| Study Period | 2019 - 2030 |
| Base Year For Estimation | 2024 |
| Forecast Data Period | 2025 - 2030 |
| Historical Data Period | 2019 - 2023 |
| CAGR | 12.88 % |
| Market Concentration | High |
Major Players*Disclaimer: Major Players sorted in no particular order |
Middle East Location-based Services Market Analysis
The Middle East Location-based Services Market is expected to register a CAGR of 12.88% during the forecast period.
The increased adoption of smartphones and mobile devices, e-commerce, and the rising demand for location-based applications in transportation and government sectors drive the demand for location-based services.
- The rising penetration of mobile devices and smartphones in the middle east is driving the LBS market. LBS devices offer various features, including navigation, mapping, and local search. The major services offered by location-based services include mapping and navigation. In the middle east region, companies including HERE technologies, google Maps, and others offer route planning, mapping, and real-time traffic information.
- Over the last few years, location-based services (LBS) have become increasingly popular. Many people use it to find the closest restaurant or inform neighboring shoppers about specials. LBS enables businesses to keep customers informed about their orders while providing users with access to current and pertinent information about their surroundings. These LBS applications provide a dynamic user experience, offering a practical way for companies to communicate with customers.
- The region is witnessing smart city initiatives, which further drive location-based services. The smart city projects include location data for traffic management, parking solutions, and emergency services. IoT devices and sensors also rely on location-based services to enable applications within smart cities.
- For instance, According to the Saudi Press Agency (SPA), Saudi Arabia's Ministry of Municipal and Rural Affairs has started the "application of smart city ideas" initiative as part of the municipal transformation initiatives stemming from the National Transformation Program 2020 and Vision 2030. The program intends to improve urban development in the country by implementing the smart city initiative to raise people's contentment and strengthen city competitiveness and urban sustainability.
Middle East Location-based Services Market Trends
Increased adoption of smart phones, social media and location-based app is expected to drive the market
- Smartphones offer constant connectivity to internet users to access location-based services with the help of built-in GPS, and smartphones can offer precise location allowing users to leverage various location-based applications. Moreover, smartphones can be used to deliver targeted advertising based on the user's location.
- The region is witnessing increased active mobile phone subscribers; according to Telecommunications Regulatory Authority (UAE), the total number of active mobile phone subscriptions in the United Arab Emirates was about 18.7 million as of March 2022, which was approximately 17 million as of March 2021. The rising penetration of smartphones is expected to drive the location-based services market in the region.
- Moreover, the increasing social media penetration has increased the adoption of e-commerce in Middle Eastern countries, which is driving the demand for LBS in the region. According to DED (Dubai), in the United Arab Emirates (UAE), e-commerce sales were expected to be approximately USD 27 billion in 2022. Between 2018 and 2022, e-commerce sales in the UAE were predicted to increase by an average of 23 percent annually.
- The rising social media users are boosting the usage of LBS applications and services. For instance, many LBS apps have social media integration which allows the user to share their location with their friends. This helps to increase the visibility of LBS apps and services and helps attract new users.
- In April 2023, Locate2u's Innovative software platform aimed to improve customer experiences and streamline last-mile delivery and home services in the UAE. The platform's real-time GPS tracking feature provides customers with up-to-date information on the whereabouts of their packages or service personnel, ensuring a seamless and convenient experience.
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The Hospitality segment is Expected to Drive the Market Demand
- The Middle East is a popular tourist destination, and the rising number of tourists is contributing to increasing demand for LBS applications that can help users in finding restaurants, hotels, and other travel-related businesses.
- Hotels and restaurants in the region are using LBS applications to help customers find and book tours, get directions, view menus and mark reservations. The region is witnessing a significant increase in the hotel occupancy rate in Middle east countries. According to Colliers International, a real estate company, the expected yearly growth of the hotel occupancy rate in Abu Dhabi was 17 percent in 2022. This was a substantial increase from the decline of 17% in the year 2020.
- Moreover, large hotels and resorts can leverage indoor mapping and navigation services to help users navigate complete indoor locations. LBS offers interactive maps, and guidance to rooms, amenities, and other facilities within the property.
- In December 2022, URBI, a Geotech company, announced the launch of a platform to accelerate business growth and city navigation in the Middle East. The company offers various services and products that support collection, analysis, navigation, and certainty to business decision-makers and consumers. Such developments are further accelerating the deployment of LBS in the middle east.
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Middle East Location-based Services Industry Overview
The Middle East Location-based Services market is highly competitive, with the presence of major international players. During the forecast period, it offers expansion opportunities, which is anticipated to increase market competitiveness. The market has an observable level of consolidation, with a few firms controlling a sizable portion.
In May 2023, Pointr, the indoor positioning and mapping company, announced the launch of single-site indoor location systems at the prestigious Reem Mall in Abu Dhabi, United Arab Emirates. The Mall's indoor positioning system allows the app users to find their position within the Mall quickly, browse interactive maps, and find ways to a large number of points of interest.
In March 2023, Comtech announced that Al Yah Satellite Communications Company PJSC (Yahsat) had granted Comtech a USD 29 million contract to provide communications technology and location services to be used with Yahsat's Thuraya 4-NGS satellite constellation.
Middle East Location-based Services Market Leaders
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Google LLC
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HERE Technologies
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TomTom International BV.
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MapQuest
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ALE International LLC
- *Disclaimer: Major Players sorted in no particular order
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Middle East Location-based Services Market News
- February 2023: Aramex, logistics and transportation solutions provider, announced the launch of delivery drones equipped with multi-directional sensors capable of operating multiple and continuous long-range flights in different environments. Such trends are expected to drive the demand for location-based services in the region.
- October 2022: Dubai Municipality signed two contracts with Ordnance Survey, Great Britain's national mapping agency, to benefit from global geospatial expertise. Decisions made with location data intelligence were expected to provide the infrastructure and services the population needs.
Middle East Location-based Services Industry Segmentation
Location-based services (LBSs) are computer or mobile applications that provide information based on the device's location and the user, primarily through mobile portable devices, such as smartphones and mobile networks.
Middle East location-based services market is segmented by component (hardware, software, and services), location (indoor and outdoor), application (mapping and navigation, business intelligence and analytics, location-based advertising, and social networking and entertainment), end-user (transportation and logistics, IT and telecom, healthcare, government, BFSI, hospitality, and manufacturing). The market sizes and forecasts are provided in terms of value (USD) for all the above segments.
| By Component | Hadware |
| Software | |
| Services | |
| By Location | Indoor |
| Outdoor | |
| By Application | Mapping and Navigation |
| Business Intelligence and Analytics | |
| Location-based Advertising | |
| Social Networking and Entertainment | |
| Other Applications | |
| By End-User | Transportation and Logistics |
| IT and Telecom | |
| Healthcare | |
| Government | |
| BFSI | |
| Hospitality | |
| Manufacturing | |
| Other End-Users |
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Middle East Location-based Services Market Research Faqs
What is the current Middle East Location-based Services Market size?
The Middle East Location-based Services Market is projected to register a CAGR of 12.88% during the forecast period (2025-2030)
Who are the key players in Middle East Location-based Services Market?
Google LLC, HERE Technologies, TomTom International BV., MapQuest and ALE International LLC are the major companies operating in the Middle East Location-based Services Market.
What years does this Middle East Location-based Services Market cover?
The report covers the Middle East Location-based Services Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Middle East Location-based Services Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
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Middle East Location-based Services Industry Report
Statistics for the 2025 Middle East Location-based Services market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Middle East Location-based Services analysis includes a market forecast outlook for 2025 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.
