Fueling rumors that Facebook is working on a location-based ad product, the social network now prompts members to tag the locations of their photos through sidebar modules and News Feed stories.

Facebook suggests a location based on the GPS data stored within the photo. However, by clicking “add location” individuals can choose another place if the suggestion isn’t accurate. Both the location and photo will be added to the person’s Timeline map.

Locations aren’t limited to cities or states; members can also search for specific businesses or points of interest — just as if they were checking in to a location. This is helpful for businesses that would like to keep track of relevant customer experiences.

In April, Facebook revealed that 200 million members were tagging 2 billion photos and posts with locations every month. This number is likely to increase once these reminders go public.

This isn’t the only location-related reminder Facebook is working on. Yesterday, we reported that the social network is testing a module that prompts members to Like a Page after checking in to a location. While no comment has been released by the company, it’s fair to assume that something bigger in the works.

Until then, these location prompts will help customers build out their activity on Facebook, something that can result in extra awareness for businesses and their corresponding Pages across the platform.

[Via: Inside Facebook, Image credit: channelship]