The Global Smart Ticketing Market was valued at USD 6.8 Bn in 2020 and is expected to reach USD 17.2 Bn by 2027, with a growing CAGR of 14.1% during the forecast period.
The global smart ticketing market is accounted to exhibit significant growth in the forecast period owing to the increasing popularity of wearable technology. Wearable smart gadgets are being experimented with innovations and are tested in each and every sector. Specifically in transportation sector, the mobile and wearable ticket is anticipated to be incorporated in buses, trains or trams in the forecasted period. For instance, in October 2018, in Switzerland, the STMicroelectronics, a semiconductor and electronics applications company, collaborated with Fidesmo, a contactless-services developer have launched a ready-to-use, secure, contactless payment option on smart watches and other wearable devices.
Moreover, the global smart ticketing market is boosted with the higher adoption in transportation industries in varied regions. There are several smart card associations formed to install smart ticket systems at various public areas in developed and developing countries. For instance, the Asia Pacific Smart Card Association (APSCA) has been working consistently to implement smart ticketing systems all over the region. Furthermore, Japan, China, Korea, Malaysia, Hong Kong, Singapore, and Taipei are the first ones to enable smart ticketing in the country. One of the similar associations based in Europe are working on technological implementations in European region. Such associations are guaranteeing the growth of the market growth. For instance, in 2018, the transport secretary Chris Grayling announced plans to invest USD 95 million into smart ticketing technology across the rail network in England and Wales.
Apart from all the innovations going on, the global smart ticketing market is experiencing a bit of hindrance as the installation expenses required are huge in case of smart ticketing systems. Most of the times, the installations expenses include adoption of ‘open systems’, and ‘account-based’ ticketing systems which are necessitating a large investments therefore hampering the global smart ticketing market. However, the blockchain can be used to attain uniformity among different players and attain transparency in ticket booking processes, and thus the use of blockchain technology in smart ticketing is anticipated to offer a lucrative growth opportunity.
The Global Smart Ticketing Market Segmentation:
The unique insights provided by this report also include the following:
Based on component, the software segment is expanding at the highest growth rate during the period
Based on component, the smart ticketing market has been segmented into software, hardware, and services. The software systems are expected to hold the largest market share in the year 2021. Several private companies and government bodies are looking forward to using smart ticketing software’s for long run. For instance, in August 2021, in Kolkata, India, the Centre for Railway Information Systems (CRIS) has developed software that is going to be installed in the 26 stations of the North-South line, the installation will benefit in cutting down of the long queue and help maintain COVID-19 norms
Moreover, the service segment is anticipated to grow at the fastest rate throughout the forecast period in global smart ticketing market. The rapid rise in digitalization in ticketing services to provide more convenient travel experience is driving the segmental growth. For instance, in March 2021, digital financial services platform PayTm, launched a smartcard recharge facilities for Bangalore Metro Rail Corporation Ltd (BMRCL) for commuters, on its smartphone app. This new service provided by PayTm will offer garden city commuters with a safe, seamless, travelling option and avoid long queues to buy smart card top-ups at metro stations.
Based on the systems, the smart cards are accounted for the largest market share
Based on systems, the market is categorized as Open Payment System (OPS), smart card, and Near-Field Communication (NFC). Amongst all, the smart card systems are applied at maximum places leading the segment to dominate the smart ticketing market. For instance, in July 2021, in India, the Chandigarh shared its plan to issue 10,000 smart cards to be used by CTU bus commuters. These smart cards were designed by the Society for Promotion of IT in Chandigarh (SPIC), as smart passes being used in Chandigarh priory lacked digital qualities.
Based on regions, Europe accounted for the largest share in 2020
Geographically, the market has been segmented into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. Amongst all, the European region was accounted to dominate the market in the year 2020. This domination is anticipated to remain constant owing to the huge presence of market players in this region. The global smart ticketing market players provide the region with large manufacturing, and service providing units, generating a larger economic activity. For instance, in August 2021, the yahoo finances stated that Infineon Technologies AG is showing positive growth in smart ticketing market, the company is observed to earn positive revenues and have free cash flow development for the year.
Moreover, the Asia Pacific region is accounted to grow at the fastest rate owing to increasing government initiatives taken in favour of smart ticketing market. For instance, The Indian government launched a digital platform, named digital India program, boosting the cashless transaction in the country. This will lead to increased usage of cashless transaction options such as tap-to-pay cards, and smart cards.
The report also provides in-depth analysis of market dynamics such as drivers, restraints, opportunities, and challenges
COVID-19 Impact on the Market
The impact of COVID-19 has greatly affected the smart ticketing market. The impact on the market is considered to be negative as the outbreak has dramatically imposed restrictions on varied activities such as travelling, ground sports tournaments, offline entertainment sector and much more. The restrictions on such activities had simultaneous effect on usage of smart ticketing systems thus declining the smart ticketing statistics in recent years. Some of the regions which are majorly depended on tourism for their income sources are estimated to experience a decline in their GDP due to the decline in tourism activity. Moreover, public transits are anticipated to be affected at the most. For instance, In March 2020, Washington DC witnessed a decline of 90% in metro-rail ridership, and a decline of 75% in buses ridership.
The report also provides in-depth analysis of key trends in smart ticketing market
The increasing demand for blockchain technology to secure transactional information and provide end-to-end encryption in smart ticketing systems is anticipated to propel the smart ticketing market growth in forecast period
The report also provides an in-depth analysis of recent news developments and investments
Company Profiles and Competitive Intelligence
The key players operating in the market are:
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