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Indoor Location-based Services Market Size
Indoor Location-Based Services Market size is poised to grow with a lucrative CAGR from 2024 to 2032, ascribed to the increasing security concerns around suspicious activities in public spaces. Of late, LBS applications are gaining significant traction as they offer information and services that are highly relevant to the user at a particular location. For instance, in February 2023, Radisys, a provider of open telecom solutions, launched ‘Radisys ReachPoint’ to enable mobile network operators to deliver instant geolocation services, even in areas with limited GPS connectivity.
Considering the latest trends, LBS and tracking techniques are widely used in vehicle management and logistic tracking. According to Forbes, the global e-commerce market was estimated to be worth USD 6.3 trillion in 2023. Similarly, the U.S. e-commerce industry was predicted to accumulate USD 1.1 trillion in sales in 2023. The same trend is anticipated to continue in the coming years.
The penetration of smartphones and internet services across the globe is also expected to accelerate the industry demand. As per credible sources, there were approximately 6.65 billion smartphone users worldwide in 2022. Various emerging economies have also recorded a considerable rise in smartphone usage in recent years. However, the rising privacy concerns, infrastructure complexity, and challenges in accurate indoor positioning and mapping may impede the market growth to some extent in the forthcoming period.
Indoor Location-based Services Market Trends
The integration of advanced technologies, such as Bluetooth Low Energy (BLE) beacons, Wi-Fi, and Ultra-Wideband (UWB) for more accurate indoor positioning will drive the market demand. The increasing adoption of smartphones equipped with indoor positioning capabilities is driving the emergence of indoor mapping platforms and navigation apps. For instance, in September 2022, Oriient, a software only IndoorGPS provider using Earth's magnetic field, integrated its solution with Google Cloud Marketplace for allowing customers with existing commitments to benefit from streamlined procurement and consolidated billing via a single channel.
Furthermore, the growing demand for location-based analytics and business intelligence solutions for retail, healthcare, and transportation sectors, as well as the implementation of LBS for enhancing customer experiences and operational efficiency will positively influence the industry growth.
Indoor Location-based Services Market Analysis
Based on technology, the indoor location-based services industry value from the Wi-Fi segment is estimated to record substantial growth till 2032, owing to the widespread availability and adoption of Wi-Fi infrastructure in indoor environments. Wi-Fi-based LBS solutions offer high accuracy and reliability in indoor positioning for catering to various applications, such as retail analytics, asset tracking, and indoor navigation. The rising advancements in Wi-Fi technology, such as Wi-Fi 6 and location fingerprinting techniques will also favor the segment growth.
Indoor location-based services market share from the retail application segment will rise at significant pace between 2024 and 2032. This is due to the increasing demand for personalized shopping experiences and location-based marketing initiatives. LBS solutions enable retailers to deliver targeted promotions, offers, and recommendations to shoppers based on their real-time location within stores.
Additionally, indoor navigation and wayfinding functionalities offered by LBS platforms help enhance customer satisfaction and reduce time spent searching for products for improved store efficiency and sales. Moreover, the integration of LBS with analytics tools allows retailers to gain valuable insights into customer behavior and preferences, further boosting the market expansion.
North America indoor location-based services market will expand at notable pace up to 2032. The growth can be attributed to the increasing adoption of smartphones with built-in location tracking capabilities. The rising demand for location-based marketing and advertising solutions is driving the deployment of indoor mapping and navigation technologies across retail, healthcare, and transportation sectors. Additionally, the rapid advancements in indoor positioning technologies, such as Bluetooth Low Energy (BLE) beacons and Wi-Fi will complement the regional industry expansion.
Indoor Location-based Services Market Share
Key companies in the indoor LBS market are focusing on launching innovative solutions and adopting various inorganic strategies, such as mergers & acquisitions and partnerships to increase their market footprint. For instance, Qualcomm is a leading American multinational corporation, actively designing and developing wireless telecommunication products and services.
Key players in the indoor LBS industry include:
- Google LLC
- Cisco Systems, Inc.
- Qualcomm
- IBM Corporation
- Oracle Corporation
- Microsoft Corporation
- Apple Inc.
- Ericsson
- TomTom N.V.
- Zebra Technologies
- Ubisense
- Foursquare
- Pitney Bowes
- Baidu
- CenTrak
- Galigeo
- HERE Technologies (owned by Audi, BMW, and Daimler)
- Teldio
- Navigine
- infsoft GmbH
- Living Map.
Indoor Location-based Services Industry News:
- In April 2022, Qualcomm Incorporated completed the acquisition of Arriver™ from SSW Partners to enhance its capabilities of delivering open, fully integrated, and competitive advanced driver assistance system (ADAS) solutions to automakers and Tier-1 suppliers at scale.