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What is the Zip Code Radius used for?
The Zip Code Radius (measured in miles) is currently being utilized for the 3 Google Campaigns (Search, Display, & Remarketing). It determines where your ads will be displayed, and ultimately how many people will see them.
Keep in mind that this is a true circle. It will not discriminate or alter its shape, even if there is a large body of water or a sprawling metropolis within its boundaries. Contact your digital product specialist if you are unsure of what you should set your radius to.