What Is Geofencing in GPS Tracking?

Geofencing is one of the most powerful features in modern GPS tracking systems. It allows businesses to create virtual boundaries around real-world locations and receive alerts when vehicles or assets enter or leave those areas.
In this guide, we explain what geofencing is, how it works in GPS tracking, and how Australian businesses use it to improve security, productivity, and control.
What Is Geofencing?
Geofencing uses GPS technology to define a virtual boundary—called a geofence—around a physical location on a map.
When a GPS-tracked vehicle or asset:
- Enters a geofenced area, or
- Exits a geofenced area,
the system automatically triggers an alert or notification.
These boundaries can be as small as a single job site or as large as an entire city or region.
How Does Geofencing Work in GPS Tracking?
Geofencing combines GPS location data with software-defined rules.
Here’s how it works in practice:
- A geofence is drawn on a digital map
- The GPS tracker reports live location data
- The system compares location to the geofence
- An alert is triggered when a rule is met
Alerts can be delivered via:
- App notifications
- Web dashboard alerts
All without manual monitoring.
Common Types of Geofence Alerts
Geofencing rules can be customised to suit different operations, including:
- Entry alerts – when a vehicle arrives at a site
- Exit alerts – when a vehicle leaves a location
- After-hours alerts – movement outside approved times
- Restricted zone alerts – entering unauthorised areas
These alerts turn GPS tracking into active management, not just passive visibility.
Why Geofencing Is So Valuable for Businesses
1. Improved Fleet Security
Geofencing helps protect vehicles and assets by:
- Detecting unauthorised movement
- Alerting managers to potential theft
- Monitoring vehicles after hours
This is especially useful for high-value vehicles and equipment.
2. Better Job and Site Management
Geofencing can automatically:
- Confirm arrival and departure times
- Verify time spent on site
- Reduce disputes over job attendance
This supports accurate reporting and accountability.
3. Reduced Admin and Manual Tracking
Instead of checking maps or logs, geofencing:
- Automates notifications
- Reduces paperwork
- Saves management time
This is particularly valuable for growing fleets.
4. Rental, Pool and Shared Vehicle Control
For rental or shared vehicles, geofencing helps:
- Enforce geographic restrictions
- Detect unauthorised use
- Support rental agreement compliance
It provides oversight without constant supervision.
Real-World Uses of Geofencing in Australia
Australian businesses commonly use geofencing for:
- Trade and construction job sites
- Fleet depots and warehouses
- Customer locations
- Regional boundary enforcement
- Theft prevention zones
Any operation with defined locations can benefit from geofencing.
Geofencing vs Live GPS Tracking
Live GPS tracking shows where a vehicle is right now.
Geofencing tells you when something important happens.
Used together, they provide:
- Full visibility
- Automated alerts
- Actionable insights
Geofencing is what turns GPS tracking into a proactive tool.
Is Geofencing Accurate?
Modern GPS geofencing is highly accurate, especially when:
- Quality GPS hardware is used
- Software platforms are well designed
- Geofences are sized appropriately
Urban environments may experience minor GPS variation, but this is easily managed with sensible boundary settings.
How EzyGPS Uses Geofencing Technology
EzyGPS geofencing features are designed for real-world Australian use, focusing on:
- Reliable alerts
- Simple setup
- Flexible boundary rules
- Clear reporting
Geofencing is fully integrated into our GPS tracking platform, making it easy to deploy across fleets of any size.
Is Geofencing Right for Your Business?
Geofencing is ideal if you want to:
- Improve vehicle security
- Reduce manual oversight
- Verify job attendance
- Control where vehicles can operate
It’s one of the highest-value features in any GPS tracking system.
Final Thoughts: Why Geofencing Matters
Geofencing transforms GPS tracking from basic location monitoring into intelligent fleet control. By automating alerts and enforcing boundaries, it helps businesses operate more efficiently and securely.
For many Australian fleets, geofencing is the feature that delivers the biggest day-to-day benefit.



