This market research report on global POS market (point of sale market) offers analysis on market size & forecast, market share, industry trends, growth drivers, and vendor analysis. The market study also includes insights on segmentation by product format (fixed POS and MPOS), by compliance (EMV and non EMV), by NFC technology (NFC-ready and no NFC), by end-users (retail, restaurant, warehouse & distribution, entertainment, healthcare, and hospitality), and by geography (APAC, North America, Europe, Latin America and MEA).
The implementation of POS systems across industries such as hospitality, retail, restaurant, healthcare, warehouse and distribution, and entertainment is propelling the growth of the global POS market (point of sale market). These systems are designed to automate the shopping experience and help expedite the checkout process, thereby, resulting in increased consumer satisfaction in the global market. These point of sale systems offers real-time inventory information, update about the stock, availability of product, and pricing information. These valuable data can be further used for product assortment, pricing, and product-related promotional offers to increase the productivity levels and consumer experience in the global market. The growing demand for these systems developing countries such as China and India will fuel the development of the global market. The mandatory government regulations to switch to chip-based cards in the US is augmenting the launch of new product models such as NFC-ready and EMV-compliant mPOS systems in the global market.
The futuristic inventions in the payment and transaction technology with complementary security technologies will revolutionize the global point of sale market. The leading players are investing in the development of product portfolio with upgrades and advanced features to boost revenues in the global market. The POS market (point of sale market) is estimated to generate revenues of approximately $10 billion by 2023 and is anticipated to grow at a CAGR of around 12% during the forecast period.
POS Market Size Reveneue
The increasing demand for NFC-ready systems is contributing to the growth of the global POS market (point of sale market). The adoption of the contactless payment systems is revolutionizing the global market. The implementation of NFC technology increases the speed of transactions, and it integrates contactless payments with smartphone or tablet devices. The modification of mobile phones into NFC devices will improve payments and transactions for the consumers and boost the adoption of these systems in the point of the sales market. In 2016, Visa and Barclaycard developed NFC payment bands that allowed consumers to make purchases by tapping their wrists against contactless terminals. The introduction of NFC mobile payment that allows consumers to use mobile phones for in-store payment through scanning a QR code will further fuel the adoption of these systems in the global market.
This market research report includes a detailed segmentation of the market by product format, compliance, NFC technology, end-user, and geography.
POS Market Segments
mPOS systems to gain immense traction in the global point of sale market during the forecast period
The POS market by product format is segmented into fixed POS and MPOS. The mPOS systems occupied a significant market share in 2017 and are projected to grow at a CAGR of over 14% during the forecast period. The adoption of these systems by small and medium-sized merchants that provide services that include pay-as-requirement technology is propelling the growth of this segment in the global market. The devices enable consumers to use the device as per requirement and do not need fixed monthly or yearly contracts. The implementation of stricter regulations will encourage leading vendors to facilitate secure EMV card transaction on these devices. The efficiency and record keeping applications within smartphone devices help in organizing data, and retrieval data for analysis and enable end-users to implement effective strategies in the global market.
EMV terminals to occupy the largest market share in the global point of sale market during the forecast period
The compliance segment in the global POS market is classified by EMV and non-EMV. The EMV segment dominated the market share in 2017 and is estimated to grow at a CAGR of approximately 13% during the forecast period. The mandatory use of chip-based cards implemented by the US government is driving the growth of the EMV terminals in the global market. The introduction of cards with embedded microprocessors that provide strong transaction security features will boost the adoption of EMV terminals in the global market. It is estimated, the currently about 40% of the retailers can process EMV payments with an installed base of over 2 million EMV-complaint POS terminals in the US. The increasing use of these terminals in regions such as Canada, Latin America, and the Caribbean will revolutionize the global market during the forecast period.
NFC-ready terminals to occupy the largest market share in the global point of sale market during the forecast period
The POS market by technology segment is categorized into NFC-ready and no NFC. The NFC-ready terminals occupied a significant market share in 2017 and are anticipated to grow at a CAGR of more than 16% during the forecast period. The immense popularity of NFC-ready terminals and the adoption of these devices will drive the growth of this segment in the global market. Research analysts at Arizton state that in 2016, around 88% of the total terminals shipped in the US market was NFC-ready. The launch of NFC-ready mPOS terminals is slowly gaining popularity among merchants and is estimated to trend in the global market over the next few years. The leading vendors are expanding their businesses to reach developing nations of Brazil, Turkey, and China and gain a larger share in the global market.
Retail sector to dominate the largest market share in the global point of sale market during the forecast period
The end-users segment in the POS market is divided into retail, restaurant, warehouse & distribution, entertainment, healthcare, and hospitality. The retail segment occupied almost half of the market share in 2017 and is estimated to grow at a CAGR of approximately 12% during the forecast period. The retail sector is the fastest adopters of PCI compliant terminals and EMV-certified mobile card readers. These advanced systems are integrated with peripheral backend devices and offer real-time dashboards that help to manage transactions, devices, and user profiles. Accelerated checkouts and personalized services are some of the factors boosting the adoption of these systems in this segment in the global market. The companies are offering value added services for the retail segment that enables retailers to store customers’ email that allow providing regular emails about updated products and are used as an additional marketing channel in the global market.
APAC to account for largest market shares in the global point of sale market during the forecast period
The global POS market by geographical segment is classified into APAC, North America, Europe, Latin America and MEA. APAC dominated close to half of the market share in 2017 and is anticipated to grow at CAGR of more than 13% during the forecast period. Countries such as China, India, and Japan are the highest end-user of these terminals in the APAC market. The rapid urbanization in developing countries and increase in sales and growth of industries such as hospitality, healthcare, and restaurant is augmenting the development of the APAC market. The government initiatives to digitalized the economy in APAC countries will further boost the adoption of these devices in the APAC market.
The global POS market is moderately fragmented, and the international vendors are launching products with high functionality and designs. The presence of both global and regional players is intensifying the competition in the global point of sale market. The price wars among prominent players will result in the launch of diverse product portfolio with innovative technologies in the global market. The increasing investments for R&D and commercialization costs will help top companies gain a larger market share and attract new consumers in the global market. The increasing focus to attain sustainability, expand into other geographies, and revive domestic demand are some of the factors helps players sustain the competition in the global market.
The major vendors in the global market are:
Other prominent vendors include BBPOS, Bitel, Castles Technology, Centerm, Dspread Technology, Hangzhou Sunyard, Nexgo (Shenzhen Xinguodu Technology), New POS Technology, Spire Payments, and SZZT Electronics.
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