Global Indoor Location-based Search and Advertising Market 2016-2020

Overview of the indoor location-based search (LBS) and advertising market

Extensive research carried out by the analysts at Technavio has shown that the global indoor location-based search (LBS) and advertising market will witness impressive growth and post a staggering CAGR of more than 63% over the forecast period. The increasing adoption of local area networks (LANs) and home area networks globally is one of the major factors driving this market’s growth. The availability of high-speed mobile broadband networks and decreasing costs of deployment is leading to the augmented adoption of LAN around the world. Moreover, most business organizations and university campuses are adopting virtual private networks for enhanced data security and providing a seamless connection to their employees and students. The adoption of virtual private networks by business organizations and universities enable them to provide indoor LBS on their premises. Also, most airport authorities in countries like the US and Singapore are using indoor LBS to track and monitor assets used in the airport. The airport authorities also use indoor LBS offer location search, advertising, providing updates on flight position and scheduled flights, and airport floor layout tracking, thereby, offering better customer service.

In terms of geography, the Americas was the highest revenue contributing region during 2015 and will continue to lead the market in the coming years. The majority of smartphone users in the US use Google Maps to get location-based directions and recommendations. Furthermore, the retail sector in the Americas has already witnessed the deployment of a wide range of low-powered beacons. The retailers have been implementing powerful multi-channel experiences to engage customers and boost business sale using smart devices. Beacons not only personalize the customer's shopping experience but also improve their marketing capabilities. They also help in gaining valuable customer intelligence that accelerate sales, which, in turn, will boost the indoor LBS and advertising market over the next four years.

Competitive landscape and key vendors