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What is Zip Code Marketing

Mar 15

What is zip code marketing? It is a marketing campaign in which users living in a certain zip code are targeted. For example, a retail store will only want to target customers that live in the retail store's zip code. As you can see, zip code marketing is a laser targeted marketing strategy that only targets those potential customers who live within the zip code range of the business.

Despite the high effectiveness of zip code marketing, it is very difficult to successfully perform this type of marketing. One of the major roadblocks when it comes to zip code marketing is lead generation - As you can see, finding leads based on a specific zip code is more difficult as compared to targeting a broader location. In short, it all comes down to the targeting, and the more specific targeting required, the more difficult the task.

Some of the common methods to generate leads for zip code marketing are website sign-ups, loyalty programs, and marketing agencies that specialize in this type of marketing strategy.

Zip Code Marketing - Explained

By targeting one specific zip code, a business or an advertiser can increase their ROI and even cost-efficiency. If we look at the growth of online marketing and advertising, it can be attributed to its high efficiency and high ROI compared to traditional forms of advertising.

In online advertising, a technique or marketing strategy which is far more efficient and can generate a higher ROI is zip code marketing or zip code targeting.

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You would be surprised to know that a marketer can extract a lot of information from just zip codes alone. In fact, zip codes can be used to develop highly targeted marketing campaigns. If you have financial products/services or luxury products, then it makes sense to target wealthier zip codes.

Similarly, products or services aimed at younger/older individuals can be targeted in specific zip code areas. The zip codes which are larger tend to point towards rural areas and show a high farmer presence. Based on this data, you can also target specific services/products.

Benefits of Zip Code Marketing

So far, we have learned that zip code marketing is a highly efficient and highly targeted marketing strategy that can yield high ROI at a fraction of the cost. Now, let's look at some of the top benefits of zip code marketing:

Minimize Travel Time

A major benefit of this type of marketing is that it minimizes travel time. When it comes to lead generation, time is very important, and you can save time since you can focus on those zip code areas which are more beneficial for your business rather than useless ones.

Improved Sales

With zip code targeting, one can identify key areas where you need to improve your sales and marketing strategies. A lot of the time, it is common for the same strategy to perform exceptionally well in some cities and fail in other cities. Once again, you can use the zip codes to readjust your strategy and thus improve sales.

Higher ROI

As mentioned earlier, the return on investment in zip code marketing is very high when compared to other forms of online and even offline marketing!