New York, Aug. 18, 2023 (GLOBE NEWSWIRE) -- Reportlinker.com announces the release of the report "Active Geofencing Market Size & Share Analysis - Growth Trends & Forecasts (2023 - 2028)" - https://www.reportlinker.com/p06483721/?utm_source=GNW
The Active Geofencing Market size is expected to grow from USD 1.47 billion in 2023 to USD 4.19 billion by 2028, at a CAGR of 23.23% during the forecast period (2023-2028).
The active geofencing market is witnessing growth due to increased use of spatial data, improved real-time location technology, and higher adoption of location-based applications among consumers globally.
Key Highlights
Geofencing is a location-based service used by various end users in which an application or software uses technologies such as GPS, PFID, Wi-Fi, or cellular data to trigger a pre-programmed action when the specific device enters or exits a pre-defined virtual boundary in a geographical location which is known as a geofence.
The active geofence is used in various end-user industries, such as BFSI, defense, government, healthcare, retail, and many more, for uses such as marketing, user engagement, IoT, real-time location tracking for on-demand services, asset tracking, health and safety, and many more.
The advancements in active geofencing have increased with technological flexibility and functionality. Trends, such as mobile marketing, focal clustering, autonomous cars, increasing adoption of BYOD, etc., are driving the market’s growth. Thus, the market studied is expected to witness steady growth, with the high growth coming from market players.
The rising concerns and regulations related to location tracking can threaten active geofencing technology. Moreover, the implementation of active geofencing solutions is being restrained due to the lack of a regulatory body on privacy and data collection in various regions.
The COVID-19 pandemic resulted in an upsurge in adopting active geofence technology in various applications such as healthcare, industrial manufacturing, and many more. For instance, various companies needed an application to identify the staff on their premises and communicate with them directly and instantly. Active geofencing has played a crucial role in ensuring that immediate, targeted communications are delivered during a crisis.
Active Geofencing Market Trends
Retail Segment to Witness Significant Growth
Active geofencing enables retailers to recognize customers within a predetermined radius around a specific location and send them customized messages and special offers designed to encourage them to walk into the store and make a purchase. Additionally, with the advent of digitization across the retail sector, the demand for active geofencing is rapidly increasing in the retail industry. Further, active geofencing allows retailers to gain real-time insights into customers’ behavior and places where they are most likely to participate in certain activities. This data helps retailers target ads with precision and allows them to adapt their marketing strategy based on real-time consumer behaviors.
Further, market vendors are introducing innovative solutions to deliver more precise, relevant, and personalized messages at the right time and place for retailers. For instance, in August 2022, Alpine IQ, the leading data and marketing solutions provider for cannabis Retailers and Brands, expanded its suite of omnichannel messaging tools to include geofence messaging. This technology enables geofencing by using a customer’s latitude and longitude coordinates when using the Retailer or brand’s custom-built Alpine IQ native app to determine their location.
Moreover, in April 2022, fuel/convenience store operator Quality Oil announced the deployment of the Swipeby geofencing-based curbside pickup platform at five select locations of its Quality Mart banner in the Winston-Salem, N.C. market. The Swipeby platform is designed to help small-to-medium-sized convenience and food service retailers compete with larger, food-oriented drive-thru retailers by providing a geofenced "virtual drive-thru"solution. In addition to enabling convenience store retailers to seamlessly fulfill curbside pickup orders when customers arrive, the solution also allows users to acquire customer delivery data they can leverage to drive marketing efforts with existing and potential customers.
Further, in the future, combined with active geofencing and advanced technologies such as augmented reality (AR), as more mobile devices become wearables, customers expect a more digital-first, personalized shopping experience. This will further boost the adoption of active geofencing in retail over the forecast period. In addition, growing adoption among retailers for the promotion of their offers and marketing provides a promising future for the growth of the active geofencing market in the retail industry over the forecast period.
For instance, according to snap inc, according to a recent analysis on the trends that will determine the future of commerce, by 2025, around one-third of US buyers would have utilised AR-powered devices when purchasing things online. When purchasing online, AR technologies allow for virtual product browsing. According to the report, while the predicted use of AR was as high as 45% in countries such as Saudi Arabia and the United Arab Emirates, it was far lower in Europe. The use of AR in retail would create a opportunity for the studied market to grow.
North America is Expected to Hold the Major Share of the Market
North America is witnessing significant investments and innovations for Active Geofencing in various end users such as Healthcare, Transport, logistics, BFSI, defense, and many more. The market is driving toward the integration of spatial data and real-time location technology in the region. Moreover, most companies in the BFSI, retail, and transportation and logistics segments, which may use active geofencing, are in this region. In addition, North America has one of the most developed economies in the world in the form of the United States and Canada. It is also leading the market due to the region’s robust communication and internet infrastructure.
Further, owing to the broad adoption of digital technology and the growing need for business intelligence tools across various businesses, there has been increased adoption of automation tools that adopt various geofencing solutions. Active geofencing services and real-time location systems provide manufacturers with tools such as real-time object tracking, process tracking, and personnel tracking. With large manufacturer concentrations in the country, the demand for these solutions is high. The increased use of LBS in healthcare is also a driving factor for the market’s growth. The healthcare industry in the United States is booming and is adopting automation and IoT technologies quickly.
In the healthcare sector, these services offer reliable and effective solutions, including patient tracking, process tracking, and other features. With the increasing demand for high-quality healthcare, the industry has seen an elevated demand for these services. LBS is increasingly incorporated in healthcare to monitor patients, staff, and valuable medical equipment in case of emergency. Such applications are increasing in the country, owing to the existing infrastructure to support such developments. Many retail companies increasingly use active geofencing across the region to enhance customer loyalty through mobile offers and promotions. This can also help retail owners understand where customers go before and after they visit a particular shop.
The players in the market are developing new solutions to cater to a wide range of needs of customers. For instance, in May 2022, Geofencing, an artificial geographical boundary, is being tested by Ford Motor Co. in connected car technologies, which could eliminate the need for speed limit signs. Ford’s Geofencing Speed Limit Control system may assist drivers in avoiding unintentionally receiving speeding tickets. In addition, it may enhance the aesthetics of the roadside and potentially make streets safer for pedestrians and other drivers.
Further, in February 2022, Location Data Startup Radar announced the closure of series C funding of USD 55 million. Insight Partners led this round of funding along with participation from existing investors such as Accel, Two Sigma, and Heavybit. The funding aims to develop ways to help brands become more relevant with how they use location information. The penetration of active geofencing technology is expected to increase significantly during the forecast period due to the heavy investment made by various players in active geofencing technologies.
Active Geofencing Industry Overview
The active geofencing Market is moderately fragmented owing to the presence of large vendors like Bluedot Innovation Pty Ltd, Infillion Inc. (GIMBLE), IBM Corporation, Microsoft Corporation, Radar Labs Inc., etc. The key players are involved in various strategies, such as acquisitions and partnerships, to improve their market share and enhance their profitability in the market studied.
In August 2022, Olo, an on-demand restaurant commerce platform, partnered with Radar, a geofencing tool. The improved integration and strategic relationship will provide trip-tracking functionality, which will improve the digital order fulfillment process and off-premise experience for Olo and Radar’s major restaurant brands and their customers. Radar uses advanced geofencing technology to automatically transfer orders placed through a restaurant’s bespoke app, powered by Olo, to a brand’s kitchen when customers are near to arriving, ensuring that the food is available when it is needed.
In August 2022, Asiaray targeted on-the-go audiences by activating Gojek’s "GOTOMALLS"campaign on DOOH screens around TEL. Asiaray Media Group, based in Hong Kong, is known for its massive transport advertising media management, which includes airports, metro lines, and high-speed rail lines. The firm recently completed a programmatic DOOH (pDOOH) campaign in collaboration with independent pDOOH ad-tech company Hivestack.
Additional Benefits:
The market estimate (ME) sheet in Excel format
3 months of analyst support
Read the full report: https://www.reportlinker.com/p06483721/?utm_source=GNW
About Reportlinker
ReportLinker is an award-winning market research solution. Reportlinker finds and organizes the latest industry data so you get all the market research you need - instantly, in one place.
__________________________
