Beacon Technology market is expected to surpass USD 25 billion by 2024. Beacons are small radio transmitters that transmit data to mobile devices present within a specific range. Beacons are being increasingly utilized in retail environments where they enable functions such as proximity marketing and mobile payment systems. Other than retail establishments, beacons are used in many other applications such as travel and tourism, banking and financial institutions, real estate, and healthcare facilities.
Beacons help retailers in creating and maintaining customer profiles which include their personal details, purchase history, and preferences along with their spending behavior related to products in the store. By creating databases including details about purchase patterns and spending behavior, prospective customers can be lured into making purchases by delivering specific coupons and offers. Such relevant and real-time information can largely assist in devising personalized marketing strategies for targeting the finest level of customer segments narrowed down to an individual customer.
The worldwide adoption of IoT technology is largely contributing to the growth of beacon technology market by facilitating different applications such as asset tracking, proximity marketing, in-door navigation, smart devices and smart home products. Increasing demand for location-based marketing modalities to deliver real-time marketing messages and bridge the gap between physical and online customer experiences is also boosting the market growth considerably. Moreover, growing government emphasis on developing smart cities is also a major driver favorably assisting the market growth.
Given the contextual and hyper-location capabilities of beacons, they are of a great value for travelers as well as for the players operating in the tourism industry. Hence, numerous airports around the world have deployed beacon networks to better serve their passengers.
The advent of Bluetooth 5 version of the core Bluetooth specification is expected to largely boost the adoption of beacons owing to the increased broadcasting capacity. In the last five years, increasing number of retailers are leveraging the technology to facilitate effective online retargeting and attribution by targeting customers with relevant advertisements and offers on their mobile devices.