A vast amount of location information exists in unstructured texts, such as social media posts, news stories, scientific articles, web pages, travel blogs, and historical archives. Geoparsing refers to recognizing location references from texts and identifying their geospatial representations. While geoparsing can benefit many domains, a summary of its specific applications is still missing. Further, there is a lack of a comprehensive review and comparison of existing approaches for location reference recognition, which is the first and core step of geoparsing. To fill these research gaps, this review first summarizes seven typical application domains of geoparsing: geographic information retrieval, disaster management, disease surveillance, traffic management, spatial humanities, tourism management, and crime management. We then review existing approaches for location reference recognition by categorizing these approaches into four groups based on their underlying functional principle: rule-based, gazetteer matching–based, statistical learning-–based, and hybrid approaches. Next, we thoroughly evaluate the correctness and computational efficiency of the 27 most widely used approaches for location reference recognition based on 26 public datasets with different types of texts (e.g., social media posts and news stories) containing 39,736 location references worldwide. Results from this thorough evaluation can help inform future methodological developments and can help guide the selection of proper approaches based on application needs.