Study: Location a ‘Third Way’ for Marketers Seeking to Diversify

Advertising spend has traditionally followed audiences. That’s why Google and Facebook captured roughly 63% of all digital spending in 2017. However, a new report from Lawless Research, commissioned by Factual, argues that marketers are looking for alternatives and that location-targeted programmatic and other location-data use cases can be that alternative.

According to a survey of about 700 brand and agency marketers, 71% said they are seeking alternatives to the so-called “duopoly.” This is being driven by concerns about quality: false impressions, pricing, transparency, inaccuracies and other reasons (see chart below).


Overall, 92% of respondents said they had one or more concerns about advertising on these dominant networks. The report then asserts that location-based programmatic can serve as a worthy alternative. The study contends:

Marketers and advertising agencies are leveraging the potential of location data across diverse use cases and seeing myriad benefits, from increased campaign effectiveness to higher customer engagement. As marketers seek to utilize location data, they’re looking to location data companies that provide high-quality data, as quality data leads to optimal results.

When asked about the benefits of using location-based marketing and/or advertising, 70% or more of respondents said location data helped grow customers, increase engagement, increase response rates, provide deeper knowledge of customers, improve ROI and increase lift.


Despite the stated concerns, the concentration of ad spending in a few dominant networks will likely continue. According to eMarketer, Google and Facebook are expected to grow ad spend through 2019.

Much of the study focused on the benefits of location for marketers. To hear more about those benefits and use cases that extend beyond marketing and advertising, join us for the upcoming webinar with Factual, “Why Every Business Needs a Location Data Strategy” on Thursday, June 21 at 2pm ET / 11 am PT, exploring innovative uses of location from WeWork, Uber, First Data and more. Click here to register.

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