Geofilters: Virtual Word-of-Mouth Marketing

Geofilters: Virtual Word-of-Mouth Marketing

August 9, 2016

4 Minute Read

Snapchat-1-1d24baSnapchat’s growing user base has been enjoying a new graphic application that allows people to reveal, and even brag about, their location in a unique way — and it’s grabbing the attention of marketers in the multifamily housing industry. Geofilters are location-based artistic overlays, or frames, that users apply to their “snaps” (images and videos) before sending them. They can include illustrations and words, and they’re a particularly useful branding tool for businesses that want to increase their exposure among millennials, who account for about two-thirds of Snapchat users.

Bloomberg recently reported that Snapchat now has over 150 million active daily users — and those users are sharing information about where they are and what they are doing. Geofilters are similar to Facebook’s check-ins, but they are more visually engaging. Each design serves as a virtual passport stamp, and businesses that create one are more likely to stand out.

Geofilters use geofencing technology, which sets up a virtual perimeter around a specific location. When Snapchat users enter the boundary defined by a particular geofilter, they can find it by swiping across their phone’s screen after taking a snap. For multifamily housing communities wanting to reach potential new renters, this offers a modern approach to word-of-mouth marketing.

Snapchat first introduced the feature as Community Geofilters, which are free and can be used to identify public locations like cities, neighborhoods or local landmarks. On-Demand Geofilters, which enable businesses and individuals to create tailored designs for places and events, became available in February 2016, creating a unique opportunity for brands to get in front of and connect with the Snapchat audience.

Using on-demand geofilters to promote a business or event is relatively simple. You design a graphic — most likely using your logos or other branding elements — then submit and pay for it. The price tag varies according to the location, square footage and length of time the geofilter will be available. This payment system is especially attractive for multifamily housing communities, which take up a limited amount of space while enjoying a lot of traffic from both residents and visitors.

The allure of on-demand geofilters is easy to understand: Businesses and brands looking to connect with a younger audience know that effective marketing means becoming part of consumers’ everyday life — making Snapchat an ideal marketing vehicle. The key to success is not being intrusive, which is something that businesses struggle with on other social networking sites. When branding efforts interrupt users’ interactions, it can have a negative effect; geofilters excel because they are incorporated into the user’s daily life experiences.

As multifamily communities look for new marketing avenues, several are starting to experiment with geofilters. Ohio-based Schottenstein Real Estate Group owns eight multifamily housing communities across three states, and they invested in creating geofilters for two of the newest locations about a month and a half ago.

Schottenstein’s president, Brian Schottenstein, believes the filters are a good way to generate word-of-mouth traffic. “The best possible review you can get is from someone already living in the community,” he noted. He sees geofilters as a way to add a little bit of fun to the residents’ lives while giving them the opportunity to share how much they enjoy their community.

After Schottenstein Real Estate Group launched their community geofilters at Grand at Polaris and Grand at Florence, they promoted them within the communities, encouraging residents to use them while spending time  by the pool or at the clubhouse. “We believe that if residents send snaps out to friends showing how much fun they are having… it will create buzz and more business,” said Schottenstein.

They aren’t depending solely on word-of-mouth efforts, however. Schottenstein Real Estate Group is using geofilters in their marketing efforts in two unique ways:  First, they are offering a discount for snaps that bring in new renters. “We give a $100 discount on their rent if someone sees their snap with the logo on it and then rents from us,” explains Shottenstein. Second, they are running a “Selfie Contest” promoting the use of Snapchat and their filters.

Snapchat offers analytics for businesses and individuals who purchase on-demand geofilters so they can more effectively monitor the success of their marketing efforts. While it’s still too early to tell what kind of impact the investment in geofilters has had on new leases, Schottenstein says the increased visibility is undeniable, with one of the filters receiving 150 views in the first month. “I do know that is getting a lot of visibility. I’m happy about that, because it’s good for our brand.”

While the use of geofilters as marketing tool is relatively new, Snapchat users are eagerly applying the branded art to their snaps, and multifamily housing communities stand to benefit. With flexible payment options, a variety of uses and an easy way to measure results, geofilters are modernizing a tried-and-true marketing tool, and word-of-mouth is paying off big — one snap at a time.

 

 

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