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Global Location-Based Advertising Market to Reach $6.2 Billion in 2015

22 июня 2011

Location-based advertising will generate more than 60 percent of total location-based services revenue in 2015, according to a new report from Pyramid Research.

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 (including search, display and messaging) are all growing," according to Jan ten Sythoff, Analyst at Large for Pyramid, "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 (such as Poynt and Yelp), local business advertising specialists (such as Yellow Pages) and vertical aggregators (such as toptable and HotelBooker)," he adds.

North America is the largest region throughout the forecast period because of a high GPS penetration of handsets. Similarly in Japan and South Korea, operators have been offering services using location information for several years. Europe has lower GPS penetration: Navigation services are now beginning to grow, but privacy and health concerns mean that service adoption is much lower. Middle East and Latin America are regions where smartphone and GPS adoption is much lower, and so, consequently, is the adoption and use of location-based services.

Источник: Cellular news

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