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Guest post by Mike Schaffer, social media and online marketing manager at Iostudio.

Despite the incessant buzz in the marketing industry surrounding Foursquare and Facebook Places, I see four major challenges facing location-based services.

For all the hype, only four percent of adults are using these services (not to mention the 84 percent of adults who have no idea what they are). Clearly, not a ton of folks are taking advantage of them, so let’s investigate the main reasons why they haven’t caught fire…yet. (more…)