You’ve probably heard the term “location-based services,” but how much do you really know about it?

If your answer is “nothing,” fear not! Here’s the latest scoop on location-based marketing services:

What are location-based services?

Location-based services, or LBS, is a service that can be used for information or entertainment that uses the geographical location through the utilization of a mobile network. Basically, the GPS system in your mobile telephone can tell where you are in relation to other businesses or landmarks, for whatever reason the application is used.

What are some successful examples of location-based services?

Smartphone Apps such as Yelp and Urban Spoon are great tools that help you find restaurants, gas stations, bars and more in your neighborhood. Waze is a new Smartphone app that allows drivers to bypass traffic during their commutes through the help of other drivers. Find My Friends is also a new Smartphone App that helps you use your friend’s mobile GPS system to locate them. (Sidenote: A man actually caught his wife cheating with this new Find My Friends App. Read about it here.)

How can I use location-based services for my business?

Although it is extremely important in terms of social media for your company to have well-maintained Facebook and Twitter pages, how will potential new customers find out about your business? You need to be put on the map. Setting your business up on a location-based services application like GowallaFoursquare, and Yelp is absolutely free and can help your company in tremendous ways. The comment sections on these applications are extremely important and can help drive in new foot and Web traffic to your business.

The bottom line about location-based services is that they make it extremely easy and convenient for consumers to learn about new businesses, shops, restaurants and other venues around them. The more opportunities you can give your community through different forms of social media to let them know that you are there and open for business, the better. Facebook, Twitter, and company blogs are a great way to build your company’s presence on the Internet, and location-based services are a perfect way to put your company out there on mobile device and Smartphone apps.