Location Extension helps the people to find stores and products they want to purchase, by showing ads, map to the location, and distance to the brand or business.
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According to Google:
Now it’s easier for major retailers and chains to set up location extensions by selecting their store locations from a curated list from Google. In just a few clicks, choose the chain you want to promote to quickly create a location extension. We’ll review to make sure the chain is a good match for your business using signals like its website domain and country. Later, you can use location groups to filter for specific locations within that chain. Google’s curated location lists allow you to use the same location information that powers Google Maps.
Google said the list contains 22,000 business chains and is growing.