Certified Global Research Member
Key Questions Answered
- Global Market Outlook
- In-depth analysis of global and regional trends
- Analyze and identify the major players in the market, their market share, key developments, etc.
- To understand the capability of the major players based on products offered, financials, and strategies.
- Identify disrupting products, companies, and trends.
- To identify opportunities in the market.
- Analyze the key challenges in the market.
- Analyze the regional penetration of players, products, and services in the market.
- Comparison of major players’ financial performance.
- Evaluate strategies adopted by major players.
- Recommendations
Why Choose Market Research Future?
- Vigorous research methodologies for specific market.
- Knowledge partners across the globe
- Large network of partner consultants.
- Ever-increasing/ Escalating data base with quarterly monitoring of various markets
- Trusted by fortune 500 companies/startups/ universities/organizations
- Large database of 5000+ markets reports.
- Effective and prompt pre- and post-sales support.
The location-based service (LBS) market is heavily influenced by a myriad of market factors that play a pivotal role in its growth and evolution. One significant factor is the rapid proliferation of smartphones and other mobile devices equipped with GPS technology. These devices have become ubiquitous in modern society, providing a robust platform for location-based services to thrive. The increasing adoption of smartphones across demographics has created a vast user base hungry for location-based solutions, driving demand in the market.
Moreover, advancements in geospatial technology have significantly contributed to the expansion of the LBS market. Innovations such as improved GPS accuracy, augmented reality (AR), and geofencing capabilities have enhanced the precision and functionality of location-based services. These technological advancements have opened up new opportunities for businesses to deliver personalized and contextually relevant experiences to consumers based on their location.
Furthermore, the growing integration of LBS into various industry verticals is another key market factor. From retail and hospitality to transportation and healthcare, businesses across sectors are leveraging location-based services to enhance customer engagement, optimize operations, and gain competitive advantage. For instance, retailers use location-based marketing to send targeted promotions to shoppers in proximity to their stores, driving foot traffic and boosting sales.
Additionally, the increasing demand for location-based advertising is fueling market growth. Advertisers are drawn to the precise targeting capabilities of LBS, which enable them to deliver ads to consumers based on their real-time location and behavior. This hyper-targeted approach not only improves the effectiveness of advertising campaigns but also enhances the overall user experience by delivering relevant content to consumers.
Moreover, the emergence of location-based analytics is shaping the future of the LBS market. Businesses are leveraging location data to gain valuable insights into consumer behavior, preferences, and trends. By analyzing location-based data, companies can make data-driven decisions, optimize resource allocation, and identify new business opportunities.
Furthermore, regulatory factors also play a crucial role in shaping the LBS market landscape. Data privacy regulations, such as the General Data Protection Regulation (GDPR) in Europe and the California Consumer Privacy Act (CCPA) in the United States, impose strict requirements on the collection, use, and sharing of location data. Compliance with these regulations is essential for LBS providers to maintain consumer trust and avoid hefty fines.
Additionally, market competition and consolidation are driving forces in the LBS market. As the demand for location-based services continues to grow, competition among providers intensifies. Established players are constantly innovating to stay ahead of the curve, while new entrants are disrupting the market with innovative solutions. Mergers and acquisitions are also common in the LBS market as companies seek to expand their capabilities and market share.
Covered Aspects:
| Report Attribute/Metric | Details |
|---|---|
| Market Size Value In 2022 | USD 31.984 Billion |
| Growth Rate | 14.6% (2023-2030) |
Location Based Service Market Highlights:
Location Based Services Market Overview
Location Based Services Market Size was valued at USD 31.984 billion in 2022. The Location Based Services market industry is projected to grow at USD 108.768 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 14.6% during the forecast period (2022 - 2032).
Location-based services (LBS) was primarily used for navigation, but it is today employed in all industries and has a wide range of uses. For instance, LBS improves to drive traffic to particular departments in retail by providing simple product navigation, while LBS technology has been successfully applied to minimize revenue loss due to missed appointments in the healthcare sector by guiding patients from home to their doctor's office inside the hospital.
Targeted geographical information can be provided to customers and mobile workers through a location-based service. Examples of LBS include utility location data, asset or person tracking, concierge services, and route-guidance data. The importance of LBS technology and applications will rise in the constantly linked, mobile society of today. The demand for location-based services has reduced compared to the pre-COVID period as a result of the full or partial nationwide lockdown that has been imposed across the globe owing to the spread of COVID19. The need for location-based services is anticipated to be minimal, even in post-COVID times when people will need to practice social distance and avoid large gatherings, according to trends and COVID-19's nature and characteristics analysis.
Location Based Services Market Trends
Increasing Application of Location Based Service for a Wide Range of Area
Over the past few years, adoption of location-based applications has skyrocketed. The use of such applications has increased as a result of the surge in ride-hailing app usage overall. Other uses for location-based applications include social networking, geo-marketing, gaming, fitness and health tracking, and navigation.
The integration of location-based services has transformed the transportation industry by improving navigation and traffic control. The defense sector utilizes these services to secure borders and assist in rescue missions through the creation of border maps. The real estate and construction industries have seen considerable advancements in the adoption of modern technologies such as architectural design, project location mapping, and multi-dimensional modeling. LBS also finds usage in fields like research, archaeology, mining, and resource management in the oil and gas sector. These widespread applications of LBS across various industries is expected to drive growth in the LBS market during the projected time frame.
Location Based Services Market Segment Insights
Location Based Services Component Insights
The hardware segment dominated the location-based services (LBS) industry in 2022 and is projected to maintain its dominance during the forecast period. This can be attributed to an increased adoption of LBS by enterprises to gain a strategic advantage over their competitors. The hardware component ensures the effective functioning of LBS software, driving growth in the LBS market. However, the service segment is expected to experience the highest growth in the coming years due to the increased adoption of LBS software in various industries. This will result in a greater demand for services such as system integration and managed services. More countries are embracing these services to align various business tools such as manufacturing, marketing, and sales. This factor is expected to drive growth in the LBS market during the forecast period.
In May 2022, AT&T and Intrado announced the launch of a nationwide location-based routing technology, aimed at improving the response time for wireless 911 calls. This new technology uses device location to quickly route calls to the right first responders, fulfilling long-standing goals set by the Federal Communications Commission (FCC) to enhance public safety.
In January of 2022, Catalina, a company that provides shopper intelligence and omnichannel media services, joined forces with PlaceIQ, a provider of data and technology, to bring location-based planning, measurement, and attribution to consumer-packaged goods (CPG) retailers. This partnership will allow advertisers to target more specific audiences, enhance engagement across both offline and online channels, and measure the real-world return on investment (ROI) of their brand campaigns.
Location Based Services Location Insights
The outdoor segment dominated the location-based services market due to factors such as high demand for outdoor navigation and mapping applications, increased deployment of outdoor LBS, growing need for advanced route mapping solutions, and widespread availability of outdoor GPS navigation apps. These factors led to the largest share of the market for the outdoor segment.
Figure 1: LOCATION BASED SERVICES MARKET, BY LOCATION, 2022 & 2030 (USD BILLION)
Location Based Services Region Insights
In 2022, North America held significant market share. The is owing to the growing automation trend and widespread adoption of Industry 4.0. There is a strong presence of location-based service providers, including tech giants like Google, Microsoft, IBM, Apple, Amazon, and Oracle, in the U.S. Furthermore, North America, particularly the U.S. and Canada, being technologically advanced nations, is embracing location-based services technology at a brisk pace, fueled by the increasing demand for wearable devices.
Europe, being an industrialized region, is driving the growth of the location-based services market. The region comprises industrialized countries such as the UK, Germany, France, Spain, and the Rest of Europe. In the UK, the use of location-based services is governed by laws that require permission-based services. This means that in order to receive messages and information, the end-user must give their consent to the service. Typically, this involves installing the LBS application and agreeing to allow the service to access the device's location.
Asia-Pacific is the fastest-growing region in the location-based services market. The Asia-Pacific region comprises countries such as China, India, Japan, South East Asia, and the Rest of Asia. In recent years, the region has experienced significant growth in industrialization, accompanied by a rising number of small and medium-sized enterprises (SMEs), which are expected to drive the growth of the location-based services market. The technology sector in countries like China, India, and Japan has seen rapid growth, leading to a substantial demand for location-based services, software, and hardware components to enhance technology facilities.
Figure 2: LOCATION BASED SERVICES MARKET, BY REGION, 2022 & 2030 (USD BILLION)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Location Based Services Key Market Players & Competitive Insights
The for Location Based Services market is projected to witness healthy growth during the forecast period, owing to the proliferation of location-based apps among consumers, and the rise in the use of location-based mobile advertising.
Key players operating in the Location Based Services market include Microsoft Corporation (US), Oracle Corporation (US), TomTom International BV (Netherlands), ESRI (Germany), Ericsson (Sweden), Qualcomm Incorporated (US), ROKK (US), iSpace (US), Apple Inc (US), Baidu Inc (China), NavInfo Co., Ltd. (China), IBM (US), Google Inc (US), Cisco Systems, Inc.(US), Amazon.com Inc. (US), HERE Technology (Netherlands), and Mapbox (Netherlands).
Key Companies in the Location Based Services market includes
- Microsoft Corporation (US)
- TomTom International BV (Netherlands)
- ESRI (Germany)
- Ericsson (Sweden)
- Oracle Corporation (US)
- Qualcomm Incorporated (US)
- ROKK (US)
- iSpace (US)
- Apple Inc (US)
- Baidu Inc (China)
- NavInfo Co., Ltd. (China)
- IBM (US)
- Google Inc (US)
- Cisco Systems, Inc.(US)
- Amazon.com Inc. (US)
- HERE Technology (Netherlands)
- Mapbox (Netherlands)
Location Based Services Industry Developments
In November 2022: VeriDaaS Corporation announced the acquisition of 4DM, a Canadian-based geo-intelligence company. 4DM provides consulting services and service-based work to governments, NGOs, and private sector organizations in the fields of intelligent transportation solutions, environmental health, location-based services, and risk assessment applications.
In March 2022: Aruba Networks announced advancements to its Edge Services Platform (ESP) with the addition of new management capabilities and improvements in location-based services to support enterprises in exploiting edge and IoT opportunities. The company also launched self-locating indoor access points (APs) that feature built-in GPS receivers and Open Locate, a feature for sharing location information from the access point to a device.
Location Based Services Market Segmentation
Location Based Services Component Outlook
-
Hardware
-
Software
-
Services
Location Based Services Location Type Outlook
-
Outdoor
-
Indoor
Location Based Services Technology Outlook
-
Bluetooth Low ENERGY (BLE) Beacons
-
WI-FI
-
GPS/GNSS
-
Others
Location Based Services Technology Outlook
-
Government Defense and Public Utilities
-
Retail and E-commerce
-
Banking Financial Services and Insurance
-
Automotive Transportation and Logistics
-
Industrial Manufacturing
-
Healthcare and Life Sciences
-
Media and Entertainment
-
Others
Location Based Services Regional Outlook
-
Americas
-
North America
-
South America (exc. Mexico)
-
Europe
-
Germany
-
France
-
UK
-
Italy
-
Spain
-
Rest of Europe
-
Asia-Pacific
-
China
-
Japan
-
India
-
Australia
-
South Korea
-
Australia
-
Rest of Asia-Pacific
-
-
Middle East & Africa
-
Middle East
-
Africa
-
-
South America
Leading companies partner with us for data-driven Insights
Kindly complete the form below to receive a free sample of this Report
Tailored for You
- Dedicated Research on any specifics segment or region.
- Focused Research on specific players in the market.
- Custom Report based only on your requirements.
- Flexibility to add or subtract any chapter in the study.
- Historic data from 2014 and forecasts outlook till 2040.
- Flexibility of providing data/insights in formats (PDF, PPT, Excel).
- Provide cross segmentation in applicable scenario/markets.
