14 DAY TRIAL // A recently published report from Juniper Research shows that the market of mobile location-based services (MLBS) is expected to reach more than $12.7 billion by 2014. According to the research firm, the key drivers for the impressive increase include the wide smartphone proliferation, as well as the larger number of storefront launches, not to mention new developments in hybrid positioning technologies.
The new report from Juniper Research also shows that MLBS have already experienced a series of false dawns over the 2000-2007 period, but the improvements made lately in handset user interfaces as well as easier access that consumers can enjoy when it comes to app distribution channels will lead to an increased focus on MLBS applications from services providers. Moreover, the growth is also facilitated by the deployment of high capacity network infrastructure, as well as by the wider adoption of mobile Internet, which offer great choices for browser-based services.
According to the report, advertising is also expected to add to the MLBS-related revenues during the following years. Dr Windsor Holden, report co-author, said, “Location-based applications are extremely interesting for brands and retailers in that they allow those companies to direct consumers to outlets in their vicinity while simultaneously providing information about the products on offer. When these are allied to measures such as mobile coupons and vouchers, you have the combination of information and financial incentive which can be compelling for consumers.”
The Mobile Location Based Services Research from the company also shows that the growth might also be driven beyond the core smartphone base through improving the experience users receive from MLBS on feature phones. However, the deployment of these services can still be affected by privacy and information security, although on an upwards road. Juniper Research also notes that Far East & China will see the highest service usage during the following five years, but that the largest revenues will come from Western Europe.