In today’s digital era of connectivity, businesses always look for new ways to make informed decisions using data that will enhance efficiency, save costs, and reach the target audience. Geographic Information Systems (GIS) have proven to be a game-changer in this effort. GIS brings together different types of data and enables businesses to visualize, analyze, and interpret geospatial data to inform their decisions.
Although historically linked to cartography and urban planning, GIS today is applied in many industries, ranging from retail and real estate to e-commerce and marketing. In this article, we’ll discuss how companies can use GIS to make improved decisions, optimize marketing efforts, and become competitive in the geographic information system industry.
What is a Geographic Information System (GIS) Market and How Does it Work?
A Geographic Information System (GIS) is a robust tool that integrates data with geographic locations to enable businesses to analyze spatial patterns and relationships. GIS allows businesses to map data associated with geographic locations, which may range from customer addresses to weather patterns in different regions. According to a recent market study published by The Insight Partners, “the geographic information system (GIS) market size is expected to reach US$ 19.30 billion by 2031 from US$ 10.27 billion in 2023. The market is estimated to record a CAGR value of 8.2% from 2023 to 2031.”
As reported by the U.S. Geological Survey (USGS), GIS enables companies to put data on the map and identify patterns, i.e., where particular resources can be found or how environmental components, such as rainfall, influence certain businesses. For instance, a company can use GIS to locate places where unusual plant species exist, or where particular weather conditions affect the business, so decisions can be made based on both spatial data and environmental variables. As the Geographic Information System (GIS) market grows quickly, this is becoming more crucial.
How the Geographic Information System (GIS) Market Enhances Business Decisions
Improved Site Selection and Expansion Decisions
For businesses dependent on physical locations, such as stores, restaurants, or service businesses, selecting an expansion location is critical. Geographic Information Systems (GIS) allow firms to compare available sites based on criteria like traffic counts, proximity to current competition, and neighborhood demographics. The USGS mentions how GIS information, such as geographic points and stream gages, can identify the best locations for opening new stores or services. This is crucial for companies working in the Geographic Information System (GIS) market.
Similarly, healthcare enterprises can utilize GIS for improved health services distribution. The World Health Organization uses GIS software to find and assess the coverage of health services and decide on areas where there is low coverage, where healthcare resources could be redeployed. The same methodology could be utilized in other industries, such as deciding on gaps in provision or areas of demand.
Enhanced Market Segmentation and Targeting
A Geographic Information System (GIS) is an excellent segmentation and targeted marketing tool. With geographic information, businesses can segment their customers geographically and by buying behavior. Based on their ability to spot customer tendencies across different regions, businesses can create very localized advertising campaigns, which contribute significantly to the Geographic Information System (GIS) market growth.
For example, by studying geographic data, a retailer can learn that products sell well in a specific region. They can then create specialized campaigns in the regions. Geographic Information Systems (GIS) can help business organizations further their SEO efforts by focusing on regional optimization and local consumer trends.
Optimized Supply Chain and Logistics Management
For businesses involved in shipping or logistics, the Geographic Information System (GIS) Market is a powerful tool to optimize routes, reduce delivery times, and cut costs. By examining geospatial data about traffic flows, climatic conditions, and delivery areas, businesses can strategize more effective routes of transport.
For instance, USGS has indicated how Geographic Information System (GIS) can be used to study environmental variables such as rainfall and topography to infer the impact that these would have on logistics. A business might use GIS to predict which areas would experience slowdowns in the supply chain based on weather patterns, so that they can alter their logistics and keep costs. This application is on the rise in the Geographic Information System (GIS) market.
How the Geographic Information System (GIS) Market Impacts Marketing Strategies
Localized Marketing Campaigns
Geographic Information System (GIS) assists marketers in creating hyper-local campaigns that have a better chance of appealing to targeted groups. Through the use of location-based data along with demographic and behavioral data, companies can send targeted ads to prospective consumers within a given area, enhancing efficiency in the Geographic Information System (GIS) market.
For example, a chain of coffee houses can utilize GIS to monitor where their customers are geographically based and execute geo-targeted campaigns within proximity to particular stores. GIS can provide the best venues through which to access a business’s target audience, for greater ROI in marketing.
Geotargeting and Geofencing
With the introduction of mobile technology, geotargeting and geofencing have also become top corporate strategies to target customers in real-time. Geotargeting uses Geographic Information System (GIS) to deliver location-relevant ads or content to customers based on location, while geofencing installs virtual fences over specific locations and delivers automated replies when a customer enters or leaves the location.
For instance, a fashion apparel retailer could implement geofencing to push an offer to patrons when they arrive at one of their stores. Such high-intensity marketing will increase traffic as well as revenues, especially where competition is tough. It is notably efficient within the Geographic Information System (GIS).
The Global Health Impact of Geographic Information System (GIS)
Geographic Information System (GIS) isn’t just transforming business operations; it’s also playing a critical role in global health and development. The World Health Organization (WHO) has been using GIS to help improve public health planning and decision-making across the globe. GIS enables organizations to track disease distribution, monitor healthcare access, and even plan vaccine distribution.
The WHO GIS Centre for Health uses GIS to enhance the provision of critical services and ensure well-informed decisions in the event of health crises. For example, in the COVID-19 pandemic, GIS played a pivotal role in coordinating vaccine allocation across over 90 countries, such that resources could be allocated where needed most. Such spatial data analysis can also assist companies in industries like health care, drugs, and logistics in streamlining their operations during times of crisis.
The Pan American Health Organization (PAHO), in collaboration with the WHO GIS Centre for Health, organized a training on ArcGIS Pro to advance the technical capacity of public health experts in 13 countries in the Americas. Spatial analysis, mapping skills, and health emergencies were the areas of the training in concordance with PAHO’s Epidemic Intelligence Strategy
Final Remark
Geographic Information Systems (GIS) have become a vital element of business and marketing operations. By facilitating location-based decision-making, market segmentation, and operational optimization, GIS offers insightful information that can position businesses at an advantage. With technology evolving even further, the future of GIS is only going to brighten, promising even more possibilities for business improvement and success.
Whether you’re a retail business looking to expand or an e-commerce brand aiming to optimize your marketing efforts, GIS is a tool worth exploring. By embracing the power of geographic data, companies can make better, wiser choices that benefit the bottom line in the Geographic Information System (GIS) Market.
References-
WHO: WHO GIS Center for Health
Forbes: The AI Imperative — Mapping The New Possibilities For Business Success
USGS: The tool we use: “This position requires strong geographic information system skills.”
Author Bio
Preety Shaha
(Content Writer, The Insight Partners )
Contact: preety.shaha@businessmarketinsights.com
LinkedIn: Preety Shaha
Preety Shaha is a content writer at The Insights Partners, specializing in SEO-driven content strategy. She creates high-quality, optimized blog posts and web content that help brands stand out and connect with their target audiences. Her writing combines clarity, creativity, and search performance to deliver real digital impact.
About the Author
