I have been following the Location based services industry for the last couple of months and something was missing from my different interactions with industry players and analysts is “The big picture”. Every new player wants to be so special and different that they forget the need to be attached to an ecosystem to make the model viable for everyone.
As the tradition needs to continue, I start my blog post with a question : What is really the LBS (location based Services) Ecosystem and what is the big picture?
Location Based Ecosystem Infographic
After analyzing different examples and models, I came up with 6 Strategic layers for an LBS strategy. Also, to make it more visual, I tried to summarize it into one image.
1 | Geo-Data or Geoinformation
“Geoinformation is the abbreviation for geographic information. Geographic information is created by manipulating geographic (or spatial) data (generally known by the abbreviation geodata) in a computerized system. Systems can include computers and networks, standards and protocols for data use and exchange between users within a range of different applications.” More @ wikipedia
Without Geo-information (listings, phone numbers, reviews..etc), the interaction is impossible. This input is the most important one, and it represents the Raw data for any LBS app.
Here’s also a blog post to read about Location Data:Hoping Location Data Becomes an Open Commodity
2 | Location Based Business Rules (Geofencing)
“A Geo-fence is a virtual perimeter for a real-world geographic area. A geofence could be dynamically generated – as in a radius around a store or point location – or a geofence can be a predefined set of boundaries -like school attendance zones or neighborhood boundaries. Custom-digitized geofences are also in use. When the location-aware device of a location-based service (LBS) user enters or exits a geo-fence, the device receives a generated notification. This notification might contain information about the location of the device. The geofence notice might be sent to a mobile telephone or an email account. Geofencing, used with child location services, can notify parents when a child leaves a designated area.” more @ Wikipedia
3 types of geo-fencing (Set-up boundaries and alerts):
To discover more about geofencing, Visit WaveMarket Website @ Locationlabs.com
Talking about the future of location-based services with Wavemarket
3 | Interactions Layers | Declare your Presence
Now it’s time to interact with a Location, User and a product or service. One of those elements is Cheking-In or Social Check-in.
“Many social networking services, such as Foursquare, Facebook, Gowalla, and Brightkite allow users to “check in” to a physical place and share their location with their friends. Users can check in to a specific location by text messaging or by using a mobile application on a smartphone–the application will use the phone’s GPS to find the current location.Many applications have a “Places” button or tab where a user can see a list of nearby places into which the user can check in. If a location is not on the nearby places list, the user can add the location directly from the phone. Once a user has checked in, they have the option of sharing their location with friends in services such as Twitter or Facebook.” Source wikipedia
4 |Rewards & Loyalty programs
Loyalty programs are structured marketing efforts that reward, and therefore encourage, loyal buying behavior, in the LBS world. TopGuest.com and Shopkick models are really introducing an important feature in the mix to maximize the users add value
More to read here about Pepsi-Co experience : Pepsi rolls out multifaceted LBS mobile loyalty initiatives
5| Location Based analytics
How can we talk about location based marketing and enhance performance without having a strategy and tools to follow performance per location?
we covered in my last blog post the top 5 LBS analytics tools . see more here @ 5 Location Based Analytics Tools
6 |Transactions (NFC Chip)
Transactions : The most promising elements where other industries like banks and credit cards needs to jump-in. this new layer is now available because of the NFC chips that Google announced in the Gingerbread Phones and Apple in the Iphone 5
“Near field communication, or NFC, is a set of short-range wireless technologies, typically requiring a distance of 4cm or less. NFC operates at 13.56 MHz and at rates ranging from 106 kbit/s to 848 kbit/s. NFC communication always involves an initiator and a target: the initiator actively generates an RF field that can power a passive target. This enables NFC targets to take very simple form factors such as tags, stickers, key fobs, or cards that do not require batteries. NFC peer-to-peer communication is also possible, where both devices are powered.” wikipedia
Extra Read here NFC FORUM Website