Global POS Terminal Market: Snapshot
The presence of a sizeable number of large players in the global point-of-sale (POS) terminal market makes stiff competition prevail among them. The competition is expected to further intensify as aspiring players, especially software vendors are seeking entry into the market.
One of the key growth drivers for the global POS terminal market is the high acceptance of POS terminal across the retail, healthcare, hospitality, warehouse/distribution sectors due to its ease and high return on investment. POS terminal offer several advantages with respect to fast bill processing, maintain customer database, inventory management, offering special discounts, and maintaining customer loyalty programs.
A report by Transparency Market Research predicts the global POS terminal market to rise at a CAGR of 11.5% between 2017 and 2025. The market stood at a valuation of US$54.68 bn in 2016.
Wireless and Mobile POS Terminal Type to Lead in Future
The segments of the global POS terminal market based upon terminal type are fixed type and wireless and mobile type POS terminal. The segment of fixed POS terminal held a whopping 94% of the market in 2016 on account of early adoption of technology. However, the adoption of wireless and mobile POS is on the rise due to ease of use, mobility, and cost-effectiveness as compared to traditional POS terminal. Small and medium sized businesses are increasingly displaying significant demand for mobile POS terminal due to their affordability as compared to fixed POS terminal and widespread use of smartphones and tablets at workplaces and in businesses.
The application segments of the global POS terminal market include restaurant, grocery/supermarket, field service, hospitality-lodging, healthcare, warehouse/distribution, retail, and government. Retail, among all, was the leading application segment holding 33% of the market in 2016. The rising popularity of technology-driven payment options among small retailers is anticipated to have a positive impact on the growth of the global POS terminal market. The healthcare sector, on the other hand, is expected to display the leading growth rate in the upcoming years. The segment is anticipated to clock an impressive 13.1% CAGR between 2017 and 2025. This is mainly because of increased spending in many countries to improve healthcare services, which includes use of technology-driven solutions for tracking patient data and for payment options.
In the coming years, the warehouse application segment is expected to display significant growth due to the rising popularity of mobile POS terminal.
In terms of component, the segments of the global POS terminal market are software and hardware. POS hardware segment comprises payment terminal (reader), workstation and accessories (cash drawer, wireless bar code scanner, PIN pad, tag printers, receipt printer, physical inventory scanner, and tag printers).
Early Adoption of Technology Makes North America Leading Market
At the regional front, North America led in 2016 holding almost 30% of the market revenue-wise. The growth of the region is mainly due to significant use of POS terminal across several industry sectors such as retail and entertainment. The high adoption of POS terminal among small retailers and quick service restaurants along with large retailers accounts for the significant position of the region in the global market.
In addition, compliance requirements such as EuroPay, MasterCard, and Visa (EMV) in place in the region for enhanced security of payments add to the growth of North America POS terminal market.
Some key vendors operating in the global market for POS terminal are Ingenico S.A, MICROS Systems Inc., NEC Corporation, PAX Technology Limited, VeriFone Systems Inc., Hewlett-Packard Company, Cisco Systems Inc., Toshiba Corporation, Panasonic Corporation, and Samsung Electronics Co. Ltd.
Global Point-of-Sale Terminal Market: Overview
Point-of-sale (POS) terminals market has gained significant momentum in recent years due to the ease of use and improved return on investment being offered by these systems. POS terminals have wide range of applications including payments, printing bills, inventory management and carrying out loyalty programs across various end-use verticals such as retail, hospitality and entertainment. The advanced POS systems offer higher reliability and durability as compared to traditional systems such as cash registers. The higher reliability of modern POS systems leads to significant reduction in total cost of ownership (TCO) and this in turn is aiding the growth in demand for POS solutions in small and medium size businesses. Mobile POS (mPOS) terminals have emerged as a contender for replacing the current transaction and payment techniques owing to its improved features such as mobility and better user experience. Mobile POS allows sales and service industries to conduct financial transactions at customers place, improving customer experience. Further, mobile POS terminals have low initial cost as compared to traditional fixed POS terminals systems leading to increasing demand from small and medium sized businesses. Further, hospitality and retail sector are experiencing significant growth in demand for mPOS solutions driven by improved return on investment and increased demand for customer analytics features.
Global Point-of-Sale Terminal Market: Scope of Study
The research report on the point-of-sale (POS) terminals market provides a detailed analysis of POS systems and helps in understanding driving forces behind the popularity of these systems across various end-use industries. It also provides an analysis of major sub-segments of the POS market for the years from 2015 to 2025. The report includes extensive analysis of the industry drivers, restraints, opportunities and market trends. The study provides comprehensive assessment of stakeholder strategies and imperatives for succeeding in the business. This research study focuses on market data and insights, including the size and growth of the POS terminals market. The report provides a thorough analysis of the emerging industry trends and the prevailing state of the market. It offers a comprehensive coverage of the underlying technological and economic factors influencing the POS terminals business. The prevalent competition in the market is identified through market share analysis of key players in the market. Furthermore, the value chain analysis and Porter’s five forces analysis are included in the report, aiming to provide strategic insight across the supply chain of the POS terminals market. Additionally, the report also includes profiles of major market participants for better understanding of their contributions. The company profiles include overview of company, revenue, strategies followed by them for gaining competitive advantage and SWOT analysis.
Global Point-of-Sale Terminal Market: Market Segmentation
The report segregates the market based on type, components, applications and geography. POS terminals market has been categorized into two types’ namely fixed POS terminals and wireless and mobile POS terminals. Components in the POS terminals market have been categorized into POS hardware and POS software. The study offers a complete understanding of different application sectors of POS terminals. The report includes various application areas of POS terminals such as restaurant, hospitality (lodging), healthcare, retail, warehouse / distribution, entertainment and others. Others segment includes application of POS in sectors such as field service, government, transportation, etc. The report aims to provide a comprehensive cross-sectional analysis of the component, type and application segments across North America, Europe, Asia Pacific and Rest of the World (RoW).
Global Point-of-Sale Terminals Market: Competitive Landscape
Key players in the market have been profiled in the report along with their business strategies and market positions. Companies profiled in this report include Ingenico S.A., NEC Corporation, PAX Technology Limited, NCR Corporation, Wincor Nixdorf International, MICROS Systems Inc., VeriFone Systems Inc., Cisco Systems Inc., Hewlett-Packard Company, Toshiba Corporation, Panasonic Corporation and Samsung Electronics Co. Ltd.
The global POS terminals market is categorized into the following segments:
POS Terminals Market, by Product Type
- Fixed POS Terminals
- Wireless and Mobile POS Terminals
POS Terminals Market, by Component
POS Terminals Market, by Application
- Warehouse / Distribution
- Others (Field Service, Government, Transportation, etc)
POS Terminals Market, by Geography
- North America
- Asia Pacific
- South America