According to stats, the global Bluetooth beacon market is expected to grow at a remarkable rate to reach a substantial value by the end of the assessment year. The Bluetooth beacon market witnessed a sluggish growth during the forecast period 2012-2016. However, it attracted enormous steam after 2016 and is anticipated to grow at a healthy CAGR of 91.4% throughout the period of assessment that is 2017-2025. By the end of the assessment year, the global market for Bluetooth beacons is predicted to reach an enormous valuation of more than US$ 37 Bn from a value of US$ 207 Mn in 2017. This massive growth can be credited to several key aspects such as consistency in growth of smartphones, implementation of beacons in retail stores to engage customers and related technologies and growing sue of beacons in industries for improvement of security. As per the research, it has been found that the key players involved in this market can emphasize on expansion their reach in North America and Asia Pacific region over the next couple of years.
A surge in organized retailing such as specialty stores, department stores, hypermarkets, supermarkets, cash and carry stores, and discounters is increasing Bluetooth beacons market growth. This is due to usage of Bluetooth beacons in retail industries for delivering customers with product information, deals, flash sales or to simply hasten the checkout process with help of contactless payment systems. Multichannel marketing and Product distribution have become key trends in the sector of retail and this has driven the Bluetooth beacons market growth, as manufacturers are forced to develop software for beacons. There is high demand of Bluetooth Beacons from airports and ground transit hubs as they facilitate with the delivery of instant notifications related to flight delays, gate and platform, departures information to passengers.
Some of the factors that hamper the market growth include increasing concerns regarding security and privacy and a lack of scalability. Another challenging issue against industry is interoperability issue. However, the rising use of Bluetooth beacons in the healthcare sector is supporting it to emerge as an opportunity in the market. The enhanced range and improved security is also anticipated to create a positive outlook of the global Bluetooth beacons market.
Asia-Pacific region has exhibited higher potential in the technological growth. In terms of revenue generation, it ranks at third position. The Bluetooth beacon market in Asia-Pacific region has attained a value of US$ 40 Mn in 2017 and is predicted to attain higher valuation that is US$ 8 Bn by the end of the forecast period.
Asia-Pacific, mainland China achieved the tag of highest contributor in the Bluetooth Beacon Market, followed by Japan. In technological front, eddystone segment is expected to grow at higher pace, with a CAGR of 96.9%. In terms of market value, iBeacon technology segment is projected to be the largest segment and is expected to grow at a significant rates in the upcoming years. The non-retail and retail segments in the end-user category have significant contribution. All these segments are rapidly adopting Bluetooth beacon and iBeacon technology. The retail segment is more dominant with respect to market value whereas the Bluetooth beacon and iBeacon technology in non-retail is growing at a higher pace.
Some of the key market players operating the bluetooth beacons market are Estimote, Inc., BlueCats, Kontakt.io, Qualcomm Inc., Beaconinside GmbH, Blesh, Radius Networks, Inc., Bluvision, Inc., Onyx Beacon Ltd., Polestar and Quuppa Oy. The market have cut-throat competitive edge and characterized by both hardware and software providers presence.
By Technology (iBeacon, Eddystone),
By End-use (Retail, Travel & Tourism, Healthcare, Financial Institutions),
Regional Overview, 2018-2028 (USD Billion)
- North America
- Rest of Europe
- Asia Pacific
- Rest of Asia-Pacific
- Middle East and Africa
- South Africa
- Rest of Middle East and Africa
- South America
- Rest of South America
In 2015, it is predicted that beacon messages will reach a retail sales worth 4.1 Billion U.S. dollars. In 2016, the beacons technology market was valued at 519.6 million U.S. dollars. It was estimated to increase at a CAGR of 59.8% to reach about 56.6 billion U.S. dollars in size in 2026.
Compared to women, men tends to more inclined towards purchasing based on personalized advertising that they see on an in-store display or beacon. As in a survey, 91 % male who are between 18 and 34 years and uses internet responded that they get influenced by personalized in-store advertising. However, compared to men, only 76% women internet users get influenced by in-store beacon tech. Near about 42% of companies are already engaged in proximity marketing (like geolocation and beacons). Out of all remaining companies, 39% admitted to have plans of using proximity marketing in the next three years. Only 18.6% say no to such plans. The forthcoming plans for beacon technology integration is trailing in purchasing behind in-store Wi-Fi (54.3%), scan-and-go (59.3%) in-store bookmarking (62.8%) and online basket comparison (42%).
46% of retailers have launched beacon programs in 2015, up from 15% in 2014. 71% retailers are able to track and understand customers’ buying patterns using beacons. 65% feel they are able to target customers down to the aisle level. 59% feel customers are more engaged in the store. 53% retailers feel they are able to create more relevant and compelling offers in the store. 24% retailers saw an increase in sales. 24% retailers saw an increase in offer redemption, 82% of customers make purchase decisions in-store. By 2018, the beacon installed base will consist of 4.5 million active beacons overall, with 3.5 million of these in use by retailers. Half of the top 100 retailers in the US tested beacons in 2014, this was expected to increase to one-third of their store locations by the end of 2015. Globally, it’s estimated that 570 million Android and Apple smartphones are compatible with Bluetooth low energy (BLE), the signal used by beacons to trigger smartphone apps. This is one-third of the smartphone installed base.