There are a lot of paid search programs that provide various ways to geotarget your search ads. Google, Yahoo and Microsoft allow you to set a radius in “XYZ†miles, in which you may want to target a specific location.
Via Search Engine Roundtable: A query was posted in one of the “Google Group†threads. The question was…
“Correct me if I'm wrong but the geo-targeting feature is based on a users IP address. Based on this, is there a recommended minimum distance when using this tool?â€
The query came from the side of Mpls-baseball and was related to the concept of setting “Geotargeting Radius Target.â€
In the same thread, it was suggested that one must set the radius no less than "20 or 30 miles around."
“Typically, you shouldn't go smaller than 20 or 30 miles around, since if your radius is too small, it's likely you'll miss traffic from people that are actually in your target area. You might also consider how local your business is (will people be willing to travel X distance?) and think about the trade-off between expanding the area to capture more false positives or shrinking the area and risk not reaching people that you actually want to because of their IP. If you're in a rural area, you might want to consider including the nearest metropolis if you know that IPs in your area are identified as a particular city or region .†– AdWordsPro.Steph
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