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Why Location-Based Marketing is going mainstream

We’re sorry to say, if your marketing isn’t paying attention to specifically where people are, then you’re probably missing out. In 2025, location-based marketing is rapidly becoming an essential ingredient in top level marketing strategy.

According to The Business Research Company, the global market for location-based advertising is set to grow from about US $123 billion in 2024 to roughly US $143 billion in 2025, with an annual growth rate of around 16%. 

So why is this happening? Here are the main reasons, and how we at Soop see them playing out for your business.

1. We’re always on our phones
It’s constant, we’re always scrolling, always moving, always looking. That means a message that reaches someone in the right place at the right time is way more effective than a generic mass email dropped into an inbox. For example, stats show that around 78% of mobile local searches lead to an offline purchase. So, location based marketing can turn an online interaction into real world action. 

2. Tech is getting smarter
With better location tech (EG: geofencing, WiFi/Bluetooth beacons, real-time triggers) plus more capability around AI and analytics, marketers can get much more precise. We can send much more relevant messages, resulting in fewer wasted impressions and higher engagement.

3. Customers expect it
Customers are used to personalised, timely, local experiences. They’re more likely to respond when a brand shows up in the right place, with the right message. The adoption rate among businesses is rising fast and many are increasing budgets for location-based marketing. 

4. Offline is still relevant
Even in our digital lives, many purchase decisions still happen in the physical world. Being able to tie a digital touchpoint to a real-world location visit (and even measure that) gives you a huge advantage. Location-based marketing is the bridge between online intent and offline action.

What this means for you
If you’re a brand with multiple locations, or you run campaigns where ‘place’ matters (EG: retail, events, recruitment etc.), you absolutely want to be taking advantage of these trends.