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AIROI - Artificial Intelligence Return on Invest: The AI strategy for decision-makers and managers

21 October 2025

Location services: The underestimated key resource for your success

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In today's digital age Location services play a crucial role in shaping our everyday lives and promoting business. These technologies make it possible to determine the exact location of a user and offer services based on this information. Location services utilise the Global Positioning System (GPS), mobile networks and mobile computing technologies to determine and transmit location information[1]. In this article, we will look at the many benefits and applications of location services and how they can support your business.

## Location services: Technological basics

Location services, also known as location-based services (LBS), are software services that are based on knowledge of the geographical location of a mobile device. This technology integrates data from GPS satellites, mobile phone masts and beacons to offer personalised services[3]. An important aspect is the distinction between pull-based and push-based services. Pull-based services require the user to actively perform an action in order to receive information. One example is the use of Waze to find the way to a specific destination. Push-based services, on the other hand, send the user relevant information based on their location without them explicitly asking for it[3].

### Possible applications

Location services have a variety of applications in different industries. In healthcare, they can be used to monitor patients or provide emergency assistance[1]. In entertainment, they promote immersive experiences through location-based games and augmented reality applications[1]. In the workplace, they optimise the efficiency of field staff through location-based time tracking and resource management[2].

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Location services in the economy

The integration of location services into business processes can offer significant benefits. Companies can increase footfall and attract new customers through targeted advertising and personalised offers[4]. Location services also enable more efficient reporting and labour allocation by accurately tracking employee locations and generating automated reports[2].


BEST PRACTICE at LemonDrops (name changed due to NDA contract)
illustrates the use of location services to increase customer traffic in their cafés. By targeting advertising to customers located nearby, they were able to increase footfall by 20 %. In addition, location tracking enabled more efficient delivery logistics by sending vehicles on their way in an optimised way[2].

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Important aspects of location services

Another advantage of location services is the ability to collect feedback from customers. Apps such as Foursquare use location information to give users the opportunity to leave reviews and tips[4]. This data helps companies to improve their services and develop targeted marketing strategies.

## Location services and data protection

A critical point when using location services is data protection. Most operating systems make it possible to control location services and determine which apps are allowed to access the location[5]. This is particularly important as location data is often collected and analysed in combination with other data to create detailed user profiles[7].

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Location services: potential and challenges

The advancement of location technology, especially AI-powered systems, offers great opportunities to improve logistics and transport. These technologies enable location data to be analysed and used more precisely in real time, which significantly improves the user experience[10].

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Practical applications of location services

One example of the successful integration of location services is small and medium-sized enterprises, which can effectively address local target groups through targeted advertising and personalised offers. A bakery, for example, can send location-based push messages on Sunday evening to get rid of leftover bread[6].

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Conclusion: location services as a future success factor

Overall, location services offer enormous potential for companies and users. By integrating these technologies, businesses can increase their efficiency and target customers more effectively. In addition, location services support the development of personalised experiences and promote social connections. The future development of location services will be strongly influenced by AI-supported systems, which will lead to even more precise and efficient services.

My analysis

Location services are a crucial component in the modern technology landscape. They offer companies the opportunity to better understand and target their customers. While they offer numerous benefits, it is important to ensure data privacy and the secure use of location data. The integration of AI will make location services even more important in the future.

Further links from the text above:

What are location services?
Location tracking of field and frontline workers
What is location-based service (LBS)?
Computerweekly: Location-based service
What the location data is all about

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