There are many uses of location in mobile advertising. Increasingly, however, location is being used in the background to identify and qualify audiences and to do behavioral targeting or retargeting. Those tactics are often combined with geofencing for a multi-layered approach to mobile targeting.
One representative illustration of this is a current campaign for Toyota created by Opera Mediaworks and agency Saatchi & Saatchi LA. Opera Mediaworks is the advertising arm of the browser company that was built from its acquisition of ad mediator AdMarvel a few years ago.
The Toyota campaign serves mobile ads with offers to customers using their locations (based on a lat-long). However ads are only shown to qualified audiences within a certain proximity of local Toyota dealers. The ads feature different incentives or interest rates.
Interestingly location isn’t explicitly cited or mentioned in the ad copy. The primary uses of location are to determine which interest rate to serve and for geofencing. Below are actual examples of the ad creative for the campaign, which runs through Labor Day.’
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http://marketingland.com/dynamic-mobile-campaign-toyota-shows-future-mobile-location-98145