Home  ›  Google Ads Course  ›  Foundations

Google Ads Location Targeting: Presence vs Interest

How geo-targeting works, the Presence vs Presence-or-Interest setting that quietly wastes local budget, and the radius, exclusion and bid tools that sharpen it.

Quick answer

Location targeting controls where your ads show geographically. The setting that trips people up is under Location options: Presence or Interest (the default — people in, regularly in, or who’ve shown interest in your area) versus Presence (only people actually in or regularly in your area). For most local and service businesses, switch to Presence to stop paying for remote searchers. Keep Presence or Interest for travel, real estate and tourism.

1What it is

Control where your ads show — and to whom

Location targeting sets the geography of your campaign: a country, a state, a city, a postal code, or a radius around an address. Google works out where someone is from their IP, device GPS, Wi-Fi and account history — and matches that against your targeting to decide if your ad is eligible.

Free tool

Presence or Presence-or-Interest?

This one setting quietly wastes local budget. Pick your business and we’ll tell you which to use.

2The setting that trips everyone up

Presence vs Presence or Interest

Buried under Location options (advanced) is the single most misunderstood geo setting. It decides whether “targeting London” means people in London or anyone in the world interested in London.

OptionWho sees your ads
Presence or Interest (default)People in, regularly in, or who’ve shown interest in your locations — including remote searchers
PresenceOnly people in, or regularly in, your targeted locations
⚠️
The default wastes local budgetA plumber in Mumbai on the default setting can pay for a click from someone in Delhi searching “Mumbai plumber” for a relative. For most local and service businesses, switch to Presence.
3When Interest is right

Travel, real estate, education

The default isn’t always wrong. If you’re in travel, tourism, real estate or education, someone in New York searching “London flats to rent” is a genuine buyer — and Google’s own data shows those verticals get around 5% more conversions on the broader setting. The rule of thumb: sell to people in a place → Presence; sell to people heading to a place → Presence or Interest.

4The other geo levers

Radius, exclusions, bid adjustments, reports

  • Radius targeting — draw a circle (e.g. 10 km) around your store or service base.
  • Location exclusions — block areas you don’t serve, to stop wasted spend.
  • Location bid adjustments — bid more where conversion rates or value are higher (mostly for manual bidding).
  • Location reports — check the matched-locations report to see where clicks really came from, and add poor areas as negatives.
📍
Local extraLink your Google Business Profile and put the city in your ad copy — both lift relevance for local searches.
Key takeaways
  1. Location targeting sets the geography of your campaign by country, city, postcode or radius.
  2. The key setting is Presence vs Presence or Interest under Location options.
  3. The default (Presence or Interest) shows ads to remote searchers — wasteful for local businesses.
  4. Switch to Presence for local/service businesses; keep the default for travel and real estate.
  5. Use radius, exclusions, bid adjustments and the matched-locations report to refine.
?Frequently asked

Location targeting FAQs

What is the difference between Presence and Presence or Interest?
Presence shows ads only to people in or regularly in your targeted locations, while Presence or Interest also includes people anywhere who’ve shown interest in your locations, such as remote searchers.
Which location setting should I use?
For most local and service businesses, use Presence so you only reach people actually in your area. Use Presence or Interest for travel, tourism, real estate and education, where remote researchers are real buyers.
Why are my ads showing outside my target area?
Usually because you’re on the default Presence or Interest setting, which shows ads to people anywhere who searched for or showed interest in your location. Switch to Presence to stop this.
How does Google know where someone is?
It combines signals like IP address, device GPS, Wi-Fi, account location history and the location terms in their search to estimate where a user is.
What is radius targeting?
A way to target a circular area around an address, such as a 10 km radius around your shop, ideal for businesses with a defined service area.
Can I bid more in certain locations?
Yes. Location bid adjustments let you raise or lower bids by area, useful mainly with manual bidding. You can also split high-value areas into their own campaigns.
Keep learning

Related lessons

VD
Vikas Disale
Author · Digital Marketing

Vikas Disale is a digital marketer with around a decade of hands-on experience running and teaching paid search. He builds practical, example-led Google Ads training for business owners and marketers. More about Vikas →

Paying for clicks outside your area?

The default location setting quietly leaks local budget. I can help you tighten geo-targeting and stop the waste.

Get in touch →