Market Research Report : LBS Market in India 2012
-
Upload
netscribes-inc -
Category
Business
-
view
454 -
download
1
description
Transcript of Market Research Report : LBS Market in India 2012
Location Based Services in IndiaLocation Based Services in India
August 2012
Executive Summary
Market
Location based service market in India is yet to reach maturity but it is expected to break the INR x1 bn mark by 20‐‐
Although type1 companies are utilizing LBS in India, type2 has been the key source of revenue for the same
Drivers:
Drivers &
for the same
Challenges:
Low Awareness and Lack of InterestDearth of Accurate and Updated
Colossal Wireless Subscriber Base Introduction and Availability of NextDrivers &
ChallengesDearth of Accurate and Updated Geographic Information System (GIS) Privacy Concern
Introduction and Availability of Next Generation Cellular NetworksHigh Availability and Soaring Adoption of Mobile Device
Market Trends
LBS for x2 Indian Cities Soon by Localbeat
Bharti SoftBank Acquires x3% Stake in Y2CF Digital Media
Free Location Based POI App Launched by MapmyIndia
Ericsson Enhances Aircel’s Location Based Solution
Location Based Services
csso a ces ce s oca o ased So u o
Major Players
Tata Teleservice Ltd. CanvasM Technologies Ltd. CE Info Systems Pvt. Ltd.
2LOCATION BASED SERVICES IN INDIA 2012.PPT
Player Profile ONZE Technologies Pvt. Ltd. Polaris Wireless Inc. Y2CF Digital Media Pvt. Ltd.
• Introduction
•Market Overview
•Drivers & Challenges
•Market Opportunities•Market Opportunities
•Market Trends
d l• Location Based Services Players
•Consumer Insights
• Strategic Recommendations
•Appendix
3LOCATION BASED SERVICES IN INDIA 2012.PPTLOCATION BASED SERVICES IN INDIA 2012.PPT
pp
Introduction
•Location based services or LBS is an information service that uses the ability of the global positioning capability using IP addresses of mobile devices and computers to deliver area specific information Location based services is more relevant to mobile devices such as smartphones and Tablet PCs
Location Based Service (LBS) – Overview
Location based services is more relevant to mobile devices such as smartphones and Tablet PCs
• Such services can be query‐based and provide the user with requested information along with similar information which are related with the requested data and associated with the specific location
• LBS requires the following basic components, Software application or LBS solution by the service provider Content provider to supply the end user with geo‐specific informationMobile device with positioning component and mobile network to transmit data and requests for service
•Marketing evolution exhibit growing need for more targeted and personal outreach to the consumers, with the ability to define the relationships they have with brands and their products
Progression in Consumer EngagementProgression in Consumer Engagement
x1 x2 x3
• B1• B2
• C1• C2
• A1• A2
4LOCATION BASED SERVICES IN INDIA 2012.PPT
B2• B3
C2• C3
A2• A3
Although type1 companies are utilizing LBS in India, type2 has been the key source of revenue for the same
Market Overview – India
• Location based service market in India is yet to reach maturity but it is expected to break the INR x1 bn mark
Location Based Services ‐Market Size
INR bnZ%
Ymaturity but it is expected to break the INR x1 bn mark by 20‐‐
• Location1 in the country have some early adopters in the country while almost no LBS usage could be seen in location2 and location3
YX
WV
U
Low adoption in the country has been largely caused by cause1 and cause2, and cause3 of LBS
• Type3 is the major source of revenue for location based
20‐‐20‐‐20‐‐20‐‐20‐‐
Major Location Based Services ‐ India
• A1
• A2
services in India
• Type4 companies are also taking advantage of LBS with product1 and product2
• In the GPS oriented locational services segment, • A3
• A4
• A5
• A6
navigation and tracking held around x2% and x3% of the market share respectively
• Although LBS can be delivered via any electronic media, mobile remains the most potent and effective
5LOCATION BASED SERVICES IN INDIA 2012.PPT
• A7, p
medium of delivery LBS is served in India as a component of MVAS
Location Based Service Ecosystem
B1
BA
A1
Element1
Monetization Monetization
Element6 Element7
• G1 • H1•B1•B2
• A1• A2
Element2
Monetization MonetizationG1• G2• G3
H1• H2• H3
Element2• C1• C2• C3
Element3Location Based Services
• D1• D2• D3
Element4 Element9• E1• E2• E3
Element5
• I1• I2• I3
6LOCATION BASED SERVICES IN INDIA 2012.PPT
• F1• F2 Consumer
Drivers & Challenges – Summary
Challenges
Drivers
Colossal Wireless Subscriber Base
Introduction and Availability of Next
Low Awareness and Lack of Interest
Dearth of Accurate and Updated Geographic Information System (GIS)
Introduction and Availability of Next Generation Cellular Networks
High Availability and Soaring Adoption of Mobile Device
Privacy Concern
Increase in Disposable Income and Changing Consumer Behaviour
7LOCATION BASED SERVICES IN INDIA 2012.PPT
SWOT Analysis of LBS Market in India
Strengths
•Strength1
Weaknesses
•Weakness1•Strength1
•Strength2
•Strength3
•Strength4
•Weakness1
•Weakness2
•Weakness3
•Weakness4
SWOTAnalysis
Opportunities
•Opportunity1
Threats
•Threat1•Opportunity1
•Opportunity2
•Opportunity3
•Opportunity4
•Threat1
•Threat2
•Threat3
•Threat4
8LOCATION BASED SERVICES IN INDIA 2012.PPTNANOTECHNOLOGY MARKET IN INDIA 2012.PPT
SAMPLE Market Trends (‐/‐)
• T1• T2• T3
M1T3
• T4• T4• T5M2
• T6• T7• T8
M3
• T9• T10
T11M4
9LOCATION BASED SERVICES IN INDIA 2012.PPT
• T11
Porter’s Five Forces Analysis
Threat of New Entrants• A1• A2A3
Impact
• A3• A4
Impact
ImpactImpact
Competitive Rivalry• E1• E2• E3
Bargaining Power of Buyers• B1• B2• B3
Bargaining Power of Suppliers• D1• D2• D3
• E4 • B4• D4
Impact
SAMPLEThreat of Substitutes
• C1• C2• C3• C4
10LOCATION BASED SERVICES IN INDIA 2012.PPT
SAMPLE • C4
SAMPLE Public: Foreign Company – Company 1 (1/3)
Company Information Offices and Centres – India
Corporate Address
Tel No.
Fax No.
Website
Year of Incorporation
Products and Services
Ticker Symbol
Stock ExchangeIndia Head Office
Place
Key People
Products and Services
Category Products/Services
N D i tiC1 • S1
Name Designation
Person 1 D1
Person 2 D2
Person 3 D3
11LOCATION BASED SERVICES IN INDIA 2012.PPT
SAMPLE Public: Foreign Company – Company 1 (2/3)
i i l S h K iFinancial Snapshot Key Ratios
Net Profit/LossTotal IncomeRevenueINR mn
ProfitINR bn
s
Particulars y‐o‐y change (2012‐11)
2011 2010 2009 2008
Profitability RatiosOperating Margin ‐1.10 14.68% 15.78% 16.93% 19.72%
020‐‐
0
r
20‐‐20‐‐
q
20‐‐
p
Net Margin ‐0.91 13.23% 14.14% 15.55% 18.61%
Profit Before Tax Margin ‐0.83 15.25% 16.08% 17.46% 20.62%
Return on Equity 7.60 60.51% 52.91% 34.43% 47.18%
Return on Capital Employed 8.09 67.13% 59.05% 37.48% 49.96%
Return on Working Capital 75.43 150.07% 74.64% 44.18% 58.13%
Return on Assets 3.58 24.34% 20.77% 18.93% 24.74%
Financial Summary
• The company incurred a net profit of INR ‐ bn in FY 20‐‐, as compared to net profit of INR ‐ bn in FY 20‐‐
• The company reported total income of INR ‐ bn in FY 20‐‐, as compared to INR bn in FY 20
Return on Fixed Assets 28.31 319.77% 291.46% 227.97% 346.05%
Cost RatiosOperating costs (% of Sales) 1.06 85.23% 84.17% 82.96% 80.08%
Administration costs (% of Sales)
0.49 10.10% 9.61% 9.11% 7.41%
Interest costs (% of Sales) 0.01 0.01% 0.00% 0.00% 0.01%compared to INR ‐ bn in FY 20‐‐
• The company earned an operating margin of ‐ per cent in FY 20‐‐, an increase of ‐ percentage points over FY 20‐‐
• The company reported debt to equity ratio of ‐ in FY 20‐‐, a decrease of ‐ per cent over FY 20‐‐
(% )
Liquidity RatiosCurrent Ratio ‐12.79% 1.27 1.46 1.95 1.90
Cash Ratio ‐8.37% 0.60 0.65 1.21 1.18
Leverage RatiosDebt to Equity Ratio ‐4.03% 1.49 1.55 0.82 0.91
Key Financial Performance Indicators
Indicators Value (28/06/2012)Market Capitalization (INR bn) A
Total Enterprise Value (INR mn) B EPS (INR)
Debt to Capital Ratio NA NA NA NA NA
Interest Coverage Ratio ‐82.25% 2219.40 12502.34 11161.05 2901.67
Efficiency RatiosFixed Asset Turnover 16.94% 24.03 20.55 14.57 18.41
Asset Turnover 24.95% 1.83 1.46 1.21 1.32
Current Asset Turnover 45.65% 2.41 1.65 1.38 1.46
12LOCATION BASED SERVICES IN INDIA 2012.PPT
EPS (INR) C PE Ratio (Absolute) D
Improved Decline
Working Capital Turnover 114.30% 11.28 5.26 2.82 3.09
Capital Employed Turnover 21.89% 4.55 3.73 2.20 2.51
SAMPLE Public: Foreign Company – Company 1 (3/3)
Key Business Segments Key Geographic Segments
k5k1 k4k3k2 k8k7k6
Key Information
20‐‐20‐‐20‐‐20‐‐ 20‐‐20‐‐20‐‐
Description Details
• C2 designs, manufactures, and markets mobile communication and media devices, personal computers, and portable digital music players
Overview • It also sells software, services, peripherals, networking solutions, and third‐party digital content and applications worldwide
• C3 operates in India via its subsidiary, C4
13LOCATION BASED SERVICES IN INDIA 2012.PPT
SAMPLE Private: Domestic Company – Company 2 (1/3)
Company Information Offices and Centres – India
India Head Office
Tel No.
Fax No.Place
Products and Services
Website
Year of IncorporationIndia Head Office
Key People
Products and Services
N D i ti
Category Products/Services
Name Designation
Person 1 D1
Person 2 D2
Person 3 D3
C1 •S1
14LOCATION BASED SERVICES IN INDIA 2012.PPT
SAMPLE i i l S h K i
Private: Domestic Company – Company 2 (2/3)
Financial Snapshot Key Ratios
Profit / Loss
Total Income
W
Total IncomeINR mn
ProfitINR mn
Particulars y‐o‐y change (2012‐11)
2011 2010 2009 2008
Profitability RatiosOperating Margin ‐1.10 14.68% 15.78% 16.93% 19.72%
V
U
Net Margin ‐0.91 13.23% 14.14% 15.55% 18.61%
Profit Before Tax Margin ‐0.83 15.25% 16.08% 17.46% 20.62%
Return on Equity 7.60 60.51% 52.91% 34.43% 47.18%
Return on Capital Employed 8.09 67.13% 59.05% 37.48% 49.96%
Return on Working Capital 75.43 150.07% 74.64% 44.18% 58.13%
Return on Assets 3.58 24.34% 20.77% 18.93% 24.74%
Financial Summary
020‐‐20‐‐20‐‐
U
20‐‐
T
0Return on Fixed Assets 28.31 319.77% 291.46% 227.97% 346.05%
Cost RatiosOperating costs (% of Sales) 1.06 85.23% 84.17% 82.96% 80.08%
Administration costs (% of Sales)
0.49 10.10% 9.61% 9.11% 7.41%
Interest costs (% of Sales) 0.01 0.01% 0.00% 0.00% 0.01%
• Company incurred a net profit of INR ‐ bn in FY 20‐‐, as compared to net profit of INR ‐ bn in FY 20‐‐
• It reported total Income of INR ‐ bn in FY 20‐‐, as compared to INR ‐ bn in FY 20‐‐
Interest costs (% of Sales) 0.01 0.01% 0.00% 0.00% 0.01%
Liquidity RatiosCurrent Ratio ‐12.79% 1.27 1.46 1.95 1.90
Cash Ratio ‐8.37% 0.60 0.65 1.21 1.18
Leverage RatiosDebt to Equity Ratio ‐4.03% 1.49 1.55 0.82 0.91
• The company earned an operating margin of ‐ per cent in FY 20‐‐, a decrease of ‐ percentage points over FY 20‐‐
• The company reported debt to equity ratio of ‐ in FY 20‐‐, an increase of ‐ per cent over FY 20‐‐
Debt to Capital Ratio NA NA NA NA NA
Interest Coverage Ratio ‐82.25% 2219.40 12502.34 11161.05 2901.67
Efficiency RatiosFixed Asset Turnover 16.94% 24.03 20.55 14.57 18.41
Asset Turnover 24.95% 1.83 1.46 1.21 1.32
Current Asset Turnover 45.65% 2.41 1.65 1.38 1.46
15LOCATION BASED SERVICES IN INDIA 2012.PPT
Improved Decline
Current Asset Turnover 45.65% 2.41 1.65 1.38 1.46
Working Capital Turnover 114.30% 11.28 5.26 2.82 3.09
Capital Employed Turnover 21.89% 4.55 3.73 2.20 2.51
SAMPLE Private: Domestic Company – Company 2 (3/3)
Key Recent Developments
Description Details
Overview
•O1 is a leading player in technologies including real‐time bidding, data marketplaces, big data, algorithms and targetting in o2
• Its engine is manned by over ‐ people across o3, o4, o5, o6, o7
• The company works closely with top publishers across the global platform including o8 and o9
• It constitutes an exclusive reseller of o10’s premium inventory in India, Thailand, Partners and Investors Indonesia and Phillipines
• It also has partnership with technology vendors namely o11, o12, o13, o14• Its list of investors include names such as Nexua Venture Partners, Helion Venture Partners, Norwest Venture Partners and Draper Fisher Juvertson,
16LOCATION BASED SERVICES IN INDIA 2012.PPT
Consumer Insights on Location Based Services in India (1/3)
Survey on Location Based Service Usage and Preference – Introduction and Methodology
Sample Size x1• Survey on LBS usage & preference was conducted on social media sites and technology forums
Sample SourcesSocial Media Websites and
Technology Forums
Survey Duration & Period
3 Weeks – July 2012
social media sites and technology forums
• Overall survey has been kept close‐ended to capture specific information according to requirements
• The survey has been conducted amongst a group of general consumers heading from major Indian cities
LBS A LBS A (P t )
Quantitative Representation Used
Percentage
general consumers heading from major Indian cities including New Delhi, Mumbai, Bangalore, Chennai, Hyderabad, Kolkata, amongst others
R2
R1
LBS Awareness LBS Awareness (Percentage)
Q: Are you aware what Location based services are?
R3Response Option:
1) R1
2) R2
17LOCATION BASED SERVICES IN INDIA 2012.PPT
3) R3
Thank you for the attentionThe Location Based Services – India 2012 report is a part of Netscribes’ Telecom Series.For more detailed information or customized research requirements please contact:
Phone: +91 33 4064 6214E‐Mail: [email protected]
Follow us on:
About NetscribesNetscribes is a knowledge‐consulting and solutions firm with clientele across the globe. The company’s expertise spans areas of investment & business research, business & corporate intelligence, content‐management services, and knowledge‐software services. At its core lies a true value proposition that draws upon a vast knowledge base. Netscribes is a one‐stop shop designed to fulfil clients’ profitability and growth objectives.
Disclaimer: This report is published for general information only. Although high standards have been used in the preparation of this report,Netscribes is not responsible for any loss or damage arising from use of this document This document is the sole property of Netscribes and
18LOCATION BASED SERVICES IN INDIA 2012.PPT
Netscribes is not responsible for any loss or damage arising from use of this document. This document is the sole property of Netscribes. and prior permission is required for guidelines on reproduction.