Are companies using your geolocation to target you?

Geo-tracking is defined as identifying a person’s current, physical location by obtaining GPS data from their smartphones or other GPS-enabled devices.

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So, did you know every step we take is being collected by companies through our smartphones. This is referred to as geo-targeted mobile marketing, which is a new and upcoming form of advertising. Although, it is very controversial as it can be seen as invasive.

Data Collection: Waking up

As soon as you wake-up the GSP and wifi-chip in your smartphone is sending a signal to the nearest cellular data tower. Data marketing firms know how long you were sleeping and where you live, this gives the firms an idea of your income level. They also know what apps are on our phones and which ones we recently used. This allows the companies to target us with good and services based on our interests and income level.

Data Collection: Going to Work or School

Once, you leave your homes your device is broadcasting your locations. As you walk to the tram stop and you pass McDonalds your phones sends a signal to their Wi-Fi network and it recognises that you’re nearby. McDonalds can then send you a coupon offering a discount espresso.

At the same time, a competitor such as Burger King might use geofencing (virtual geographic boundaries) to send you an ad for its coffee instead and point you in the direction of the closest store. This technique is called geo-conquesting.

Data Collection: After Work or School

After your long day you may go to a bar or restaurant with your friends and you use an app to split the bill. The app will then sync your payment data and keep credit card numbers on file, in conjunction with your other purchasing habits. Now, not only can companies see where you spend your money, but also who with. This information helps companies target ads to the correct consumers.

Although this form of tracking is very useful for companies it has raised privacy concerns. European regulators have begun to enforce rules and boundaries in regards to how much personal data companies can draw from the public.

Therefore, do you think it’s too invasive for companies to be tracking our every move or is it smart in the way that they are able to target certain good and services based on our daily activities?

11 thoughts on “Are companies using your geolocation to target you?

  1. Hey Kiki,
    I think this is a really interesting topic. I am pretty for this type of technology because I think its a great way to analyse consumer habits. I am not however, for the idea that people are unaware that this is occurring, thus I think there should be more regulation when it comes to this type of data gathering.
    Great blog!
    Alyssa

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  2. Hi Kiki, very interesting blog this week! I do think that Geo-location tracking can be an invasion of privacy for consumers, as some people may potentially be unaware that their data is being tracked and collected by companies. However, with that said, there is an option on smartphones that allows consumers to switch their Geo-location tracking off, therefore they do not need to be subjected to Geo-location tracking if they do not want to. Looking at it from a companies perspective, Geo-location tracking is definitely an effective form of marketing, as it allows companies to customise how they target each individual consumer, as data is collected from each individuals smartphone. However, I do believe it is important for companies to use this marketing method with caution, as it is considered quite controversial due to its excessive invasion of privacy.

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  3. Hi Jess,
    I did not know you could turn your geo-location off, perhaps this is something consumers like myself should be more informed about, which I believe are companies responsibilities before they use people’s private information. In say that, I do also agree with you in regards to a companies benefits from geo-tracking.

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  4. It’s always a double edged sword with consumer privacy. On one end you’re providing the user with personalised information and convenience, on the other, it can be seen as an invasion of privacy. It will be interesting to see the legalities of these changes in coming years!

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    1. Hi Joel, I agree with your statement. I believe companies will soon have no choice but to ask consumers whether they want their information to be analysed and make it clear as to what they will be doing with the data.

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  5. Hi!!
    This is such and interesting topic. Sometimes it’s also very scary how our information is to vulnerable, I feel that for advertising is great, as you mention the McDonald’s example of sending you a coupon if you are near by any of their locations. But I think that this is very invasive because this companies can’t assure you that this information is being used in a responsible way.
    Please feel free to read my blog post! https://lauramarketing.home.blog/2019/05/18/digital-footprint/

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    1. Hi Laura, I agree with you that’s why I don’t totally trust companies analysing our data because how am I assured they are using the data information for the right reasons.

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  6. Great blog and such and interesting topic! It’s a very conflicting idea, as a marketer it’s a great way to target exactly who you want which is more effective than targeting a broad range of people. However, as a consumer this is very invasive and honestly quite scary. I personally think it’s too invasive, which is why also a lot of people have started to move away from things such as social media because the way you are targeted and the data they collect is very intrusive. I think there needs to be more laws or warnings around the data that is collected so that consumers aren’t so in the dark.

    Check out my blog, would appreciate your thoughts! https://simpledigital.home.blog/2019/05/26/who-can-you-trust/

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    1. Hi Mia, yes it is very invasive for companies to be analysing our information especially when most people are very unaware. I agree with you in regards to laws and regulations around data collecting, because from a companies point of view I can understand how beneficial it is to analyse how habits.

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