When it comes to selling products, offering services, or making money online, one key factor distinguishes winners from losers. That key factor is access to accurate data. You see, the internet is vast and ever-growing. This means, without a solution to access and monitor the data of your target audience in various regions, you are less likely to thrive. And that’s where you use residential proxies!
Let’s explore this topic together and uncover how a residential proxy can be a powerful tool for your business.
Table of Contents
What is a Residential Proxy?
Ever borrowed someone else’s smartphone or computer and used it to access the internet? If you have, then you’ve at one point in your life replicated the functionality of a residential proxy.
Like you used that person’s device to access the internet, a residential proxy is a middleman (or server) that intercepts your web searches or requests and forwards them to the target server on your behalf.
So, the target website (let’s say Instagram) believes that the residential proxy is the original owner of the web search and sends back a response. Then, the proxy picks up the response and forwards it to you. This way, you stay anonymous.
Other than using a proxy to enhance the security or anonymity of your business, here are more reasons to use a residential proxy.
Why Should You Use a Residential Proxy?
1. Enhanced data precision
Not only does a residential proxy allow you to convey your web searches or traffic through third party devices, it also does not limit you to devices in a specific region. This means, you can also route traffic through devices in different regions.
Let’s say your business is in New York and you want to target potential buyers in London, your device doesn’t have to be there.
All you need is a proxy provider with access to residential IPs in London. Then, you lease one or more and connect through it to collect accurate target audience data.
And, while collecting data with a high level of precision, you don’t have to worry about being detected.
Yes, some websites are fitted with technology to know when someone is using a proxy. Nonetheless, residential proxies are challenging to detect because they mimic actual user behavior.
2. Better tracking capabilities
With a residential proxy, tracking user behavior becomes seamless. Since you can convey cookie tracking traffic through an actual device, your online activities are more authentic.
Web servers don’t find a reason to block you because you are not using a bot to track user behavior. This allows you to undertake behavior analysis, UX/UI preferences, and more.
Moreover, whether it is real time user interactions, stock prices, or price changes, you can track the data changes in real-time. Why?
It is just like anyone leaving their device connected to a particular website to keep monitoring data changes — no IP bans or blocks, just seamless data access.
3. Superior marketing campaign performance
While most Ad platforms include tracking solutions, they are mostly limited in terms of precision tracking. Residential proxies, on the other hand, allow you track ads targeted at different geographic regions. This way, you get to know whether your ads are reaching the right audience.
Moreover, residential proxies come in handy when creating marketing campaigns. You have the opportunity to study various markets with the help of proxies, allowing you to target markets with greater potential.
Once you launch the campaigns, you can also use residential proxies to gather data on how a specific marketing campaign performed in various regions. With this data, you get to understand customer behavior and tweak the campaigns to suit what they value.
4. Streamlined operation costs
From the marketing department to the financial department, that’s how effective residential proxies can get.
At a fraction of the cost, you get to use residential proxies for market research and accessing geo-restricted data. You don’t have to set up a physical location or hire a research team within a specific region.
Besides cutting down the research budget, a residential proxy also lowers the cost of data collection. Though web data collection is crucial to several businesses, many face challenges including IP bans, restrictions, or blocks.
Since residential proxies offer real-user and stable IPs, they are now ideal tools for ensuring smooth data collection operations. Plus, investing in them is optimal compared to trying to solve the data collection challenges through other methods.
In addition to reducing data collection costs, these proxies also enhance remote workforce efficiency. Rather than investing in expensive VPNs or in-house infrastructure, you lease residential proxies to streamline remote collaborations.
5. Gives you an edge over competitors
With the help of residential proxies, you can monitor your competitor’s pricing or marketing strategies. And, your competitor is less likely to know because you are accessing their website just like any other user would.
In the E-commerce space, residential proxies are the most used tools to track competitor pricing in real-time. This allows you to stay competitive by adjusting your prices strategically.
On top of that, those in the E-commerce space prefer using residential proxies to access geo-specific reviews to understand customer behavior. This helps in understanding the reactions of different markets to certain products, helping in adapting strategies accordingly.
Lastly, you can use residential proxies to capture fraudulent activities before they ruin your business’s reputation.
For instance, you can monitor regional traffic using proxies to capture competitor sabotage, ad fraud, and fake reviews within different regions.
Wrapping Up!
As the web keeps expanding, it is becoming more critical to find solutions to collect precise customer data. Many have tried several solutions including VPNs and datacenter proxies but failed. Why?
Accuracy requires that you track a user through the technology that’s closer to their devices.
That’s why residential proxies have remained the reigning champions when it comes to collecting data with precision. Not only that, you can also use a residential proxy to access geo-restricted content anonymously.
With this comprehensive coverage, you now have the knowledge to determine when investing in how to use proxies.