The mobile phone, or 3rd
screen, is one of the more personal
of consumer electronic
devices. Its potential is only just beginning
to be tapped in South East Asia, one
of the lucrative markets for Location
based services on mobile devices. Location
based services (LBS) help realize this
potential by connecting users with the
information they need, when and where
they need it. It is a driver for network
operators to unlock hidden network
resources thereby generating hidden revenues,
since they improve the capabilities
of the mobile phone and give a new
dimension to the relationship that people
have with their mobile.
SE Asia, a diversified wireless market, has
both - countries with advanced mobile technologies
and services as well as the markets
that still focus on basic services. Accordingly,
LBS development differs amongst the SE
Asian markets. Singapore, one of the
advanced markets, has a number of categories
of LBS applications available there. Much of
this is attributed to the advanced data market,
the existence of a complete mobile eco-system
which is conducive for both application developers
and content providers. The operators in
Malaysia, Indonesia and Philippines are currently
at the stage of considering LBS as a
future revenue generating option. In most of
these markets, mobile operators' priority,
right now, is limited to expanding subscriber
base and driving greater data traffic amongst
mobile users - offering basic mobile data services
which are simpler, provide quicker
return-on-investment (ROI), and appeal to a
larger target audience. However, the investment
on LBS is beginning to happen and in
the recent years, sale of software and services
that let consumers find a nearby post office or
the fastest route to a destination are finally
starting to take off in the region. Services that
give cell-phone users place-based info fast are
finally taking hold and are being welcomed by
revenue-hungry providers.
SINGAPORE
Singaporeans pride themselves on being
technology-savvy. They are always on the
look out for the latest gadgets and technologies
that will enhance their work and leisure
lifestyle. The total mobile voice and data market
in Singapore has been experiencing anemic
growth over the years as the market
approaches saturation. With a total population
of 4.55 million in 2007, the market's cellular
penetration growth rate reached over
103.2%, one of the highest growth rates in the
world. 3 out of 4 persons are now mobile
phone subscribers. SMS traffic here is also
The location based services market in South East Asia is attracting
increasing attention from carriers due to the considerable
potential in enhancing average revenue per user. This article
talks about the development of LBS in South East Asia.
amongst the highest in the world, with
52 per cent of mobile phone users using
SMS more than once a day compared to
the global average of 23 per cent. Therefore
it is only to be expected that Singaporeans
will be eager to try out the
new and fast emerging location based
services.
In 2001 and 2002, the forerunners of
LBS applications were Mobile One
(M1) and Singtel. SingTel Mobile introduced
Singapore's first such service
called, *Send LBS, in 2001. The service
allows customers to receive vicinityspecific
information such as the location
of nearby supermarkets or cinemas.
Among other services, *Send LBS
today can help customers book a taxi,
find out bus services available nearby,
and receive weather forecasts. Since
December 2003, a prepaid location
based and real-time information service
has been offered by SingTel and
Landmat (a mobile content provider),
to travelers visiting Singapore. The
service offers tourists to Singapore all
tourist related information, via their
mobile phone and prepaid SIM card.
Information available includes location
of restaurants, banks, nightlife attractions
- a sort of personalized "tour
guide" on a phone.
M1 introduced the service in 2002.
Typical location-based services include
proximity search which allows M1 customers
to locate places of interest within
their travel routes. Other services
include traffic information maps, traffic
alerts, and travel routing that enable
commuters to plan their journey in the
most convenient way, independent
from their mode of transport.
In order to catch up in sharing in the
LBS market potential, Star Hub's location-
based directory service Find-It was
launched on September 5th, 2002.
Find-It helps users locate nearest
amenities by automatically determining
their location be it ATMs, post offices,
4-D outlets, MRT stations or restaurants.
Users can further define their
search by sub-categories like ATM
types or food by cuisine type (Chinese,
Japanese, Western, etc.).
However, even after years of locationbased
services launched by the three
major operators in Singapore, limited
revenue is being generated and user
acceptance levels remain low. It was felt
that location services offered like proximity
search etc. are unnecessary in the
island country as Singapore is a small
country with convenient and wellplanned
infrastructures, normal residents
do not need the information
resources to find certain locations. In
the context of a compact country like
Singapore where it's rather difficult to
lose one's way and almost everything is
within easy reach, the challenge with
the operators was to identify and provide
mobile location-based services
that the customers would find useful
and relevant. New initiatives were
needed to overcome the geographical
disadvantages by coming up with innovative
ideas that would enable future
development of LBS. A service such as
location marketing where operators
can offer some of the best shopping and
restaurant deals nearest the location
where the customer is in, is perhaps one
such example. This has already started
to happen.
Singapore's mobile network operator
M1 is experimenting with sending text
messages to its more than one million
subscribers when they come within 100
metres of a shopping district in the centre
of the city. The company says it
sends 200,000-300,000 messages a day
(not more than two messages to the
same user in a single day) with what it
claims are valuable promotions from
more than 40 shops, restaurants and
bars in and around the Orchard Street
commercial centre. When a subscriber
enters the Plaza Singapura shopping
mall, there are signs encouraging him to
switch on his Bluetooth and make himself
visible. If done, promotions and
advertisements will be pushed as one
walks around the mall. The most successful
advertiser has been an icecream
stand.
MALAYSIA
Almost 84% of Malaysia's 26 million
people had a mobile telephone service
by March 2007, as the local mobile
market appeared to be entering a consolidation
phase. Since the launch of 3G
mobile networks by Telekom Malaysia
in late 2005, close to 500,000 subscribers
have signed up to 3G services
by March 2007. The LBS market in
Malaysia is estimated to generate a
total revenue of US$5 million by the
year 2010. The two LBS providers in
Malaysia are Maxis Communications
Berhad (Maxis) and DiGi.
In 2004, Maxis and DiGi in Malaysia
introduced their location-based services
to the public. DiGi categorized its
friend finder services into travel finder
and travel buddy services, targeting
travelers to the country. With the Location-
Based Friend Finder service, subscribers
can locate their friends and
family members. The LBS platform is
capable of inter-operating across multiple
networks, locally and overseas. As
more operators offer the service in
future, the reach of the service will be
widened thus allowing subscribers of
different operators and networks track
one another's location via the interconnecting
multiple platforms.
Maxis, through its prepaid brand
Hotlink, launched Friend Finder, which
allows users to locate friends, family
and colleagues via SMS. The service is
marketed as the first cellular network
LBS being offered nationwide.
Launched to coincide with Valentine's
Day, Friend Finder enables customers
to find their special someone through
their mobile phones. With a few keystrokes
on a mobile phone, a Friend
Finder requestor is given the approximate
geographic location of their
friend, by area (such as KLCC) and
state (Kuala Lumpur). It becomes convenient
when friends are in the same
vicinity, so they can then exchange
messages and get in touch with each
other. Consumer services have proved
successful in Malysia, with over
(500,000) subscribers to Maxis's 'friend
finder' service. Maxis, in the beginning
of 2005, had also launched Traffic
Check, a service that enables city
motorists to check real-time traffic
conditions at selected locations, via
MMS. Today with Traffic Check one
can receive accurate traffic updates
from more than 50 traffic cameras
strategically located all around Klang
Valley, Penang, and Johor Bahru. In
2005 itself, Cambridge Positioning System
(CPS) launched Matrix-driven
high accuracy location-based services
in partnership with Maxis Communications
Berhad ("Maxis") and mobile
data services provider JAS Mobile Solutions
Sdn Bhd. Targeting the enterprise
market and personal use, the new service
offers precision vehicle, workforce
and asset tracking in Malaysia.
In 2007, Yahoo signed a partnership
with Maxis to offer a suite of mobile
programs packaged in its Yahoo Go for
Mobile software. Among the services in
the package is oneSearch, which
includes access to news, web images,
financial information, weather conditions,
Flickr, and Web and mobile Web
sites, as well as navigation services.
Users can enter the name of a business
or the type of business they are looking
for and it provides nearby listings with
maps based on the user's location; users
can click on a listing to get details
including address, distance, cross
streets, directions and phone number.
The future trend of mobile usage in the
country seems to move from inter-personal
communication to providing
value added services as a means to generate
additional revenue.