Many AdWords advertisers use location targeting to show ads in a specific geographic locations such as countries, regions, and cities to more precisely reach your potential customers.
Now, advertisers can choose to target or exclude ads based on the user's physical location or the location of interest (for e.g., the location-specific terms in their search queries). By physical location, means -- the place where the user is actually located, such as "New York City," instead of the location that's included in the search query, such as "restaurants in New York".
"In addition, Google modified the default setting for locations that you don't want to reach and made it more in line with your requests. Because the use of advanced location options will limit your ad exposure, we recommend that you use these location targeting settings only when your advertising goals specifically call for more granular controls," said Google.
Here're a couple scenarios to illustrate new targeting and exclusion methods:
- Target using physical location:
Say you run a furniture store in Chicago and you want to advertise only to people located near your store. With new settings, you can now target Chicago "using physical location" only. As a result, the ad will only be shown to users based in Chicago who search for keywords that're part of the campaign. Someone in, say, Milwaukee who searches for "chicago furniture stores" willn't see your ad. Similarly, someone who's in Chicago and interested in a different region willn't see your ad. This's the case even if your campaign includes that exact keyword.
- Exclude by physical location and search intent:
Now, you can opt for a more restrictive exclusion method by choosing "exclude by physical location and search intent," as shown below. As a result, your ads won't be shown to people based in Florida or to those who include a Florida location in their search queries.
For e.g., if you happen to own a restaurant in New York City, you may want to advertise special deals only to people planning a visit to the city but not to those who live there. With new default settings, your ads won't be shown to people who're in the city, but people outside the city can see these ads if they specify "New York City" in their search queries.
More Info: Help Center