Introduction
The Global Geofencing Market Trends expect to support the growth by the rising demand for location-based services (LBS). It is also likely to increase the penetration of mobile devices. The IT industry is facing a notable increase in the need for LBS over the past five years for real-time. Location-based navigation and tracking and for gathering market intelligence. The steady growth of the mobility trend among enterprises will also facilitate favorable adoption of Global Geofencing Market Trends technology over the forecast period.
As businesses are becoming increasingly aware of the benefits of location-based monitoring and management of mobile resources. This will increase the process and workforce productivity. Hence, Geofencing solutions are expected to witness rapid acceptance and demand. Above all, The Global Geofencing Market Trends accounted for USD 458.3 Million in 2016. It is projected to reach USD 1,825.3 Million by 2022. This will be at a Compound Annual Growth Rate (CAGR) of 27.5% during the forecast period.
Research Methodology In the global Geofencing market
The research methodology used to estimate and forecast the Global Geofencing Market Trends size began with the collection and analysis of data. This started through vital vendor revenues. The process began through secondary sources, including annual reports and press releases. This also included investor presentations, technology journals, certified publications—also, articles from recognized authors, directories, and databases.
International Journal of Computer Networks and Wireless Communications (IJCNWC). It is the American Marketing Association, World Wide Journal of Multidisciplinary Research and Development. Others include the Mobile Marketing Association and Telecommunications Industry Associations. The vendor offerings were also taken into consideration to determine the market segmentation. Moreover, the bottom-up procedure was employed to arrive at the overall market size. The Global Geofencing Market Trends from the revenue of the key players and their market shares were brought to picture.
The market spending across all regions, in various verticals, was considered to arrive at the overall market size. After arriving at the overall market size, the total market was split into several segments and sub-segments. These were then verified through primary research. This was done by conducting extensive interviews with (CEOs), Vice Presidents (VPs), directors, and executives. The data triangulation and market breakdown procedures were employed. This was done to complete the overall market engineering process. This finally led to arrival at the exact statistics for all the segments and sub-segments.
Market Scenario In the global geofencing market
Major giants like Apple, Thumbvista, Pulsate, and Bluedot Innovation is investing in the Global Geofencing Market Trends.This is due to increasing demand for Geofencing solutions across various industry verticals. There is an increase in demand for location-based applications among consumers. This is one major factor driving the growth of the Global Geofencing Market Trends. The rise in the use of spatial data and analytical tools are other significant factors. Ease of integration and deployment of Geofencing solutions is driving the growth of the Global Geofencing Market Trends.
Major Market Players
North America region holds the largest market share of the global Global Geofencing Market Trends. Europe and the Asia Pacific regions follow. The U.S. and Canada mainly dominate the North American Region. Analytical tools and Spatial data in the area are responsible for market growth. The part also has a well-established infrastructure. This allows the implementation of advanced technologies. The increasing popularity and the rise in the adoption of business intelligence are major driving forces.
Global Geofencing Market Trends by Type
Fixed geofencing held a significant share of the overall market in 2016. This was the result of the widespread implementation of static geofences for multiple applications. This includes advertisements, recreational activities, and asset monitoring. However, mobile geofencing allows enterprises to turn the collected situational data into actionable insights. This gives them the ability to run retargeting campaigns effectively. Dynamic geofences send out alerts to the users. When certain situations of their interests are met they get alerts. Due to these capabilities, the mobile Global Geofencing Market Trends is expected to show promising growth.
Global Geofencing Market Trends by component
The product segment dominated the Global Geofencing Market Trends in 2016. This happened owing to the significant adoption of these solutions by different industries. This includes transport and logistics, retail, automotive, and public sectors. With companies expanding the solution capabilities in terms of analytics functions and integration with other similar location-based services, the product market holds a significant share of the overall market. However, the geofencing services market will exhibit the fastest growth between 2017 and 2024, owing to the constant need for professional and managed services to efficiently operate and manage the sophisticated systems.
The promotion and advertising solutions industry held a dominant position with a market share of over 30% in 2016. This significant market share had attributed to rising awareness among enterprises about the utility of proximity-based marketing campaigns in increasing the effectiveness of advertising functions. The technology helps in targeting customers with real-time promotional messages, once they enter the proximity of a business establishment. On the other hand, this enhances the ROI of marketing for these enterprises.
Within the service market, API management services held the largest market share in 2016. This happened due to the large scale installation of geofencing solutions over the past five years. The adoption of API management services has been significant since the inception of the technology as these solutions need to be integrated with several existing systems for different business processes. However, with the rapid advancement and adoption of cloud computing, managed services will witness high adoption over the forecast period. Moreover, these services enable efficient management of cloud-based deployment and maintenance of geofencing solutions.
Global Geofencing Market Trends by Technology
GPS technology will play a significant role in the widespread adoption of geofencing systems over the next five years. By installing GPS vehicle tracking systems, technology helps in protecting the most valuable assets and vehicles. Using mobile devices such as a smartphone or a tablet, fleet managers can monitor the location of vehicles in real-time. This enables them to take immediate action when a particular car deflects from a pre-defined route. However, such advanced capabilities boost the adoption in the transport and logistics industry.
Global Geofencing Market Trends by Application
Transportation and logistics segment holds a dominant share in the Global Geofencing Market Trends on account of large scale implementation, managing large fleets across different geographic areas. However, it is because of its associated benefits such as real-time coordination, higher security, and improved planning of carrier movement and deliveries.
Due to the increasing application of the technology for strengthening proximity marketing campaigns by retailers, the retail market is expected to exhibit the fastest growth between 2017 and 2024. With the advent of technology, retailers are increasingly using digitization to retain and increase their loyal customer base. However, for short-term initiatives such as promotional events, retailer’s set-up geofences to enhance their customer engagement, and attract more customers towards their stores.
Global Geofencing Market Trends by Region
To begin with, North America will dominate the Global Geofencing Market Trends between 2017 and 2024 owing to the availability of excellent GPS infrastructure. Simultaneously, the brick-and-mortar retailers in the region are aggressively implementing proximity marketing strategies to compete against e-commerce business models. Hence, the adoption will grow significantly over the forecast period.
However, the Asia Pacific might see fast growth due to increasing awareness over the timeline. Additionally, location-based services might increase the efficiency of fleet management systems and marketing campaigns.
Target Audience in Global Geofencing Market
- Geofencing solution providers.
- Geofencing service providers.
- System integrators.
- Consultancy and advisory firms.
- Managed service providers and middleware companies.
- Governments.
- Wireless infrastructure providers and service providers.
- Sensor, location, and detection solution providers.
Global Geofencing Market Trends by Service
- Deployment and integration services.
- Support and maintenance services.
- Consulting and advisory services.
- API management and testing services.
Global Geofencing Market Trends by Vertical
- Transportation and logistics.
- Retail.
- Healthcare and life sciences.
- Industrial manufacturing.
- Media and entertainment.
- Government and defense.
- Banking, Financial Services, and Insurance (BFSI).
- Others (agriculture, education, construction and engineering, and energy and utilities).
Market Segmentation Analysis
According to the organization size, this market trend has various segments such as Small, Medium-sized(SMEs), and large enterprises. On the other hand, this market trend also covers the area of transportation and logistics based on- segments; retail; healthcare and life sciences; industrial manufacturing; media and entertainment; government and defense; Banking, Financial Services, and Insurance (BFSI); and others (agriculture, education, construction and engineering, and energy and utilities).
Industry applications of Geofencing solutions in the transportation and logistics vertical include –
- asset monitoring,
- speed limiting,
- fleet and freight management,
- and commercial transportation management.
Conclusion
The major factors driving the growth of this market are-
- the penetration of new technologies,
- the rise in the use of spatial data analytical tools,
- the rise in Business Intelligence (BI),
- the need to track the competitors’ marketing.
Lastly, Geofencing advertising and marketing solutions are leading at an excellent level. Various enterprises and business organizations are adopting these solutions for location-based marketing. This is known as proximity marketing and is emerging as a critical strategy for marketers. However, with the help of location-based marketing, marketers are connecting with consumers through the location of their mobile devices. All the more this helps improve consumer engagement and build brand equity to strengthen customer loyalty and enhance customer service.