What is proximity marketing?

• A. A strategy to mail coupons to customers annually.
• B. A plan to relocate stores.
• C. A strategy that sends notifications to customers when they are within a certain distance of a store.
• D. A strategy to increase store shelf space.

Answer: (C)

Proximity marketing focuses on delivering location-based messages to customers as they’re near a retail location, using technologies like GPS geofencing, Bluetooth beacons, or NFC. The core idea is to trigger notifications, offers, or information at the moment a shopper is within a defined distance of the store, making the communication timely and highly relevant. The option that describes sending notifications to customers when they are within a certain distance of a store captures this real-time, context-aware approach exactly, which is what proximity marketing is all about. It’s different from sending coupons annually, which is a broad, non-time-sensitive tactic, and it’s not about relocating stores or changing shelf space—those relate to different aspects of strategy altogether. In practice, proximity marketing can drive foot traffic and conversions by nudging customers with timely deals or information right as they approach.