What's currently happening in the location-based services arena? It's an incredibly competitive space, that's for sure. There are several interesting approaches and here's a quick overview. Originally posted as a comment on TechCrunch.
1. Location-based games
Location-based games are currently being (rightfully, in my opinion) hyped because the rate of user adoption and active use (a couple of times a day) is fabulous. It's fun to check in to places, compete against others for a good ranking on the leader board - and maybe even some free coffee when you're mayor. Let me add another European-based company who'll soon be competing with the Gowallas and Foursquares:
Aka-aki.
2. Friendfinding services
Friendfinding services, too are interesting - albeit in comparison to l-b games they look a bit pale as those games allow you to do the same thing (share your whereabouts) and play a game at the same time.
3. The good & bad
What's great about both approaches: it takes very little effort to participate. What's not so great: the information that is generated by both types of services isn't very valuable in the long-term. Of course it's great for pattern analysis and better behavioral targeting but that's about it ("the half life of a check-in").
4. Placemarking
And then there's this opportunity that Tagcrumbs is targeting. It's focussed on creating valuable content rather than interacting with existing content.
So while l-b games will surely have a bright future, the mid and long-term looks promising for content creation (i.e. placemarking?) services:
Rather than connecting people via a gaming-mechanism, the placemarking services help people share discoveries with friends and build new relationships with others that share similar interests.
For people interested in coffee-shops and restaurants (in fact: who isn't) this might sound lame but for more specific fields of interest (think divers, climbers, sailors, architecture fans, history geeks, …) this might prove quite interesting. Those people are however already gathering in specific social networks, frequent the same websites, read the same magazines, etc...
5. So?
Here at Tagcrumbs we do see this as an opportunity, not a hindrance. We take the fragmentation of this space as a given and try to play with it, knowing that we differentiate starkly from the other companies in our field with this approach (no matter if it's Whrrl, Nextstop, …).
Let me explain: next to our end-user offering (which is open to all types of places - and btw. we just submitted the iPhone app yesterday), we'll offer each of these groups their very own location-based content service - which can integrate with Tagcrumbs or even stay independent (do I smell a biz model here?).
If you like it's a bit like Ning - just for physical locations (and a clear focus on mobile). We'll provide the infrastructure so that location-based content can be efficiently exchanged. What's the result then: many very narrow fields of interest (i.e. 'vertical markets') where we enable the group members to exchange the locations of their interest.
Questions? Opinions?