Location Intelligence Market

Location Intelligence Market Outlook (2023 to 2033)

The location intelligence market share's net worth is predicted to reach from US$ 18.85 billion in 2023 to over US$ 81.74 billion by 2033. The market is expected to register a CAGR of 15.8% from 2023 to 2033.

Global organizations are adopting location intelligence as a result of digitalization, the Internet of Things (IoT), and a growing volume of business data. By leveraging Business Intelligence (BI) and analytics, companies can remain competitive, discover the latest consumer trends, and improve their existing analytics and business intelligence capabilities.

It is gaining traction in the Banking, Financial Services, and Insurance (BFSI) sector for effectively tracking fraud, flagging legitimate charges, and promoting special deals. For enhanced customer experiences at key venues like stadiums, resorts, and airports, way-finding alerts, rapid product delivery, and effective queue management are also provided.

Location intelligence has increasingly been used in charging points for Electric Vehicles (EVs), 5G networks, and drone analytics as a result of growing awareness of its benefits. Providing health clinic site selection and improving recruitment processes is expected to be in high demand in the education and training sector in the future.

The demand for location intelligence, however, is anticipated to eventually be hampered by a lack of awareness and cynicism over data security. A growing prevalence of cyberattacks, high implementation costs, and other operational challenges may also hinder the market growth during the forecast period.

Impact Factors for Location Intelligence Market

• A growing number of businesses around the globe are seeking predictive analysis tools and utilizing spatial data. These factors are fueling the growth of this market.
• The increasing popularity of location-based applications and web mapping services is also expected to accelerate market growth.
• The world is also observing an increase in the use of social media for customer engagement and direct feedback.
• The use of location intelligence can be used for predictive analytics, risk management, understanding patterns and trends, and optimizing company services and operations. Companies are expected to adopt location intelligence services as a result of this factor.
• Providing personalized services and enhancing business operations is expected to continue to drive the demand for local intelligence data. Developments in portable navigation apparatus, web mapping services, as well as smartphone applications are factors that contribute to the growth of the market for location intelligence.
• Infrastructure developments, along with the increasing use of smart devices and connected devices, are contributing factors expected to boost the market for location intelligence. From GPS-enabled cell phones and auto navigation systems to smart home and industrial devices, everything is connected online.

Global Location Intelligence Market Historical Analysis (2018 to 2022) Vs. Forecast Outlook (2023 to 2033)

As per FMI, the Location Intelligence market is expected to reach over US$ 81.74 billion by 2033. In the first half of 2022, the global market increased at a CAGR of 16.45%, which is a market share of US$ 17.52 billion. Although not evenly distributed throughout all regions, this growth is stronger in developing markets, where it is predicted to reach US$ 18.85 billion by 2023 with a CAGR of 15.8%.

To enhance public health measures during the pandemic, healthcare and government institutions utilized location-based solutions. In addition, the utilization of location analytics also helped businesses deal with the uncertainty associated with the pandemic.

Overcrowding in hospitals and a shortage of ventilators, equipment, and other vital supplies have all plagued the health infrastructure sector since the pandemic. Location data play a crucial role in the administration of local emergency services. The use of location data has become a critical tool for overcoming these obstacles and optimizing resources in the healthcare sector.

• Short Term (2022 to 2025): The move to cloud-based solutions is a growing trend in the technology industry, and the location intelligence market is no exception. Companies are focusing on developing and deploying cloud-based solutions to improve accessibility and scalability.

• Medium Term (2025 to 2028): Location intelligence may continue to integrate with other geospatial technologies, such as Geographic Information Systems (GIS) and mapping tools, providing a more complete and holistic view of data and information.
• Long Term (2028 to 2033): Location intelligence may concentrate on delivering real-time insights as technology continues to advance, enabling businesses to take quicker and more informed decisions.

Significant Factors Driving the Location Intelligence Market

• Rapid Adoption of Advanced Technologies

More than 80% of the data in companies all across the world is location-based. In the same way that CRM-style analytics did a decade ago, location intelligence offers executives and enterprise users useful data that enables them to make important business decisions utilizing cutting-edge technology and analysis. Artificial Intelligence, Machine Learning, and predictive analytics are expected to boost the demand for location intelligence data. Digitization, investment in the development of IT infrastructure, and the adoption of advanced location intelligence technologies are other prospects that might benefit market growth.

For instance, the emergence of technologies such as Big Data and the Internet of Things (IoT) is expected to fuel the need for location intelligence solutions and services in various industries.

• Cybersecurity that is Robust and Reliable

Digital twins of infrastructure, such as electrical grids, can give a comprehensive view of where connections are made, so that security analysts can predict where attacks may happen. Blockchain technology allows for decentralized data as well. It updates and distributes a specific block of data simultaneously in a secure encrypted environment.

Blockchain applications have become increasingly popular with the use of applications such as bitcoin. Blockchain is also used in the field of spatial technology to track remote earth observation and satellite communications.

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Key Opportunities in the Location Intelligence Market: Management of Retail Stores Using Location Intelligence

Various business operations are becoming increasingly reliant on Location Intelligence (LI) due to the growing prevalence of Internet of Things (IoT) technology. Due to the similarities between smartphones and IoT devices, retailers can use advanced location intelligence data to gain an understanding of a particular region's demographics.

By mapping customer purchase patterns and customer time spent in the shop, retailers can enhance the customer experience and increase sales. By analyzing consumer behavior, such as visitation and purchase patterns, location-based advertising allows marketers to optimize sales.

IoT-driven smart shelves can also guide customers to locate a particular product, as well as provide real-time information to managers regarding a shortage. This further augments the market demand for location intelligence. Location intelligence also facilitates strategic store planning and inventory management.

Location Intelligence Market Category-wise Insights

Application Insights: Sales & Marketing Optimization Application Segment Expected to Grow at a Rapid Rate:

By 2023, Sales & Marketing Optimization Applications may dominate the global market with a share of more than 19.5%. It is expected that the segment is expected to continue to dominate over the forecast period.

Based on applications, the industry has been segmented into asset management, facility management, workforce management, risk management, sales and marketing optimization, remote monitoring, customer management, and others.

A location intelligence tool reduces the complexity of marketing and sales by gathering enough relevant data for a marketing campaign and predicting its outcome. Location intelligence allows for continuous monitoring and management of inventory, energy consumption, and temperature at the facility.

Management can also monitor and trace the workforce in indoor and outdoor environments with location intelligence. Using location intelligence, companies can estimate maintenance cycles for assets, track employee activities, and manage staff remotely. As a consequence, location intelligence tools are expected to increase market demand by improving operational efficiency.

Service Insights: The Market for System Integration Maintains an Authoritative Position

In terms of services, the global industry can be divided into consulting, system integration, and others. The system integration category segment dominated the industry and accounted for over 45% of the total revenue. As IoT penetration increases and location-based data becomes more prevalent, the segment is growing due to the need to integrate new data sources.

With location intelligence, system integrators help many industries collect information that can then be used to gain meaningful insights by integrating assets, business processes, and products. The system integrator also has expertise in understanding and working with both spatial and non-spatial data businesses, open data sources, and commercial data suppliers.

During the forecast period, consulting services are predicted to record a CAGR of 16%. In this service, several business use cases are identified and prioritized, where location intelligence can provide significant value to companies.

Location intelligence assists companies in collecting, analyzing, and examining relevant information, and offers more precise opinions to other organizations. A variety of end-use industries seek advice from IoT consulting and location intelligence firms on how to integrate location intelligence tools into their daily operations.

Location Intelligence Market Region-wise Insights

The Presence of Key Market Players Makes North America a Dominant Region

In 2023, North America led the industry with more than 33.00% of total revenue. This is due to companies such as Bosch, Qualcomm, GE, HERE, Apple, and Google, which dominate the industry with their IoT and location intelligence products.

It is expected to grow steadily over the forecast period. It is also projected that the smartphone market in North America is expected to grow steadily at a steady rate, since smartphone penetration was around 80% in 2022.

The region not only quickly adopts new technologies, but also has a superb IT infrastructure with strong and exceptional connectivity. The two countries with the leading market shares, the United States and Canada, are the main users of location intelligence software both in this region and globally.

Countries Leading in the Location Intelligence Market: Country-Wise Analysis

How Does the Demand Outlook for the United States Location Intelligence Market Look Like?

The location intelligence market in the United States has a very promising demand forecast, and growth is anticipated to continue over the next few years. This is due to several factors, including the increasing adoption of location-based technologies, the growing need for real-time data and insights, and the increasing importance of location data in various industries such as retail, healthcare, and logistics.

Location intelligence solutions provide valuable insights and analytics based on location data, allowing organizations to better understand their customers, target their marketing efforts more effectively, and improve operational efficiency. This has led to a growing demand for these solutions among United States businesses and government agencies.

In addition, advances in technology, such as the widespread availability of GPS-enabled devices, the growth of the Internet of Things (IoT), and the increasing use of location-based services, are driving the growth of the location intelligence market in the United States.

What is Driving the Sales in Location Intelligence Market in Germany?

Several factors are driving the growth of the location intelligence market in Germany

• Growing Demand for Real-time Data and Insights: Businesses and government agencies in Germany are increasingly seeking real-time data and insights to make informed decisions. Location intelligence solutions provide these insights by analyzing location data and providing valuable insights.
• Adoption of Location-based Technologies: The widespread adoption of GPS-enabled devices, the growth of the Internet of Things (IoT), and the increasing use of location-based services are driving the growth of the location intelligence market in Germany.
• Increasing Importance of Location Data: Location data is becoming increasingly important in various industries, such as retail, logistics, and healthcare, in Germany. Location intelligence solutions provide valuable insights based on location data, allowing organizations to better understand their customers and improve operational efficiency.
• Government Initiatives: The government in Germany has been actively promoting the use of location-based technologies and services, which has led to increased demand for location intelligence solutions in the country.

Why is the Location Intelligence Market in China Considered Lucrative within Asia Pacific?

As smartphone users grow, service providers increase, networking technologies are improved, and social media popularity increases, China is forecast to register the significant CAGR over the forecast period.

Businesses and service providers in China are introducing cutting-edge products and services to gain a foothold in developing markets. In China, governments and municipal corporations are analyzing information about asset locations to optimize their services and ease citizens' workloads to deliver a better standard of living.

Therefore, companies are turning to location intelligence tools to improve asset management and make operations more efficient, which is expected to increase the demand for location intelligence.

Start-up Ecosystem: Start-ups in the Location Intelligence Market

There are many start-ups in the location intelligence market, offering innovative solutions and services to businesses and government agencies. These start-ups are leveraging the latest technologies, such as artificial intelligence, machine learning, and cloud computing, to provide cutting-edge location intelligence solutions. Some examples of start-ups in the location intelligence market include:

• Carto: A start-up that provides location intelligence solutions for data analysis, visualization, and decision-making.
• Unacast: A start-up that provides real-time location data and insights to businesses, allowing them to better understand their customers and target their marketing efforts more effectively.
• Geospatial Corporation: A start-up that provides location intelligence solutions for the energy, infrastructure, and construction industries.
• Foursquare: A location intelligence start-up that provides location-based data and insights to businesses and organizations.
• Mapbox: A start-up that provides location intelligence solutions, including maps and location-based data, to businesses and organizations.

These start-ups are at the forefront of innovation in the location intelligence market and are helping businesses and government agencies leverage the power of location data to make more informed decisions.

Competitive Landscape

Location-tracking solutions can be used to track and monitor employees and their interactions within an organization. Location analytics can also be used to define spatial boundaries that restrict inter-team communication.

A company's inorganic growth strategies include partnerships, geographical expansion, and mergers & acquisitions to sustain its competitive position in the market. It also invests in research and development to create technologically advanced and differentiated tools to get ahead. To gain insight into past purchases, spending patterns, customer loyalty, and location information, companies invest in a variety of technologies.

Partnership & Agreements

• A newly launched feature, called Suspicious Locations, was launched by Incognia, a location identity organization, in January 2023. This enhanced feature combines precise location signals with devices to identify suspicious locations. As defined by the company, suspicious locations are places where perilous devices gather.
• In April 2022, Trimble collaborated with Infotech, an international company in the field of information technology. By integrating Trimble's Access field software with Infotech's Appia service, this collaboration was intended to streamline the inspection process for civil infrastructure projects. To provide highly precise measurement workflows, this collaboration would also streamline the workflow from survey to construction.
• During March 2022, Esri and PrecisionHawk entered into a partnership, which integrated PrecisionHawk's advanced Artificial Intelligence with Esri's ArcGIS technology to bring geospatial intelligence. By integrating PrecisionHawk's AI and Esri's ArcGIS technology, location intelligence would become more accurate, relevant, and useful.
• A new partnership between Qualcomm Technologies and Phiar Technologies, a leader in artificial intelligence-powered augmented reality navigation, was announced in January 2022. Through this collaboration, Qualcomm incorporated Phiar's robust spatial artificial intelligence technologies based on computer vision into Qualcomm's Snapdragon Automotive Cockpit Platforms, which provides intelligent AR heads-up navigation and situational awareness for advanced in-vehicle infotainment environments for automobiles.
• During January 2022, Autodesk and Touchplan partnered to develop a collaborative construction planning solution. As a result of this collaboration, project managers would be able to track their construction results, as well as plan ahead.

Product Launches

• An updated collaboration capability Autodesk Bridge was released by Autodesk in March 2022. With the newly released product, teams can share files, sheets, folders, and other relevant information within any project. The streamlined approach also lessens the need for manual data handling and transfer. A mixed-reality solution, FieldLink MR, was launched by Trimble in February 2022. In this updated solution, personnel can navigate to tasks on the job site more efficiently in less time by using an innovative way to conduct construction layouts. The updated application is compatible with Trimble XR10 and HoloLens 2.

Some of the Key Players Supplying Location Intelligence Products are

• Autodesk Inc.
• Tibco Software Inc.
• ESRI
• MDA Corporation
• Trueposition Inc.
• Bosch Software Innovations GmbH
• Qualcomm Technologies Inc.
• Wireless Logic
• HERE Technologies
• Trimble Inc.
• Supermap Software Co. Ltd.
• Navizon Inc.
• Pitney Bowes Inc.

Scope of Report

The Location Intelligence Market Segmentation by Category

By Vertical:

• BFSI
• Government & Defense
• Retail & Consumer Goods
• IT & Telecom

By Application:

• Workforce Management
• Asset Management
• Facility Management
• Risk Management
• Remote Monitoring
• Sales & Marketing Optimization
• Customer management

By Service:

• System Integration
• Consulting

By Region:

• North America
• Latin America
• Europe
• The Middle East and Africa
• East Asia