When a client gives you a call and you’re answering all the traditional questions regarding the service that you can provide & what separates you from other agencies. In most cases it is beneficial to mention geographical targeting within Google Adwords once you understand their needs a little bit more.
Although as an Adwords account manager it is important that you understand the different options that are available to you. The default option is” people in, searching for, or who show interest in my targeted location (recommended)” this option is obviously the most common and Google highly suggest that we use this option, but there are other options available for a reason and you should ensure that you choose the best option for your company.
This default setting starts pretty clear, the “people in” refers to users that are in a specific area, which tends to suit most advertisers. However when you move on to “searching for, or who show interest in my target location” things become less clear.
The best way to find out if your location targeting setting is harming you is to use the dimensions tab in Adwords. In Adwords you are given both a “Geographic Report” and a “Users Location Report”. User location is referring to the physical location of the user when they did their search & the “geographic report” is more relative to the “users in or interested in” setting.
With regards to which setting best suits your business, I cannot tell you that as there is no single answer and every advertiser will have different requirements but analysing the data will help you find the most suitable setting for you.