How Accurate Geolocation Data Fosters a Better Customer Experience

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The more real-time information you know about your end users, the better service you can provide. By leveraging location, marketers can dissect consumer needs and offer them relevant and personalized content. 

Location data reveals a lot about not just where we are, but who we are. Finding an “information middleman” with precise geotargeting capabilities will create a more tailored user experience for customers: one that is fast, seamless, and customizable to the user. However, our fast-paced digital world comes with these high expectations. 

Having the most reliable data the first time you ask for it is a no brainer for the consumer, but its obvious importance is often overlooked by the provider. Data quality should be a dominant component to support a business’ reputation. But what if the data were slightly off? What implications does that have? 

What Accurate Data Means for the Bottom Line

When the IP address is not correlating to the actual location, it’s not detrimental but certainly not ideal either. The user would have to correct it themselves by manually typing in their zip code. It leads to a mental red flag going up because of a missed expectation, an unnecessary obstacle in the face of our seamless expectations.  

With 120 million subscribers watching over 140 million hours of video every day on over 450 million different devices, Netflix needs to care about its customer’s geolocation. Imagine if the IP data were off by just the slightest, say on the US-Canadian border. Those customers within miles of the border may be told they now have Geo-restricted access. That’s an irritating barrier for customers denied the service experience due to inaccurate pinpointing, and an aggravating occurrence especially for Netflix, which prides itself on delivering on viewer expectations.

Netflix won’t necessarily lose revenue, but offering the wrong content leads to frustrated customers. In the USA alone, Netflix has 46 million subscribers, and getting 1% of the data wrong represents half a million users affected. 

With all the streaming services available, brand recognition in terms of user experience reigns supreme. Frustrated users who are accidentally blocked out of content they want to watch affects credibility and may lead a customer to seek the same types of offerings with a competitor elsewhere.  

When Location Data Improves Customer Experience  

Consumers don’t just depend on accurate IP data to stream their favorite TV series. Think of all the times consumers jump on their smartphone to look up the nearest sub shop, retail chain, or café. They expect to be provided options relative to their location. If they’re provided with results ten blocks away in a different city, they’re left confused and impatient. A longer delay to receive information is not an option in today’s multi-channel digital world with consumers spoiled by speed and convenience. 

E-commerce platforms like Amazon have different stores for different countries. If you know a Swedish visitor is looking at books, it’s proactive to redirect them to a .se site and provide Swedish currency and language options. This leaves your customer feeling like that extra step of imputing location is off their plate. 

By 2040, it’s estimated that 95% of all purchases will be facilitated through the Internet. There’s no better time than now for businesses with an online presence to begin personalizing the way they serve content to their users. Customization and ease of use are key components to building trust with your website’s visitors. It offers a subconscious “that was easy” experience when journeying through your site. 

Quality Leads to Conversions 

Not having accurate data risks more than just time. It puts a bruise on your reputation, impacts customer experience, and can hurt your bottom line. When the most precise customer location is automatically generated, users see the most relevant content, and all their expectations are met. 

A small percentage of error may not matter in the beginning, but if it’s a recurring misstep, it will reveal itself. By offering a site that’s fully automated and personalized to every customer who visits, companies offer their customers a better overall service experience, leading to improved conversions, fewer questions, and fewer groans for all. 

Not all data is created equal. Putting in the commitment to offer the highest quality with location accuracy will generate happier customer relationships and improve profitability for brand marketers.  For those brands cultivating a better understanding of the customer journey, they’ll have a leg up as we begin to scratch the surface on all the potential of geolocation intelligence.

Ben Dowling is Founder and CEO of IPinfo.