IP geolocation technology is not a new concept. In fact, it has been around for over a decade now and is widely used globally for various purposes. Yet not all are aware of what IP technology really does and how IP geolocation databases, when used appropriately, can actually serve to improve an organization’s business potential. In this post, we’ll provide you with an exhaustive list of things you need to know about IP geolocation databases.

What Is an IP Geolocation Database?

An IP geolocation database is a compilation of IP addresses that allows users to identify a website visitor’s physical location. When a user looks up an IP address, the database provides the precise coordinates (latitude and longitude) that indicate the visitor’s place of origin. Note, however, that the IP geolocation of a visitor may not be entirely accurate as it only pinpoints the nearest access point he/she used to access a given website.

How Accurate Is the Data of IP Geolocation Databases?

In general, IP geolocation databases have varying accuracy levels, depending on the amount of information they provide. At the country level, the accuracy can be as high as 90-95%. At the city level, you’ll notice a decline in accuracy. Note that this is particularly true for users who are located in the suburbs. In such cases, their IP addresses may show the IP address provider’s location (tower or office) within the nearest metropolitan area.

What Are IP Geolocation Databases For?

IP geolocation databases can be useful for cybersecurity, marketing, and other business requirements. We provided more details below.

1. Blocking Access from Region-Specific Websites

Most businesses only target specific regions where they have local offices or establishments. Using an IP geolocation database can help them block users from areas they don’t serve to focus on their target markets. Doing so also reduces the amount of time their support staff will spend dealing with customers from unserved regions. As an added benefit, cybersecurity officers can ensure they reduce the number of potential phishing attacks, especially those coming from areas where phishers and hackers commonly reside. Preemptive IP-level blocking can thwart attempts as they happen.

2. Complying with Licensing Regulations

If you are running a company that produces licensed content, using an IP geolocation database is critical to maintaining legality. You can ensure that you are only providing content to regions where you have existing agreements. So, if, for instance, several of your video content is only licensed for the consumption of U.S. residents, you can limit access to U.S.-based IP addresses. Compliance with such a regulation ensures that you won’t commit violations that may result in hefty fines and even loss of license.

3. Identifying Traffic Sources

Keeping tabs on website traffic is vital for many organizations. If your company is one of them, you can benefit a lot from using an IP geolocation database. You can use the data that it provides to gain insights into who your website visitors are. Geo-targeting to gain more customers and increase brand loyalty is possible with IP Geolocation Database’s help. Personalizing user experience (UX) to improve your bottom line is doable, too. Using an IP geolocation database is also crucial in identifying the location of unauthorized login attempts, which could clue you into ongoing attacks on your network. For example, a cybersecurity official can check traffic logs to see who is trying to access their internal server from outside the corporate network. With IP geolocation data’s help, he/she can immediately act before the unauthorized user can damage the system.

4. Detecting Online Fraud

One of the advantages of using an IP geolocation database is its ability to detect online fraud. It’s pretty standard for financial institutions to be targeted by hackers. That is why many of them require their customers to complete and follow the Know Your Customer (KYC) regulation. When this data is used in conjunction with IP geolocation databases, it can effectively reduce abuse incidence.

5. Adhering to Regulations

Privacy is a huge issue that most websites have to abide by. If a website serves regions with existing regulatory compliance guidelines, they should make sure that they follow these. Using an IP geolocation database, you can see if your site visitors come from regions that enforce strict guidelines. One example is the General Data Protection Regulation (GDPR) in the European Union (EU). With an IP geolocation database, you get alerted to visitors who may require special treatment.

IP Geolocation Database or API: Which Should You Use?

One question that commonly pops up among first-time users of IP geolocation data is what type of tool to use. Generally, they can opt to select from either a database or an application programming interface (API).

A database like IP Geolocation Database is often preferred by users who want access to the whole data at once for statistical analyses or have strict policies regarding external API calls. It’s also easier to use a database if you’re analyzing several IP addresses at the same time.

Meanwhile, API use is recommended for users who want instantaneous results via API calls. Expertise in coding and programming is also required for those who wish to integrate an IP geolocation API into their systems and solutions.

Free or Paid: Which IP Geolocation Database Is Better?

Users can avail themselves of either a free or paid version of an IP geolocation database. New users can choose to use a free service, but they must understand that this would not have access to all information found in a paid database. Free IP geolocation databases may also not reflect the most up-to-date information.

Users who need access to accurate and up-to-date information, dedicated customer support, and an unlimited number of queries would do better with a paid service. Depending on your requirements, paid IP geolocation databases come with customizable pricing based on the number of queries per month or data coverage.

The idea is to choose according to your business requirements. Keep in mind that for cybersecurity purposes, opting for a paid version is ideal because it allows users to get precise data to prevent cybercrime.

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IP Geolocation Database offers tons of benefits for organizations that want to ensure that their systems and networks are always threat-free and continuously comply with regulations.