Business Intelligence is the practice of leveraging software and services to convert raw data into meaningful information to boost business and revenue. The method of business intelligence is decades old, and it has evolved and adapted to the global business scheme. Most of the companies today are global, so this calls for a new way of deriving better intelligence and information, and that is Geocoding.
This is not a new concept. It has been in the personal database of every company and every organization in the form of office locations, customer locations, addresses, delivery routes, and more. However, this process evolved together with the technology, so geocoding can be defined as the computational process by which a physical address of a business is converted into geographical coordinates. Businesses benefit from geocoding having available and easy-to-find coordinates. Here are some of the benefits geocoding offers:
It recognizes geographic patterns – Geocoding addresses show those locations on the map. By geocoding enough addresses, users can realize different patterns (street names, store names, etc.) and find what they need.
It manages customer data – Customer data is vital for almost every business. Thanks to geocoding, companies can map their customers’ locations. This can help in developing targeted marketing strategies for specific clusters of customers.
It analyzes address data – Businesses can utilize this data in many ways, such as deciding to open a new store in a particular part of town or a state.
How Can Businesses Use Geocoding as a Marketing Tool?
The process of using geocoding to perform specific market or region data analysis to make the right business decisions and market your products can be termed geomarketing. With geomarketing, businesses can locate and analyze customers on digital maps.
This way, businesses can acquire valuable market data and plan sales territories and delivery routes. It will allow them to better coordinate their sales at both domestic and international markets, thereby improving efficiency. Geocoding is vital for targeting specific demographics and for customizing push marketing messages for a particular audience.
A proper geocoding solution can append the exact Census Tract and Census Block number to every address. With this information, businesses can easily append detailed demographic data with thousands of variables, such as population counts, age, race, income, house values, annual earnings, and more, taken from the Census or current estimates and projections. This data helps businesses determine purchasing behavior and target the right demographics, namely those who will most likely respond to their offer or marketing message.
The whole point of geocoding is to understand and appreciate the significance of the location. Real business success is when customers can be reached when and where they are most likely to buy. Geocoding is making this a reality. Businesses are also using it to promote their products further.