The mounting rise in the number of personal and commercial small and heavy vehicles on the roads across the globe has led to an immense rise in the need for effective management of these vehicles so as to track and manage traffic and maximize performance, operations, and reliability of all aspects concerning road networks. These requirements are driving the global market for traffic management systems globally.
In the past few years, a vast variety of traffic management systems have been introduced in the global market, covering aspects such as vehicle detection, tunnel traffic management, ramp metering, and bridge traffic management. With governments across the globe putting increased focus on the effective management of traffic as a way of reducing pollution, fostering social and economic development by reducing the time spent by their populations on roads, keep their limited road networks running smoothly, the demand for effective traffic management systems has significantly increased recently. In this report, Transparency Market Research presents a thorough assessment of the growth prospects of the market in present times as well as the near future.
The demand for effective traffic management solutions is expected to rise at a promising pace in the next few years, thanks to the vast rise in vehicle ownership globally and the rising awareness regarding the social and economic losses that economies incur due to traffic jams. The Texas A&M Transportation Institute estimates that Americans spend about 5 bn hours and are required to spend on an extra 3 bn gallons of fuel on an average due to traffic congestions. These numbers translate to extra expenses worth nearly US$120 bn every year. Europe incurs losses amounting to nearly 1% of its GDP every year due to traffic congestions according to the Mobility & Transport department of the European Commission.
The situation is worse in emerging economies across regions such as Asia Pacific and Latin America wherein a vast rise in disposable incomes is promoting vehicle ownership but the outdated infrastructures, rapidly mushrooming urban setups, and slow pace of infrastructural developments are making traffic a major challenge for the population. Owing to these factors, and the fact that traffic management systems can have a significant impact on the issue of road congestions, the demand for traffic management solutions is expected to rise at a promising pace in the near future. The market is also expected to benefit from the rising number of solutions at affordable costs, which could allure consumers across emerging and cost-conscious economies as well.
For a more detailed outlook of the global traffic management systems market, the report segregates it into logical segments based on aspects such as key elements, applications, and geography. On the basis of key elements, which typically make-up a standard traffic management solution, the market has been segmented into software and hardware. The segment of software is further segmented into smart signaling, route guidance, smart surveillance, and traffic analytics. In terms of hardware, the market has been segmented into display board, sensors, and surveillance cameras. Geographically, the market across regions such as North America, Asia Pacific, Europe, Latin America, and Middle East and Africa is examined.
The increasingly competitive vendor landscape is witnessing the rise in number of developers and innovative products. To gain an added share in the overall growth opportunities in the market, companies are diverting their funds towards geographical expansion and innovations. Some of the leading companies in the global traffic management systems market presently are EFKON AG (Austria), Siemens AG (Munich, Germany), Nuance Communications, Inc. (The U.S.), Hitachi Ltd (Tokyo), Iteris, Inc. (The U.S.), WS Atkins PLC (U.K.), Thales Group (France), Telenav, Inc (The U.S.), Garmin International Inc. (The U.S.), and TomTom NV (The Netherlands).