When it comes to running profitable Google Ads campaigns, location targeting is one of the most powerful — and often overlooked — settings. Choosing the right location strategy ensures that your ads are shown to the right audience, reduces wasted spend, and improves your return on investment (ROI).
In this post, I’ll walk you through how to set up precise location targeting in Google Ads and why it matters for your campaigns.
Why Location Targeting Matters
Every click costs money. If you’re showing ads to people outside your target market, you’re essentially paying for traffic that’s unlikely to convert. By refining your geo-targeting, you can:
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Focus your budget on your ideal audience.
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Increase conversion rates by showing ads only where your customers are.
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Avoid wasting ad spend on irrelevant locations.
Step-by-Step: Setting Up Precise Location Targeting
1. Go to Campaign Settings
Log in to Google Ads, choose your campaign, and click on Settings.
2. Select “Locations”
Under the Location section, you’ll see options to target countries, regions, cities, or even a specific radius around a point.
3. Choose “Presence” Over “Interest”
This is a crucial step.
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Presence = Targets people physically located in your selected area.
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Interest = Targets people searching for or interested in your location, even if they’re not there.
For most businesses that serve customers in-person or within a specific region, Presence is the best choice to avoid irrelevant clicks.
4. Narrow Down to the Smallest Effective Area
Instead of targeting entire countries, focus on:
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Specific cities
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Zip codes
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Custom radius targeting (e.g., 10 miles around your store)
5. Exclude Locations You Don’t Want
If there are areas within your target region where you don’t want ads to show (due to low demand, high cost, or irrelevance), add them as Location Exclusions.
Pro Tips for Better Results
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Use location-specific ad copy mentioning the city or area to improve click-through rates.
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Pair precise location targeting with ad scheduling to maximize impact during peak times.
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Track results by location in Google Ads reports to see which areas are most profitable.
Final Thoughts
Precise location targeting isn’t just about narrowing your audience — it’s about focusing your budget on people most likely to buy from you. Done right, it can make your campaigns more efficient, more profitable, and easier to scale.
If you want me to personally review and optimize your Google Ads location settings, get in touch — I’ll make sure your ads reach exactly the right audience.