Location-based services set to drive mcommerce

Location-based services (LBS) are set to enjoy a popularity spurt as new research reveals two thirds of the world’s mobile users plan to use them in the future.

TNS’s annual Mobile Life Study surveyed mobile use among 48,000 people in 58 countries and found 19% are already using LBS whilst 62% are aspiring to do so in the future.  

According to the findings, navigation with maps and GPS is currently the most popular motivation behind LBS uptake with 40%. However, the survey showed findings of more diverse activities as 13% of social network users ‘checking-in’ to sites such as Foursquare or Facebook, a 50% increase from last year.

The report showed that those already using LBS are using it to find friends nearby (22%), find restaurants and entertainment venues (26%) or check public transport schedules (19%) and book a taxi (8%).

Over 10% are using the feature to share their location with brands and retailers in return for offers and discount, the survey showed, whilst one in five mobile users claimed to find mobile advertising interesting if offers them a deal near their current location.

James Fergusson from TNS said: “We are really starting to see location based services ‘come of age’. People are realising that sharing their location often offers some kind of reward in terms of a discount or deal. It is the combination of time and context – directing people towards a deal when they can easily redeem it – that unlocks a powerful tool for marketers to develop precise targeting approaches.”