Geo-Ads FAQs: Targeted Mobile Ads for Cannabis Dispensaries

How Does Mobile Geo-Targeting Work?

Geo-advertising, also known as geo and geoframing, allows us to draw a virtual geographic boundary around relevant businesses, competitor locations, and delivery zones, identifying mobile devices by latitude/longitude with a radius.

We can then utilize this data to serve mobile ads to individuals visiting these locations who will likely be interested in your products. Further breakdown of these two types of targeting is as follows:

• Geofencing is a technology that establishes virtual boundaries around a physical location. Coupled with audience demographic data, it allows for sending targeted advertisements to target markets when they enter a specific area.
  

• Geoframing refers to the practice of capturing device IDs in a specific location and using them for later targeting or retargeting purposes, for example capturing device IDs for everyone that attended a conference or a concert to send ads to at a later date.

In practice, geoframing is used to target consumers who were somewhere, while geofencing targets consumers who are somewhere.

Instead of casting a wide net and hoping for the best, geotargeting your ads can help you spend your dollars more efficiently by serving ads and impressions to people who are near your retail location or in your delivery zone and more likely to be interested in your products.

With these types of targeted mobile ads, you can determine where and when you want your ads to appear.  We create these ads for our customers then use our cannabis-friendly network to get them right into your customers’ hands.

For example, maybe you only want to show ads when your dispensary is open. We can set dayparting parameters to your campaign so that people only see your ads during business hours when they are most likely to visit your menu and make a purchase. When a customer goes to one of our in-network sites or uses an app during that time, they'll see your ads if they’re within your target location. It’s that easy.

Can Cannabis Dispensaries Use Geo-Targeted Ads?

Yes! There are no rules in the US against cannabis dispensaries using geo-ads.

Some states have marketing requirements that create additional regulations, but these can be considered when creating your ad campaign strategy.

For example, if your dispensary is located in California, you’re required to share your dispensary license number on your advertising.

Why Are Geo-Targeted Ads Effective?

“Targeted advertising can increase click-through rates by up to 670% compared to non-targeted ads,” according to Gitnux.

The ability to target potential customers based on their location and demographic data makes geo-targeted ads a more effective and efficient way to reach new customers. By targeting your ads, you can spend less money on advertising while reaching people who are more likely to be interested in your products. .

Plus, you can measure the effectiveness of your ads if you properly set up revenue attribution. This lets you see which ads are performing well and which aren’t so that you can make changes as necessary and invest in higher-performing ads and platforms.

We at MediaJel pride ourselves on our custom-built revenue attribution dashboard. Check it out here to gain full visibility into your campaign ROAS.

How Do You Set Up Geo-Targeted Mobile Ads?

The main requirement needed to launch geo-ads or mobile ads is a compliant network of sites and apps.

For most cannabis companies, this is the hardest part of creating a targeted mobile ads strategy.

To make this easy, MediaJel has sourced its own network of cannabis-friendly sites and apps so that we can easily launch compliant ads for our clients.

Once you have your network of sites and apps, you can get your creative team working on the display ad creatives themselves while your marketing team chooses the right audience attributes and locations to target.

If you want to create a new landing page for your ad, you’ll need to involve your web design team in the process, too.

Alternatively, when you launch geo-ads with MediaJel, we handle all of this for you. We’ll work with you to create ads that appeal to your audience and help you meet your goals.

How Do You Set Up Geo-Targeted Mobile Ads?

Geo-ads are targeted mobile ads that can be used to drive traffic to a landing page or to your dispensary menu.

By employing geographic targeting, you can ensure your ads are only seen when an individual is in or around a particular location. This can help you better reach your ideal audience and increase the likelihood of getting an individual to purchase from you.

You can use geographic targeting in various ways. For example, you can create a virtual fence around your dispensary so that your ads are visible to people who fit your demographic criteria within a particular radius around it. We call this proximity targeting.

You can also create virtual perimeters around places that are popular with your target audience or even tourists. If you know you have a lot of gamers that shop with you; for example, you can draw radiuses around video game shops. Focused on wellness? Target yoga studios and natural foods stores. If you offer delivery, you can target the neighborhoods where you offer this service.

If you’re in an urban area with a high density of dispensaries, you can use geo-ads to target your competition. By creating a perimeter around competing dispensaries, you can draw their customers away and get them to shop with you instead. We call this geo-conquesting.

What Are Some Geo-Targeted Ad Strategies?

As of writing, there are no regulations stating that you cannot launch geo-ads in the US, with the exception of Maine. There are limitations, however, on the types of content that can be used for mobile ads.

For example, some states do not allow you to share the benefits of cannabis, while others do not allow for the use of images depicting cannabis consumption. These rules differ between states. Check with your regulating agency to see if you have any rules surrounding what can and cannot be shown in advertisements.

Want to check into state-by-state cannabis regulations, click here.

Are There Any Limitations With Geo-Ads?

Most cannabis businesses like to launch display ads. You have likely heard the term banner ads before. These small rectangular advertisements typically appear at the top or bottom of a mobile webpage or app screen. They can contain images, text, and even interactive elements.

2 What Do Mobile Display Ads Look Like?

We can design your ads using your logo, brand colors, and more. If you prefer to design them in-house, we can also provide your designers with the necessary information regarding sizing.

Who Will See My Ads?

Your ads will only display when certain conditions have been met: When someone meeting your demographic criteria enters your designated perimeter while your ads are set to run, and they use their smartphone to access a site or app within our network.

Where Will My Ads Show Up?

We’ve built a network of cannabis-friendly sites and apps, including popular sites like ESPN, CNN, Words with Friends, Sudoko, and many more. Your ads will only appear on these apps and sites when individuals who match your parameters (both demographically and geographically) visit one of these sites or apps during the times when your ad is running.

For example, if you have your ad running between 10 am and 8 PM, people who are using an in-network app within your geofenced perimeter and who match your targeted characteristics will see your ad.

How Often Will The Display Ads Run?

We’ve built a network of cannabis-friendly sites and apps, including popular sites like ESPN, CNN, Words with Friends, Sudoko, and many more. Your ads will only appear on these apps and sites when individuals who match your parameters (both demographically and geographically) visit one of these sites or apps during the times when your ad is running.

For example, if you have your ad running between 10 am and 8 PM, people who are using an in-network app within your geofenced perimeter and who match your targeted characteristics will see your ad.

How Often Will The Display Ads Run?

The goal of geo-targeted mobile ads is to serve multiple ad impressions to your audiences throughout a 90 day period so that they start to become familiar with your brand and eventually, click through the ad or Google your business name. Many advertisers aim for a frequency cap of 3-5 impressions per user per day to avoid ad fatigue while still maintaining visibility. However, it's essential to monitor performance metrics closely and adjust ad frequency as needed based on real-time data and feedback.

Are There Reports Showing Who Ads Were Served To?

We can share metrics to let you know how well your ads are performing.

We can provide information regarding the number of times your ads have appeared (impressions), the number of clicks they’ve gotten (click-thrus), and the number of sales they’ve generated (transactions and revenue). From there, we can provide you with the ROAS of your campaign and the customer acquisition cost.

How Is The Effectiveness of Geo-Ads Measured?

We can track three goals: Email Signups, Store Visits, and Orders.

A pixel is placed onto your website and eCommerce platform, allowing us to pull data into our reporting dashboard and provide KPIs such as impressions, Clicks, CTR Rate, revenue, and ROAS.

This is something that we do for our clients. We believe marketing agencies should prove their ROI—and we gladly do.

Want to learn more about targeted mobile ads?  Let’s talk. We also offer Google Ads, and SEO.