|By PR Newswire||
|April 1, 2014 10:34 AM EDT||
NEW YORK, April 1, 2014 /PRNewswire/ -- Reportlinker.com announces that a new market research report is available in its catalogue:
Mobile Location-Based Services – 8th Edition
Mobile location-based services (LBS) are gradually achieving mainstream market acceptance along with increasing usage of smartphone apps. At the end of 2013, smartphone adoption had reached 67 percent in North America and 58 percent in the EU27+2. Berg Insight estimates that about 50 percent of all mobile subscribers in Europe were frequent users of at least one location-based service at the end of 2013. In North America where adoption of GPSenabled handsets is still somewhat higher, an estimated 60 percent of all handset users now access location-based services regularly. The increase in usage of LBS and the number of active users has finally resulted in significant revenue growth, especially for leading companies like Google and Facebook. In 2013, total LBS service revenues in the EU 27+2 reached an estimated € 735 million and Berg Insight forecasts LBS revenues in the region to grow to € 2.3 billion by 2018. In North America, revenues are forecasted to grow from almost US$ 1.8 billion in 2013 to nearly US$ 3.8 billion by 2018. The main growth will come from increasing ad revenues in the social networking and local search segments.
However, various enterprise and B2B services such as mobile analytics and location-based advertising are also forecasted to grow fast in both Europe and North America in the next few years. There are many alternative ways to categorise LBS. In this report, LBS are divided into eight service categories based on primary function: mapping and navigation, local search and information, social networking and entertainment, recreation and fitness, family and people locator services, mobile resource management, mobile advertising, as well as other enterprise and B2B services. The social networking and entertainment category is now the largest LBS segment in terms of number of users and revenues. It comprises a broad set of services that can be segmented into general social networking, chat and messaging apps, friendfinders and location-enhanced games. The mobile channel has become a priority for the leading social networks that see rapid growth in access from mobile devices.
Many of these services have various forms of location support ranging from sharing geo-tagged content to location sharing and check-in features. Mapping and navigation is the second largest segment in terms of revenues and the third largest in terms of number of active users.
Although the number of active users of mapping and navigation services is still growing, revenues are only increasing slowly as competition from free and low cost services has intensified. More navigation service providers are now focusing on freemium apps where the core navigation service is free and users have the option to purchase additional content and features. Local search and information services is now the second largest LBS category in terms of unique users, driven by the adoption of handsets with improved capabilities and changing user habits. The recreation and fitness segment is also growing in terms of active users and revenues along with current trends of increasing attention to personal wellness.
Recreation and fitness apps that turn smartphones into convenient substitutes for GPS devices and sports watches can cater to the needs of many outdoor and sports enthusiasts. Family locator services have been part of mobile operators' LBS portfolios for many years – especially in the US – but are now facing competition from app developers. Broader availability and declining costs of smartphones is also enabling increasing adoption of workforce management services that aim to improve operational efficiency for businesses.
Many businesses are now adopting more standardised workforce management apps, even large companies that have previously used customised solutions, in order to reduce cost of IT system procurement and maintenance. Mobile advertising and enabling various forms of enterprise and B2B services still remains a focus area for many mobile network operators. Besides working directly with major customers, operators are also exploring opportunities to leverage their assets, for instance by opening their location platforms to third party developers and location aggregators that play an important role as intermediaries between mobile operators and developers. Network-based location data is valuable for developers and third parties that need to locate any device, not only GPS-enabled smartphones.
Mobile operators can provide network-based location data for a wide range of services such as fraud management, secure authentication and location-based advertising. Some mobile operators have now started to use anonymous bulk location data to improve the performance of their networks or to support internal marketing campaigns, for instance to upsell mobile broadband services, as well as support external customers in the mobile advertising industry. Location analytics data is also being adopted for diverse purposes such as site selection in the retail industry, as well as for urban planning and traffic monitoring by public authorities and private companies.
This report answers the following questions:
How can mobile operators use location data for mobile analytics services?
How is location data used in secure authentication and fraud management services?
How are free navigation services affecting the market dynamics?
What are the mobile strategies of search engines and directory publishers?
How is location technology used by mobile social networks and communities?
How is GPS-technology altering the conditions for people locator services?
How are smartphones changing the mobile resource management market?
How is location being used to add value in mobile advertising?
Table of Contents i
List of Figures vi
Executive summary 1
1 Introduction to location-based services 3
1.1 Definition of mobile location-based services 3
1.2 Mobile communication services 4
1.2.1 Mobile voice and SMS 4
1.2.2 Mobile data and applications 5
1.2.3 Smartphone adoption and platform market shares 6
1.2.4 A brief history of location platforms and services 7
1.3 Mobile LBS categories 9
1.3.1 Mapping and navigation 9
1.3.2 Local search and information 11
1.3.3 Social networking and entertainment 11
1.3.4 Recreation and fitness 12
1.3.5 Family and people locator services 12
1.3.6 Mobile resource management 12
1.3.7 Mobile advertising 13
1.3.8 Other enterprise services 14
1.4 Mobile app monetisation strategies and business models 15
1.4.1 Free apps 15
1.4.2 Paid apps 15
1.4.3 Freemium apps and in-app payments 16
1.4.4 Ad-funding 16
1.4.5 New channel to market 17
1.4.6 Bundled products and services 17
1.4.7 Mobile app business model trends 18
1.5 Mobile location technologies and platforms 19
1.5.1 Mobile network-based location technologies 20
1.5.2 GNSS: GPS, GLONASS, Galileo and Compass/BeiDou 2 21
1.5.3 Bluetooth and Wi-Fi positioning 22
1.5.4 Hybrid and mixed mode location technologies 23
1.5.5 Probe-based and handset client-based location platforms 23
2 Smartphone ecosystems 25
2.1 Smartphone OS platforms 25
2.1.1 Smartphone platform market shares 27
2.1.2 Smartphone vendor market shares 28
2.2 App stores 30
2.2.1 Apple App Store 32
2.2.2 BlackBerry App World 32
2.2.3 Google Play 33
2.2.4 Nokia Store 33
2.2.5 Windows Phone Store 34
2.3 Ad networks and in-app ad solutions 35
2.3.1 Apple – iAd 37
2.3.2 BlackBerry – BlackBerry Advertising Service 38
2.3.3 Google – AdMob 39
2.3.4 Microsoft – Microsoft Advertising 39
2.4 Smartphone industry analysis 40
2.4.1 Smartphone platforms are becoming new vertical silos 41
2.4.2 Towards complete LBS offerings 42
2.4.3 Handset vendors and operators start to back emerging smartphone platforms 42
2.4.4 The mobile web, HTML5 web apps and native apps 43
3 Operator LBS offerings and strategies 45
3.1 The European operator LBS market 45
3.1.1 3 Group 47
3.1.2 Deutsche Telekom Group 47
3.1.3 Orange Group 48
3.1.4 SFR 49
3.1.5 Telefónica Group 50
3.1.6 Telenor Group 51
3.1.7 TeliaSonera Group 52
3.1.8 Vodafone Group 53
3.2 The North American operator LBS market 54
3.2.1 AT&T Mobility 56
3.2.2 Bell Mobility 57
3.2.3 Rogers Wireless 57
3.2.4 Sprint 58
3.2.5 TELUS 59
3.2.6 T-Mobile USA 59
3.2.7 US Cellular 59
3.2.8 Verizon Wireless 60
3.3 Industry analysis 61
3.3.1 Organisational capabilities and goals limit operator's ability to provide LBS . 61
3.3.2 Smartphone platforms challenge operators' role as distribution channel 62
3.3.3 Operators are no longer the central source of location data 62
3.3.4 Emerging opportunities for operators to sell bulk location data 63
4 Consumer LBS categories 65
4.1 Mapping and navigation 65
4.1.1 Mapping and routing services 65
4.1.2 Speed camera warning apps and services 67
4.1.3 Traffic information services 68
4.1.4 Turn-by-turn navigation services 70
4.1.5 Navigation app distribution channels and business models 72
4.1.6 Mobile operator navigation service offerings 75
4.1.7 Key mapping and navigation app developers 78
4.2 Local search and information 89
4.2.1 Directory services 90
4.2.2 Local discovery and review services 93
4.2.3 Travel planning, guides and information services 94
4.2.4 Shopping and coupon services 96
4.3 Social networking and entertainment 99
4.3.1 Social networking and community services 100
4.3.2 Check-in services 103
4.3.3 Friendfinder services 103
4.3.4 Chat, instant messaging and VoIP services 104
4.3.5 Location-based games 106
4.4 Recreation and fitness 108
4.4.1 Geocaching apps 109
4.4.2 Outdoor navigation 109
4.4.3 Sports tracking apps 110
4.5 Family and people locator services 113
4.5.1 Family locator services marketed by mobile operators 113
4.5.2 Third party family and people locator apps and services 115
5 Enterprise LBS categories and LBA 119
5.1 Mobile resource management 119
5.1.1 Fleet management services 119
5.1.2 Mobile workforce management services 122
5.1.3 Lone worker protection services 127
5.2 Mobile advertising 130
5.2.1 The advertising and marketing industry 130
5.2.2 Advertising on the mobile handset 131
5.2.3 Definitions and variants of location-based advertising (LBA) 134
5.2.4 LBA formats 135
5.2.5 LBA industry analysis 138
5.3 Mobile marketing and analytics 141
5.3.1 Case studies 142
5.4 Other B2B and enterprise services 147
5.4.1 Location-enhanced call centre services 148
5.4.2 Fraud management 148
5.4.3 Secure authentication 148
5.5 Location aggregators and Location-as-a-Service providers 149
5.5.1 Deveryware 150
5.5.2 Locaid 150
5.5.3 LocationSmart 151
5.5.4 Lociloci 151
5.5.5 Mobile Commerce 151
5.5.6 Skyhook Wireless 152
6 Market analysis and forecasts 153
6.1 Summary of the LBS market 153
6.1.1 The European LBS market 153
6.1.2 The North American LBS market 154
6.2 Mobile advertising and LBA 155
6.2.1 Challenges and opportunities 155
6.2.2 Location can improve ROI for advertisers 156
6.2.3 LBA market value forecast 157
6.3 Vertical market trends 158
6.3.1 Navigation apps continue to transition from premium to freemium . 158
6.3.2 Mobile search and information service usage approach PC access levels . 161
6.3.3 Social networking and entertainment increasingly monetise mobile apps 162
6.3.4 Smartphones are increasingly used as recreation and fitness devices . 164
6.3.5 Family and people locator service adoption is driven by free apps . 166
6.3.6 Corporate efficiency investments drive WFM service adoption 167
6.3.7 Enterprise services, mobile analytics and LBA 169
List of Figures
Figure 1.1: Mobile subscriptions by region (World 2013) 4
Figure 1.2: Wireless service revenues (World 2011–2013) 5
Figure 1.3: Smartphone adoption and market shares (EU27+2 2010–2013) 6
Figure 1.4: Smartphone adoption and market shares (North America 2010–2013) 7
Figure 1.5: Mobile location-based service categories 10
Figure 1.6: LBS system overview 19
Figure 2.1: Smartphone shipments by vendor and OS (World 2013) 26
Figure 2.2: Leading mobile app stores (February 2014) 31
Figure 2.3: Examples of mobile ad networks (World 2013) 36
Figure 3.1: Mobile operators by number of subscribers (EU27+2 Q4-2013) 46
Figure 3.2: Mobile operators by number of subscribers (North America Q4-2013) . 55
Figure 4.1: Mapping apps and mobile websites 66
Figure 4.2: Speed camera warning apps (February 2014) 67
Figure 4.3: Traffic information platform 68
Figure 4.4: Traffic information apps and services 69
Figure 4.5: Android, BlackBerry, iPhone and WP 8 turn-by-turn navigation apps 71
Figure 4.6: Business models for mobile navigation apps and services 74
Figure 4.7: Navigation offerings from European operators (February 2014) 76
Figure 4.8: Navigation offerings from North American operators (February 2014) 77
Figure 4.9: Navigation app providers by active users (EU27+2 and North America 2013) . 79
Figure 4.10: Leading directory service providers (2014) 90
Figure 4.11: Directory provider distribution channels and business models 92
Figure 4.12: Local discovery and review services 94
Figure 4.13: Online travel companies 94
Figure 4.14: Travel guide publishers 96
Figure 4.15: Shopping assistant and coupon services (2014) 97
Figure 4.16: Top ten social networks (World February 2014) 101
Figure 4.17: Mobile-originated social networking services (World 2013) 102
Figure 4.18: Examples of friendfinder services (2014) 104
Figure 4.19: Location-enhanced communication and chat services (2014) 105
Figure 4.20: Examples of location-based game developers and games (2014) 107
Figure 4.21: Examples of outdoor navigation app developers (2014) 110
Figure 4.22: Examples of sports tracking app developers (January 2014) 111
Figure 4.23: People locator services marketed by mobile operators (2014) 114
Figure 4.24: Third party people locator services using Cell-ID (EU27+2 2014) 116
Figure 4.25: People locator and location sharing apps (February 2014) 117
Figure 5.1: Examples of fleet management offerings by mobile operators (2014) 121
Figure 5.2: Workforce management services marketed by operators (2014) 123
Figure 5.3: Examples of mobile workforce management service providers (2014) . 124
Figure 5.4: Mobile workforce management vendor segmentation 126
Figure 5.5: Lone worker protection service providers (EU27+2 and North America 2014) 129
Figure 5.6: Global advertising expenditure by media (World 2013) 130
Figure 5.7: Mobile marketing and analytics providers (2014) 142
Figure 6.1: LBS revenue forecast (EU27+2 2012–2018) 154
Figure 6.2: LBS revenue forecast (North America 2012–2018) 155
Figure 6.3: LBA revenue forecast (EU27+2 and North America 2012–2018) 157
Figure 6.4: Mapping and navigation service revenues (EU27+2 2012–2018) 159
Figure 6.5: Mapping and navigation service revenues (North America 2012–2018) . 160
Figure 6.6: Search and information service revenues (EU27+2 2012–2018) 161
Figure 6.7: Search and information service revenues (North America 2012–2018) . 162
Figure 6.8: Social networking and entertainment revenues (EU27+2 2012–2018) . 163
Figure 6.9: Social networking and entertainment revenues (North America 2012–2018) 164
Figure 6.10: Recreation and fitness revenues (EU27+2 2012–2018) 165
Figure 6.11: Recreation and fitness revenues (North America 2012–2018) 165
Figure 6.12: Family and people locator service revenues (EU27+2 2012–2018) 166
Figure 6.13: Family and people locator service revenues (North America 2012–2018) 167
Figure 6.14: Workforce management users and revenues (EU27+2 2012–2018) 168
Figure 6.15: Workforce management users and revenues (North America 2012–2018) . 168
Figure 6.16: Enterprise services, B2B and LBA revenues (EU27+2 2012–2018) 170
Figure 6.17: Enterprise services, B2B and LBA revenues (North America 2012–2018) . 170
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