Geofencing Market Report 2025

This report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market’s historic and forecast market growth by geography.

The geofencing market size has grown exponentially in recent years. It will grow from $2.73 billion in 2024 to $3.41 billion in 2025 at a compound annual growth rate (CAGR) of 24.7%. The growth in the historic period can be attributed to increasing demand for location-aware marketing, growing emphasis on personalized advertising, rising adoption of (internet of things) IoT devices, expanding use of smartphones and tablets, and surge in mobile app usage.

The geofencing market size is expected to see exponential growth in the next few years. It will grow to $8.14 billion in 2029 at a compound annual growth rate (CAGR) of 24.3%. The growth in the forecast period can be attributed to increasing focus on real-time location tracking, growth in demand for fleet management solutions, regulatory support for location-based marketing, emergence of hyper-local targeting strategies, and adoption of geofencing in smart cities initiatives. Major trends in the forecast period include expansion of geofencing applications, rise of indoor geofencing solutions, development of geofencing for security and surveillance, proliferation of hybrid geofencing solutions, and integration of augmented reality with geofencing.

The anticipated increase in mobile device penetration is poised to be a significant driver for the expansion of the geofencing market in the foreseeable future. Mobile devices, encompassing portable electronic gadgets designed for wireless communication and data transmission, are experiencing higher adoption rates driven by various factors including the popularity of social media platforms, messaging applications, the surge in e-commerce activities, and the availability of affordable data plans. Geofencing technology leverages the GPS hardware and software within mobile devices to create location-aware applications, integrating with apps to deliver customized notifications and actions based on predefined geographic areas. As per a report by the GSM Association released in February 2022, the global tally of mobile service subscriptions reached 5.3 billion by the conclusion of 2021, with projections indicating an additional 400 million new subscribers expected by 2025. Consequently, the burgeoning mobile device penetration emerges as a pivotal catalyst propelling the expansion of the geofencing market.

Leading players in the geofencing market are directing their efforts towards the development of advanced solutions, particularly focusing on incorporating geofencing capabilities to enhance cybersecurity offerings, especially for managed service providers. Geofencing capabilities entail functionalities embedded within systems or applications enabling users to define virtual boundaries or geographic areas. These delineated boundaries serve as triggers for actions or notifications when a mobile device crosses into or exits the specified area. For example, in March 2024, Trustifi LLC, a US-based cybersecurity firm, rolled out geofencing capabilities in Australia, fortifying its security solutions portfolio. This innovative geofencing approach bolsters data security by confining geographical data transmission, particularly critical in sectors such as healthcare, finance, and legal services. Trustifi's geofencing feature ensures compliance with regulations by locally storing personal data and erects virtual boundaries to restrict the geographical transit of sensitive information.

In April 2024, EYSA Group, a Spain-based IT services and consulting firm, acquired Net4things for an undisclosed amount. This acquisition strengthens EYSA's expertise in smart mobility services, enhancing traffic management and supporting environmental initiatives in urban areas both in Spain and internationally. Net4things, also based in Spain, is a software development company specializing in advanced solutions for managing connected vehicle data and IoT applications.

Major companies operating in the geofencing market are Apple Inc., Google Plc, Microsoft Corporation, Verizon Communications Inc., AT&T Inc., Huawei Technologies Co. Ltd., T-Mobile US Inc., Intel Corporation, International Business Machines Corporation (IBM), Cisco Systems Inc., Oracle Corporation, Xiaomi Corporation, Qualcomm Incorporated, Honeywell International Inc., SAP SE, Ericsson AB, Nokia Corporation, Embratel, Esri, Upland Localytics, Embitel, Bluedot Innovation, Mobinius Technologies, Pulsate Ltd.

North America was the largest region in the geofencing market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the geofencing market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the geofencing market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The geofencing market includes revenues earned by entities by providing services such as geotargeted promotions, real-time location tracking services, fleet management solutions, and emergency alerts. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

Geofencing is a location-based technology that sets up virtual boundaries to trigger automated actions or notifications when a device enters or exits a designated geographical area. It's widely applied in location-based marketing and advertising, delivering personalized messages and offers to users based on their proximity to specific locations.

There are two primary types of geofencing such as fixed and mobile. Fixed geofencing establishes permanent virtual boundaries around designated areas such as retail stores, airports, or construction sites. It encompasses various components, including solutions and services, and operates through technologies such as active and passive geofencing. It finds application across different enterprise sizes, from small and medium-sized enterprises to large corporations, spanning various industry verticals such as transportation and logistics, retail, healthcare, industrial manufacturing, media and entertainment, government and defense, banking, financial services, and insurance (BFSI), among others.

The geofencing market research report is one of a series of new reports that provides geofencing market statistics, including geofencing industry global market size, regional shares, competitors with a geofencing market share, detailed geofencing market segments, market trends and opportunities, and any further data you may need to thrive in the geofencing industry. This geofencing market research report delivers a complete perspective on everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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