Indoor Location Retail Revenues to Break $5 Billion in 2019
London, United Kingdom - 02 May 2014
Indoor location technologies continues to evolve at an incredibly rapid pace, with a host of new technologies and companies entering the fray in 2014. The result will be an acceleration of adoption across all major verticals as a slew of new services and revenue opportunities emerge.
In ABI Research's latest report, "Indoor LBS: Applications, Advertising, and Revenues", the indoor location opportunity is considered across 11 retail verticals and all major technologies, split by region. The report forecasts that initially analytics revenues will drive growth creating a platform on which to build future advertising opportunities.
Senior analyst Patrick Connolly comments, "In 2014 a number of major retailers are approaching the end of their trial periods and we should start to see a step increase in deployments. iBeacons/BLE will also help to drive awareness and acceptance but are by no means the silver bullet here. Most importantly, retailers now understand the need to address the newly emerging smartphone shopper. Analytics is a fundamental first step, but longer term, a combination of targeted in-store offers, hyperlocal search and in-application advertising will drive $5 billion inrevenue in 2019, enabling retailers to better reach their customers both in-store and at home."
The report outlines a number of initial case studies across the industry that highlight the impact of indoor location technologies and analytics on advertising CTRs, basket size and year-on-year profits. Practice director Dominque Bonte adds, "A body of information is now gathering that verifies the effectiveness of these technologies. We can see how limited trials are showing increases of advertising local search CTRs from 0.1% to 3.5%, indoor location applications increasing basket sizes 10%, and how smartphones are significantly changing the cross channel shopping habits of users."
These findings are part of ABI Research's Location Technologies Market Research.
ABI Research provides in-depth analysis and quantitative forecasting of trends in global connectivity and other emerging technologies. From offices in North America, Europe and Asia, ABI Research's worldwide team of experts advises thousands of decision makers through 70+ research and advisory services. Est. 1990. For more information visit www.abiresearch.com, or call +1.516.624.2500.