How to Target Competitor Customers with Geofencing Technology

Competitor conquest geofencing is one of the most powerful—and ethical—strategies for winning market share. By targeting customers actively shopping at competing dealerships, you reach buyers at the perfect moment: when they're in-market, motivated, and ready to make a decision. Here's how to do it right.

What Is Competitor Geofencing?

Competitor geofencing creates virtual boundaries around competing dealerships. When potential customers enter these zones with their mobile devices, they automatically receive your targeted ads highlighting better inventory, pricing, financing, or service—enticing them to visit your location instead.

This isn't underhanded—it's smart marketing. Customers visiting multiple dealerships expect to compare options. Your job is to make sure they know what makes your dealership the better choice.

Why Competitor Conquest Works

Step 1: Identify Target Competitors

Not all competitors are equal targets. Focus your geofencing campaigns on:

Same-Brand Competitors

If you sell Honda, target other Honda dealers. Customers shopping these lots are qualified and brand-loyal—they just need a reason to choose you over the competition. Highlight better service ratings, exclusive inventory, or superior financing terms.

Cross-Shopping Competitors

Research shows customers cross-shop predictable brand combinations (Honda vs. Toyota, Chevy vs. Ford, BMW vs. Mercedes). If you know your competitors' likely conquest targets, geofence those dealerships with comparative messaging.

Geographic Rivals

Target dealerships within 5-15 miles that compete for the same local customer base. Emphasize your convenience: "Why drive 10 more miles? We're closer and have better selection!"

Step 2: Set Up Your Geofences Properly

Geofence Radius

Keep it tight: 0.25-0.5 mile radius around competitor lots. This ensures you're capturing actual visitors, not just drive-by traffic. Too large and you'll waste impressions; too small and you'll miss opportunities.

Dwell Time Settings

Set minimum dwell time of 10-15 minutes to ensure people are actually shopping, not just passing through. Someone spending 15+ minutes at a competitor's lot is a serious buyer worth targeting.

Lookback Windows

Serve ads to people who visited competitor lots within the last 1-7 days. The sweet spot is often 1-3 days when they're still actively deciding but haven't committed yet.

Step 3: Craft Winning Conquest Messages

Your ad creative determines campaign success. Effective competitor conquest ads follow this formula:

Example Messages That Convert

Step 4: Compliance & Ethics

Competitor geofencing is legal and ethical when done correctly. Follow these guidelines:

Step 5: Measure & Optimize

Track these metrics to refine your competitor conquest strategy:

A/B Testing Ideas

• Price-match vs. selection vs. financing-focused messages
• Static image ads vs. video vs. carousel formats
• Immediate offers ("today only") vs. ongoing advantages
• Different geofence radii (0.25 mi vs. 0.5 mi)
• Varying dwell times (10 min vs. 20 min minimums)

Advanced Tactics

Layered Targeting

Combine competitor geofencing with demographic or behavioral filters. Example: Target people who visited Luxury Brand X competitor lot AND live in high-income zip codes AND have searched for luxury SUVs online.

Sequential Messaging

Serve different ads based on behavior. First visit to competitor: general comparison ad. Return visit after 3 days: urgency message with time-limited offer. Visited multiple times: aggressive price-match guarantee.

Competitive Intelligence

Track which competitor lots generate the most traffic. If one location dominates, investigate why—are they running promotions? Do they have exclusive inventory? Use these insights to refine your own strategy.

Real Results

Getting Started

Modern geofencing platforms make competitor conquest campaigns simple to launch and manage. Most dealerships see their first conquest sales within 7-10 days of activation. Start with your closest 2-3 competitors, test messaging variations, and scale what works.

In today's competitive automotive market, conquest marketing isn't optional—it's essential. Dealerships that master this strategy consistently outperform their markets and win customers their competitors thought were already sold.