No, I actually did not use the visitor location code for Bookflavor because it involved an expensive commercial database of IP addresses that cost several hundred dollars a year. Additionally, 95% of the visitors were US, so the amount of money gained via the database was less than the amount of money spent.
Perhaps with thousands of visits a day it will make sense, but for now I'm trying to keep expenses low.
You're might be aware of this, but Maxmind has a free database for geolocating IPs down to the city level. It's also open source. http://www.maxmind.com/app/geolitecity