As of December 2025, Google Ads allows Australian businesses to target specific geographic areas using location targeting features within its campaign settings, ensuring ads are shown to potential customers in desired regions.
Currently, location targeting in Google Ads operates through several methods. Businesses can target by postcode, city, radius around a location, or even by drawing custom polygons on a map – now including more granular control over regional areas. Google uses IP addresses, GPS signals (for mobile devices), and user-provided location information to determine a user’s location. In 2026, location extensions, which display your business address with your ads, remain a key component, and are integrated with Google Business Profile data for accuracy. Location asset bidding, introduced in late 2024, continues to allow bid adjustments based on location performance. Google Ads’ location targeting features are available across all campaign types, including Search, Display, and Video campaigns, and comply with Australian privacy regulations regarding location data. Pricing remains based on a cost-per-click or cost-per-impression model, with location targeting influencing ad rank and therefore cost.
Ultimately, Google Ads location targeting functions by combining user location data with campaign settings to deliver relevant advertisements to users within defined Australian geographic boundaries.