Location-based Services:

Questions, Answers & Examples for Location-based Services

Location-based services are mobile services which, with the help of position-dependent data, provide the end user with at that moment and location relevant content on the smartphone or other services

Location-based services are used in many industries, such as retail/stationary trade, transport, tourism and as a component of successful digitization in industry 4.0.

The basic condition for the provision of location-based services is the positioning of the end user. Various technologies are available for this purpose, which can be used individually or in combination, depending on requirements. A main distinction is made here between radio technologies (e.g. Bluetooth or WLAN) and positioning technologies based on light (e.g. IPS). In addition, the end user needs a mobile device. And in most cases a corresponding app. The so-called Physical Web from Google is a special case.

Indoors, other techniques are used than outdoors, where in most cases GPS positioning is possible. Indoors, GPS positioning is limited or not possible at all.

94 percent of the 14- to 49-year olds in Germany own a smartphone. 


If only a certain area or zone is defined, for example at a trade fair or amusement park, in which a user is to be addressed, one speaks of geofencing. In the food trade, such a broad positioning is of course not sufficient. There are technologies with which a position can be determined to an accuracy of 30 centimetres. On the basis of such positioning, customers in the retail trade can even be guided to the product on the corresponding shelf.

If you are looking for a location-based services provider, you should make sure that it is not limited to one technology.

Conversely, service providers receive very accurate user movement data. This data is used to optimize marketing measures or to optimize workflows or logistical processes.