The Proxbook Report

August 9, 2015
Romet Kallas
Account Executive
To download the proxbook report, visit: Proxbook.com

The classic push notifications are dead, as Urban Airship found with their recent study where average app opt-in rates for notifications in the retail industry, is down from 46 to 37 percent. Indicating that customers are tired from non relevant push notifications and the need for personalized and relevant communication is self-evident.

It is time to turn to proximity, so that campaigns could be optimized by real location visits. Ubermedia recently demonstrated how their proximity platform increases the ROI of campaigns on an average from 3 to 5 times. Despite this substantial effect gain, there are still too few published case studies with clear benefits from proximity. And if there is an interest to start your own campaign, it is rather difficult to find the optimal proximity solution provider.

The age of proximity

This is why we built Proxbook. So that proximity solution providers (PSPs) can connect with potential clients that are interested in starting their own proximity campaign. And in order to get an overview of the companies, technologies and industry verticals in the proximity industry, we have created the first quarterly report: The Proxbook Report.

Within a couple of weeks after launch and at the time of the first Proxbook Report there was already 142 PSPs from 31 different countries signed up to Proxbook (The number is now 153).

Nearly half of the industry is headquartered in the U.S, crowning New York, with 11 PSPs, as the proximity capital of the world.

The members of Proxbook have more than 870 000 sensors deployed globally, with 51% in Europe, 38% in North America, 9% in Asia, 2% in Australia and 500 proximity sensors in Africa. By filtering from geography, it makes it easier for customers to connect with the desired solution provider in a specific area.

PSPs are offering solutions to a wide range of industries. At this point there are 19 different industry verticals listed in Proxbook and the most popular industries are Retail, Shopping malls, Hotel & Tourism, Stadiums/Sports and Airports. 88 companies offer services within the Retail industry, making it the most popular industry vertical.

Since there are already nearly 20 verticals that leverage from proximity, navigating between the verticals is important, so it is possible to find a PSP with certain area of expertise.

Proxbook connects supply and demand

Connecting with potential customers is only one of the benefits of using Proxbook. The proximity industry is split into half between software and hardware providers. Hardware companies provide physical sensors, while software is needed to manage that hardware and to add extra value to proximity campaigns. At the moment there are few who can offer the entire set of proximity services by themselves, like hardware, app for customers, analytics, indoor location, fleet management tools for large scale deployments and so forth. Therefore we are working towards a future feature where PSPs are able to connect directly with potential partners, to make it even easier for brands and retailers to find the perfect proximity partner.

The proximity campaigns are often unique in nature, therefore there is a wide range of technologies suited for each specific case. Analytics and indoor location are the most popular technologies available, to help customers navigate and analyze the results of a proximity campaign.

While mobile payments is not offered extensively yet, we expect that the number of companies that support the technology will at least double by 2016.

Apple in lead, but then Google came along

There are 3 leading beacon standards – iBeacon, UriBeacon and Eddystone. iBeacon, released on 2013 by Apple and supported on iOS. With its push notification abilities, it has been the industry standard with over 95% of the companies supporting the protocol. UriBeacon, introduced in 2014 by Google, is supported by 23% and is able to send out an URL which leads to a website, without the need of an app. On 14th of July, Google introduced a new open sourced protocol Eddystone based on UriBeacon. Supported on iOS, Android and other platforms, it enables beacons to transmit URL’s, push notifications and telemetry signals like temperature and battery life. With already 5% of the companies supporting Eddystone from day one, it is a clear future competitor to iBeacon. The proximity industry is constantly growing. The amount of new PSPs entering the industry is getting bigger each year.

More than half of the PSPs have been founded within the last 3 years, showing a clear growth trend in the proximity market. After the release of iBeacon, the industry has blossomed with 27% of the companies founded last year alone.

Therefore, based on the trend and announcement of the Eddystone, we expect the industry to grow at least 30% from 2014 to 2015. Proxbook is helping the industry to bridge the information gap. Filtering from certain criteria of technology specifications and different industries, marketers and brands are able to connect with the right solution provider in the desired place. It is now possible to choose from 153 PSPs in 31 different countries, to increase the ROI of your campaigns.

To download the proxbook report, visit: Proxbook.com