An IP address is a trove of useful information. Companies can use the information to learn more about the individual or business that accessed its website. G2 launched the IP Address Intelligence category in June 2022, containing products that act as catalysts to forge business relationships, personalize product offerings, and improve security.

IP address intelligence software: A new breed of business intelligence tools

Business intelligence (BI) software helps businesses make data-driven decisions and discover new actionable insights. At G2, there are three business intelligence categories: Data Visualization, Embedded Business Intelligence, and Location Intelligence. IP address data tools can be considered a type of business intelligence software, helping organizations find new business opportunities, enhance the effectiveness of their marketing efforts, and offer the best user experience. However, since IP address intelligence tools don’t have features that allow users to model the data that comes with them or visualize it, it’s not listed among the business intelligence software categories.

IP address intelligence software is a magic wand that reveals the location information of a website visitor, and this information can be highly granular based on the software product chosen. Some tools may offer location details such as country, state, and city, while others may provide information such as zip code, street name, or latitude and longitude. IP address intelligence platforms may also offer information about the IP address’ internet service provider (ISP) and whether the device is using a virtual private network (VPN) or proxy network.

Although IP address data tools reveal the estimated geographic location of a device, they don’t disclose any precise personal information of the user, such as their name, phone number, or home address.

IP address intelligence software vs. location intelligence software 

It’s natural to confuse IP address intelligence tools with location intelligence software, as the former is sometimes referred to as IP geolocation software. However, there is a difference between the two.

Location intelligence tools are more focused on modeling and analyzing geospatial data to, for example, find the ideal location for a new warehouse for efficient transportation.

IP address intelligence software, on the other hand, is more focused on identifying or estimating the real-world location of a device based on its IP address.

How does IP address intelligence software help businesses?

Businesses can utilize IP address intelligence software for various purposes. More precisely, the list of its use cases can extend based on the user's creativity to utilize the data that comes with a customer’s IP address. 

Let’s elaborate on some of the use cases of IP address intelligence platforms.

• Account-based marketing: Sales teams hate the anonymity of business-to-business (B2B) traffic. With IP address intelligence platforms, they can deanonymize B2B web traffic by matching an IP address to a company name or domain, or both. This helps them determine their most promising prospects and initiate effective account-based marketing campaigns.

• Cybersecurity: Preventing cyberattacks is easier than remediation. With IP address intelligence platforms, businesses can detect VPNs and use that information to block suspicious traffic. Based on the IP addresses, the platforms are also valuable for stopping access to certain areas of an organization’s website and stopping malicious actors from creating multiple profiles.

• Localization: Businesses, specifically e-commerce businesses, can use IP geolocation tools to determine their customer’s location and tailor their key messages, offerings, and call to action, accordingly. This can help enhance buyer experience and engagement and ultimately lead to more sales.

• Fraud prevention: Along with e-commerce fraud protection software and fraud detection software, IP intelligence software can help detect and block fraudulent users. The tool makes detecting malicious traffic sources easier and blocks them from high-risk locations. Likewise, these tools help detect bot activity and click fraud and enforce content restrictions based on a device’s location.

Looking forward

To state the obvious, businesses and customers check out information about companies online. An estimate of the prospective customer’s location can make a big difference to a business’s user acquisition and retention strategies.

With third-party cookies going extinct, IP address data tools will prove to be invaluable for deanonymizing B2B web traffic. Account-based marketing software may make it effortless to integrate IP data intelligence tools. The same could be said for web security software, if not done already. Thus, the future looks bright for IP address intelligence software products.