The recent profusion of smartphones in the mobile industry offers new opportunities for mobile services vendors. One of the most influenced service categories is location-based services (LBS). Based on insights from behavioural decision-making, a theoretical framework is developed to analyse individuals‟ decisions to use LBS. We focus on the cognitive processes involved in individual decision-making. Our research is based on two studies. First, we investigated the use of LBS through semi-structured interviews of smartphone users. Second, we explored daily LBS use through a study based on diaries. The findings highlight the distinct value dimension in specific contexts of use and the positive experiences of the service as the main drivers of LBS use. Thus, the user decision to use LBS can be described by either a comparative mode based on the value of LBS in relation to other available options, or by an intuitive mode where past experiences trigger the use of heuristics. These modes in turn underscore the positive influences on the continuance of LBS use.