Beacon Technology Market Size & Share 2017 - 2024
Market Size by Platform (iBeacon, Eddystone, AltBeacon), by Deployment Model (On-premise, Cloud), by Application (Retail, Travel, Tourism & Hospitality, Healthcare, Financial Institutions, Real-estate, Education), by Technology (BLE, Wi-Fi, Ultrasound, Combined Technologies), Industry Analysis Report, Regional Outlook, Growth Potential, & Forecast.
Report ID: GMI2296
|
Published Date: December 2017
|
Report Format: PDF
Download Free PDF
Authors:
Preeti Wadhwani, Aishvarya Ambekar
Beacon Technology Market Size
Beacon Technology Market size estimated at USD 170 million in 2016 and is expected to grow at a CAGR of over 80% from 2017 to 2024.
The beacon technology market is expected to witness an accelerated growth over the forecast timeline due to the extensive usage of technology in industry verticals including retail, education, hospitality, and healthcare. For instance, the healthcare sector is witnessing heavy usage of Bluetooth-based technologies to improve the quality of healthcare services provided to patients. Beacons offer vital information to users such as navigating hospitals and finding medications to improve hospital efficiency, which will improve patient satisfaction. The rising penetration of the Internet of Things (IoT) is also supporting the market growth. The technology allows beacons to detect information, enabling them to communicate with other devices and making location-based searching and interaction more accurate.
Beacon Technology Market Analysis
The AltBeacon platform is expected to grow at a CAGR of over 70% from 2017 to 2024 as it is an open and interoperable specification for proximity beacons. The AltBeacon specification helps to create a highly competitive market for proximity beacon implementations. The platform comprises more data delivery space than iBeacon, implying more data delivery per message for consumers. This will fuel the demand for such platforms among various industry verticals.
The cloud beacon technology market is estimated to exhibit the fastest growth rate due to the rising implementation of cloud enabled BLE networks, which will eliminate the high costs associated with overlay networks and complicated deployment & operation of these networks. These cloud-based networks aid in finding the accurate location, marketing & engagement, and replacements of battery-powered beacons through a network managed virtual beacons with simplicity and scalability. This is expected to accelerate the demand for cloud-based platforms.
The education application segment will grow at a CAGR of over 70% from 2017 to 2024 due to the rising implementation of BYOD in classrooms, schools, and universities globally to improve the quality, access, and availability of education for students. Beacons can offer solutions that provide contextual learning experience to students. For improving the in-class experience, beacons can be used to record the attendance by using check-ins with beacons instead of manually counting students. The technology is also used to establish a localized notification system to deal with safety alerts. For instance, in case of any natural calamity, officials can notify people through alerts to evacuate.
The Wi-Fi segment is projected to hold a beacon technology market share of over 5% by 2024 as Wi-Fi hotspots are gaining popularity in restaurants, hotels, and stadiums to provide internet access. The technology detects nearby Wi-Fi enabled devices and is cost-effective due to which smart proximity sensors are using underlying technology to support the communication process. The technology can be used for navigational purposes at the venue and together with beacons can aid in interaction, which is proximity-based.
The LAMEA beacon technology market will observe a growth rate of over 85% between 2017 and 2024 due to several smart city initiatives undertaken on a large-scale and the rising usage of BLE technology in various sectors. For instance, in November 2017, Mexico City’s Ministry of Economic Development (SEDECO) partnered with AT&T to run an IoT pilot program in Mexico City. This initiative focuses on developing a smart city under the Program to Promote and Improve Public Markets in Mexico City. In January 2017, Mexico witnessed large-scale beacon infrastructure at the Chivas stadium. The group deployed more than 400 Kontakt.io beacons at their new soccer stadium, utilizing the Tough Beacon in particular for easy deployment and durability.
Beacon Technology Market Share
Some of the renowned beacon market players are focusing on new product developments with enhanced capabilities to target a wider set of customers. For instance, in September 2016, Estimote introduced Estimote Mirror, the world’s first video-enabled beacon. This beacon can take content from apps on mobile devices and display them on a digital screen. The companies are consistently engaging in strategic alliances with other market players to offer enhanced proximity-based solutions to their customers. For instance, in June 2016, Gimbal partnered with Health Media Network (HMN) to create the first and the largest proximity beacon network for healthcare in the U.S. Under the partnership, Gimbal’s beacon was used to deliver personalized mobile messages to audiences within Network’s nationwide office.
Some of the key players operating in the beacon technology market include
Industry Background
Beacon technology has revolutionized various industry verticals, particularly the retail and e-commerce industry to send location awareness alerts and promotional notifications to customers. The first BLE protocol named iBeacon was developed by Apple in 2014, which was implemented in the location framework in iOS 7 and newer operating systems. This facilitated the adoption of BLE technology as companies started investing heavily in this technology to gain more market share. The technology will gain momentum over the forecast period as companies are developing new platforms to enable indoor positioning and location-based services.
Research methodology, data sources & validation process
This report draws on a structured research process built around direct industry conversations, proprietary modelling, and rigorous cross-validation and not just desk research.
Our 6-step research process
1. Research design & analyst oversight
At GMI, our research methodology is built on a foundation of human expertise, rigorous validation, and complete transparency. Every insight, trend analysis, and forecast in our reports is developed by experienced analysts who understand the nuances of your market.
Our approach integrates extensive primary research through direct engagement with industry participants and experts, complemented by comprehensive secondary research from verified global sources. We apply quantified impact analysis to deliver dependable forecasts, while maintaining complete traceability from original data sources to final insights.
2. Primary research
Primary research forms the backbone of our methodology, contributing nearly 80% to overall insights. It involves direct engagement with industry participants to ensure accuracy and depth in analysis. Our structured interview program covers regional and global markets, with inputs from C-suite executives, directors, and subject matter experts. These interactions provide strategic, operational, and technical perspectives, enabling well-rounded insights and reliable market forecasts.
3. Data mining & market analysis
Data mining is a key part of our research process, contributing nearly 20% to the overall methodology. It involves analysing market structure, identifying industry trends, and assessing macroeconomic factors through revenue share analysis of major players. Relevant data is collected from both paid and unpaid sources to build a reliable database. This information is then integrated to support primary research and market sizing, with validation from key stakeholders such as distributors, manufacturers, and associations.
4. Market sizing
Our market sizing is built on a bottom-up approach, starting with company revenue data gathered directly through primary interviews, alongside production volume figures from manufacturers and installation or deployment statistics. These inputs are then pieced together across regional markets to arrive at a global estimate that stays grounded in actual industry activity.
5. Forecast model & key assumptions
Every forecast includes explicit documentation of:
✓ Key growth drivers and their assumed impact
✓ Restraining factors and mitigation scenarios
✓ Regulatory assumptions and policy change risk
✓ Technology adoption curve parameter
✓ Macroeconomic assumptions (GDP growth, inflation, currency)
✓ Competitive dynamics and market entry/exit expectations
6. Validation & quality assurance
The final stages involve human validation, where domain experts manually review filtered data to identify nuances and contextual errors that automated systems might miss. This expert review adds a critical layer of quality assurance, ensuring data aligns with research objectives and domain-specific standards.
Our triple-layer validation process ensures maximum data reliability:
✓ Statistical Validation
✓ Expert Validation
✓ Market Reality Check
Trust & credibility
Verified data sources
Trade publications
Security & defense sector journals and trade press
Industry databases
Proprietary and third-party market databases
Regulatory filings
Government procurement records and policy documents
Academic research
University studies and specialist institution reports
Company reports
Annual reports, investor presentations, and filings
Expert interviews
C-suite, procurement leads, and technical specialists
GMI archive
13,000+ published studies across 30+ industry verticals
Trade data
Import/export volumes, HS codes, and customs records
Parameters studied & evaluated
Every data point in this report is validated through primary interviews, true bottom-up modelling, and rigorous cross-checks. Read about our research process →