Market Trends of France Location-Based Services Industry
The Increasing Adoption of Smartphones and Other Mobile Devices Driving the Market Growth
- As more people access smartphones, they use them to access location-based service applications, such as navigation, location-based advertising, and social networking. According to the Research Center for the Study and Observation of Living Conditions and Regulatory Authority for Audiovisual and Digital Communication, the share of people in France who owned a smartphone increased from 84% in 2020 to 87% in 2022. Several factors, including the increasing affordability of smartphones, the growing availability of high-speed mobile internet, and the rising popularity of mobile apps, are driving this growth in the number of smartphone users.
- The Location-based services use smartphone location data to offer personalized and contextual experiences. Businesses are leveraging this data from smartphone users' locations to send targeted offers, recommendations, and notifications based on current areas enhancing the overall experience.
- As of 2022, nine in ten French teenagers aged 12 to 17 possessed a smartphone, whereas 97% of respondents between 18 and 39 had one. Moreover, the share of seniors aged 55 years and older using smartphones has increased.
- The increasing adoption of smartphones and mobile devices has created a significant user base that relies on location-based services for various purposes, ranging from navigation and local search to personalized recommendations and social interactions. As smartphones evolve and become more integral to people's lives, the demand for location-based services in France is expected to grow.
Growth of E-commerce Industry is Witnessing Market Growth
- With the growing population, the e-commerce market in France has been growing rapidly, with active internet users spending more time on social media platforms. According to Regulatory Authority for Electronic Communications, Posts, and Press Distribution, in 2022, the share of people in France who used the Internet every day increased to 82%.
- As e-commerce companies heavily rely on efficient delivery and logistics operations to meet customer demands, location-based services become essential for them in optimizing delivery routes, tracking shipments in real-time, and providing delivery in the estimated time, which enables e-commerce businesses to enhance their operational efficiency and provide a seamless delivery experience.
- In 2022, more than eight out of ten internet users in France bought online, which is 77% of the total population. This sharp growth in online shopping adoption over the previous years is primarily due to the pandemic, which led the country to use e-commerce for its purchases.
- Moreover, e-commerce companies increasingly use location-based services to target customers based on location. By utilizing location data, online businesses deliver personalized recommendations and form location-specific marketing strategies, offers, and promotions. Thus, the continuously evolving e-commerce industry is expected further to increase the demand for location-based services in the country.