per location, and some only give a total overall campaign. Some companies won’t even tell you where your ads appeared. Thumbvista’s managed services team works with you before your campaign to determine what data you would like to see on your reports and what your KPIs are for the project.
- How much data layering and premium features do you want? – The more bells and whistles you add to your campaign, the higher the price. Demographic and behavior targeting, retargeting, and other features come at a cost. Often times, they’re well worth the investment, but they can easily double or triple the campaign costs. At Thumbvista, we’ll work with you to determine if the added cost is worth the investment based on our history and experience working on hundreds of campaigns. Premium features we include typically are for viewability, ad quality and bot and fraud prevention.
When it comes to pricing, answering these few quick questions will give you an idea of the budget you would need for a successful campaign. Volume purchases or bulk buys can also help you get a great deal from companies that offer them.
At Thumbvista, our expertise and global partnerships help us deliver affordable, strategic campaigns for our clients all over the world. The cost of geofencing marketing can be tricky and to truly get the best geofencing pricing possible we recommend asking some of the questions above before starting a campaign. If you are more of a “do it your self” guy or gal and need basic geofencing with streamline features for easy to launch campaigns, check out our self service option with small setup fee and as low as $275.
We’d love to help you with your next campaign whether managed or self service. Contact us today for a custom project recommendation and quote.