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Navigating the Future: GPS vs. Smartphones in Navigation Solutions

As smartphones increasingly dominate the navigation landscape, GPS marketers must adapt to a tougher market. The evolution of mobile apps poses a challenge to traditional Personal Navigation Devices (PNDs). Companies like TomTom and Garmin are innovating by launching turn-by-turn apps and integrating smartphone features, showcasing the necessity of evolving in response to user preferences. Insightful statistics reveal changing ownership trends and the price drop of PNDs, emphasizing the need for developers to strategically differentiate and innovate. The future of navigation technologies depends on how key players collaborate and adapt to market shifts.

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Navigating the Future: GPS vs. Smartphones in Navigation Solutions

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Presentation Transcript

  1. Battle for GPS Turf Presentation by Noah Rattner & Adison Covey

  2. Smart Phone Takeover • GPS marketers navigate in tougher market as mobile apps threaten to elbow them aside. • Smart phones offer more convenient user experience at lower cost and overall simplicity.

  3. PND Responds • TomTom and Garmin are coming out with new products that play into, rather than fight the trend. • TomTom has introduced turn-by-turn apps and are launching car kits that include adjustable phone mount, microphone, and speaker integration. • Real-time traffic? • Social-media mapping?

  4. The Facts • 17% of North American adults own PNDs • 4% own built-in system • 3% own phone with nav-apps • 4% own both • GPS Devices dropped 30% YOY in price from $244 in 2008 to $188 in 2009

  5. More Facts • 150M turn-by-turn nav devices worldwide • 90M are PNDs • 35M are built-in car systems • 28M are nav enabled phones • TomTom Smart Phone app costs $100! • Nuviphonefrom AT&T costs $299 with built in nav system (October 4th – did you hear about it?)

  6. Fortune Cookie Says… • “Garmin and TomTom will be successful going forward because they're innovating and differentiating, and they've got the software and skills and knowledge with maps that the phone makers don't," Mr. Golvin said. "I'm not sure about all the other [PND] brands though. I think it's going to be a pretty tough road for them."

  7. Think about it… • What happens when your phone rings while navigation and guidance is on? • How will marketers and developers adapt to local laws and regulations which prevent drivers from using phones? • How can PND developers compete with pricing of apps and non-service plans? • How can PND developers compete with mobility and accessibility features? Smart Phones

  8. Think about it… • How can Smart Phone firms compete with quality and accuracy of PNDs? • How should PND developers respond to market demand as technology changes? • Is social-media mapping a violation of your personal life and interests? • Should Smart Phone and PND developers join forces to give GPS Systems better price control? Portable Navigation Devices (PNDs)

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