The global market for digital door lock systems features a highly competitive and fragmented competitive landscape, with low entry barriers for new ventures and intense price pressures owing to the dominance of local players across several regional markets, states TMR in a recent report. However, the high concentration of buyers in key regional markets is expected to lead to sustainable growth opportunities for established as well as new vendors in the market in the next few years. Low initial investment required for venturing into the field is expected to attract many new companies, especially in emerging economies. Some of the key vendors operating in the global market presently are Godrej & Boyce, Assa Abloy Group, Allegion PLC, and Siemens AG.
Transparency Market Research states that the global digital door lock system will exhibit an excellent 32.8% CAGR over the period between 2016 and 2024. Expanding at this pace, the market is expected to rise from a valuation of US$920.7 mn in 2015 to US$11.23 bn by 2024. The volume-wise growth of the market is expected to surpass market’s revenue-wise growth, with the former expected to remain more than 52% CAGR over the period between 2016 and 2024.
Of the key varieties of digital door lock systems, the ones with biometric door locking capabilities are presently the dominant product segment, accounting for nearly two-thirds of the overall market in 2015. The segment is also expected to remain the dominant product variety in the global market over the near future as well, chiefly owing to the high rate of deployment of biometric verification modalities such as fingerprint recognition globally. On the basis of geography, Europe is presently the dominant regional market but is expected to lose prominence to Asia Pacific, which will exhibit expansion at the fastest pace, from 2016 through 2024.
Vast Rise in MSMEs and Rapid Industrialization across Emerging Economies to Drive Market
It is estimated that there are more than 120 mn micro-, small-, and medium-sized enterprises across the globe, with nearly 89 mn of these operating in emerging economies such as China, India, and other Southeast Asian countries. The density of MSMEs is growing in low and middle-income countries at a faster pace than high-income or developed economies. In the next few years, the rising numbers of MSMEs will lead to vast rise in demand for efficient and low-cost digital door security solutions for workplaces.
Along with this factor, the fast-paced industrialization in emerging economies is also a key factor driving the overall global demand for digital door lock systems. Geographic expansion of industries such as banking, IT, and ITes is leading to the need for new office spaces, presenting immense growth opportunities for digital door lock security systems market.
High Cost of Advanced Digital Door Security Systems to Restrict Potential Consumer Base
The relatively higher costs of product varieties manufactured by well-known brands and that incorporate advanced technologies as compared to the products manufactured by newer brands or with elementary technologies are limiting the potential consumer base of the market to a certain extent. Moreover, the high costs required for timely maintenance, troubleshooting, and repairs makes the use of digital door lock systems a costly affair. The high costs of digital door lock systems are especially limiting their mass adoption across emerging economies and low-capital companies.
This review is based on a new market research report by Transparency Market Research, titled “Digital Door Lock System Market - Global Industry Analysis, Size, Share, Growth, Trends and Forecast 2016 - 2024.”
For this study, the market has been segmented as follows:
Digital Door Lock System Market, by Type
- Face Recognition
- Iris Recognition
- Palm Recognition
- Voice Recognition
- Signature Recognition
- Fingerprint Recognition
- Keypad Locks
- Magnetic Stripe Locks
- Electromechanical Door Locks
- Electric Strike Locks
Digital Door Lock System Market, by End-use Adoption
Digital Door Lock System Market, by Geography
- North America
- Asia Pacific (APAC)
- South Korea
- Australasia (Australia, New Zealand
- Middle East & Africa (MEA)
- GCC Countries
- South Africa
- South America