Much like scientific experiments, optimization processes are data-driven. Fundamentally, your current website traffic provides data on which you are able to base optimization decisions in order to reach specific goals.
Website owners have a great deal of control over fundamental website elements such as content, design, user interaction, and light-boxes that boost conversion rates, but different users often have different reactions to the same stimuli. Especially in the independently driven cultures of Western societies, it should come as no surprise that users appreciate being addressed as individuals, not as statistical probabilities at the top of your marketing funnel.
In digital, therefore, you should not make assumptions about your audience.
From age and gender to screen resolutions and computer literacy, users differ in many ways. Moreover, people land on your pages from all over the world. They live in different climates, speak different languages, use different currencies, and most important, they are part of different cultures. Even if you have a dot-com, English-only website, you may be an international business without even realizing it.
How does geotargeting work?
Geotargeting is a way of determining the location of users and delivering tailored content based on that location.
In digital marketing, geotargeting allows for measurement and personalization at a more complex level than possible with traditional media. With the proliferation of mobile devices and the remarkable granularity and specificity they provide in terms of geolocation, tapping into the benefits of geotargeting provides a competitive edge to any digital marketing endeavor.
Ever wondered how Google or other Web services list ads according to your location? Ad servers look at users' IP addresses to determine their location. The ad server uses a large database that contains every IP address already mapped down to country, state, and postal code. Upon receiving a request, the ad server obtains the IP address from the header of the request, probes the table, finds the location data, and chooses an ad that matches the specific criteria.