Location-based advertising market to boom in revenue

Location-based advertising will generate more than 60
percent of total location-based services revenue in 2015, according to Pyramid

Location-Based Services provides a detailed overview of the current status and size of the location-based
services market. It takes a specific look at the positioning of the mobile
operators within the value chain and how they can leverage their assets to take
a stake in this growing opportunity.

Several services are analyzed, but the biggest focus is
on navigation, the largest in terms of revenue where various business models
are establishing themselves and a range of different players are focusing their
efforts, creating a dynamic and fast-changing market segment.

Other services such as people finding and local search
are also covered. Case studies are provided of operators in all geographic
regions to provide a range of different examples and market approaches.

In 2008, the location-based advertising market was worth
just $86 million, representing around 10 percent of the total mobile
advertising opportunity.

In 2010, this had boomed to reach $588 million,
equivalent to 18.5 percent of all mobile advertising. In 2015, we forecast
total revenues to reach $6.2 billion, equivalent to almost 35 percent of total
mobile advertising revenue, and more than 60 percent of total location-based
services revenue.

“The different components of mobile advertising
 are all growing. However, local search will be the most important driver
of location-based advertising revenues. Not only are navigation applications
moving to a search-funded model, but there are also a wide range of other
companies looking to capitalize on the growth of local search, including
start-ups, local business advertising specialists  and vertical
aggregators,” said Jan ten Sythoff, analyst at Large, Pyramid.

By Teleomlead.com Team

[email protected]