• Japanese
  • Korean
  • Chinese
Cover Image

Retail M2M and IoT Applications - 4th Edition

What is the status for wireless M2M communication in the retail sector? POS terminals and on street parking solutions are two areas where the new technology is already widely adopted. The report also covers vending machines, ATMs, digital signage and ticketing machines. Berg Insight forecasts that the number of cellular M2M connections in the retail industry will grow at a CAGR of 13.9 percent from 23.1 million in 2014 to 44.3 million connections worldwide in 2019. Learn more about the business opportunities associated with the transformation of the retail industry in this new report in the M2M research series from Berg Insight.

Executive summary

The retail industry is an important vertical for cellular M2M connectivity with 23.1 million cellular connections today and a total market size of nearly 113 million POS terminals, ATMs, vending machines, parking meters, digital signs and fare collection devices worldwide. Berg Insight forecasts that the number of cellular M2M connections in the retail industry will grow at a compound annual growth rate (CAGR) of 13.9 percent to reach 44.3 million connections worldwide in 2019. Shipments of cellular M2M devices will at the same time increase at a CAGR of 7.1 percent from 9.4 million units in 2014 to 13.2 million units in 2019. Cellular M2M technology enables devices such as POS terminals and ATMs to be used at new locations where fixed line connectivity is unavailable or impractical. The technology has a more transformational effect on markets such as vending and parking, where machine operators need to reorganize their operations in order to benefit from the availability of real-time information.

The installed base of connected vending machines in North America reached 0.56 million units at the end of 2014, whereas the corresponding figure for EU28+2 was 0.15 million units. The market is still in an early stage as penetration rates for North America and Europe are at 9.3 percent and 3.9 percent respectively. However, vending is also one of the fastest growing segments for connectivity solutions in the retail industry, driven by demand for cashless payment and vending telemetry solutions. The North American market is projected to grow at a CAGR of 18.9 percent between 2014 and 2019, reaching 1.3 million connected vending machines at the end of the period. Similarly, the European market is forecasted to grow at a CAGR of 28.2 percent to reach 0.5 million connections by 2019.

The parking industry has been one of the earliest adopters of M2M communication technology and today approximately 60 percent of the world's 465,000 multi-space meters are connected, primarily to cellular networks. This penetration rate will continue to increase steadily throughout the foreseeable future, as nearly all new multi-space meter deployments have connectivity as a requirement. Connectivity has in contrast to this only recently become an optional feature in single-space meters and today only 6 percent of the single-space meters in the world are connected. However, connected single-space meters have recently had a breakthrough in the North American market, where mixed deployments that comprise both single-space and multi-space meters are becoming common. The share of single-space meters that incorporate connectivity is as a result now increasing rapidly and expected to reach 22 percent by 2019.

Cellular connectivity has become a very popular option for POS terminals and was incorporated in more than one third of the devices shipped in 2014. The wireless technology has an important role in facilitating the global adoption of electronic payments, as it enables the rollout of POS terminals to many new market segments as well as regions where the fixed line telecommunications infrastructure is less developed. Berg Insight forecasts that the installed base of cellular POS terminals will grow at a CAGR of 7.2 percent between 2014 and 2019 to reach 39.2 million units worldwide in 2019, driven especially by growth in emerging markets.

Digital signage solutions have found their way into nearly every possible vertical market and a wide variety of application areas. The untapped market potential is nevertheless still vast and growth is showing no signs of slowing down. Berg Insight forecasts that global shipments of display screens for digital signage will grow from 7.3 million units in 2014 at a compound annual growth rate (CAGR) of 18.7 percent to reach 17.2 million units by 2019. Cellular connectivity is very useful for applications such as temporary signs and in locations where access to fixed line communications is not available or costly to obtain. However, cellular is expected to remain a niche connectivity technology due to the higher costs associated with the technology, especially in bandwidth-intensive applications.

Cellular connectivity is incorporated in more than 0.1 million fare collection devices worldwide today, such as on-board ticket vending machines, stationary vending machines and handheld ticket sales terminals. Berg Insight anticipates that the market potential for cellular connectivity in public transport will expand as account-based fare collection systems gain ground and increase the need for real-time communication. However, the number of fare collection devices that incorporate cellular connectivity is likely to remain relatively modest, as many fare collection devices can share a communication line with other equipment.

Table of Contents

Table of Contents

List of Figures

Executive summary

1 POS terminals and ATMs

  • 1.1 The card payments industry
  • 1.2 Payment infrastructure
    • 1.2.1 Overview of the POS terminal market
    • 1.2.2 POS terminal form factors
    • 1.2.3 Overview of the ATM market
    • 1.2.4 ATM form factors
  • 1.3 Evolution of electronic payments
    • 1.3.1 EMV migration
    • 1.3.2 Adoption of wireless M2M communication
    • 1.3.3 Rollout of NFC-ready terminals
  • 1.4 POS terminal vendors
    • 1.4.1 CCV
    • 1.4.2 CyberNet
    • 1.4.3 Brookfield Equinox
    • 1.4.4 ID Tech
    • 1.4.5 Ingenico
    • 1.4.6 PAX Technology
    • 1.4.7 REA Card
    • 1.4.8 Spire Payments
    • 1.4.9 SZZT Electronics
    • 1.4.10 VeriFone
    • 1.4.11 Worldline
  • 1.5 ATM manufacturers and connectivity solution providers
    • 1.5.1 Contour Networks
    • 1.5.2 Diebold
    • 1.5.3 Digi International
    • 1.5.4 DPL Group
    • 1.5.5 NCR
    • 1.5.6 OptConnect
    • 1.5.7 Triton
    • 1.5.8 Wincor Nixdorf

2 Vending machines

  • 2.1 Overview of the vending machine industry
  • 2.2 Vending industry players
    • 2.2.1 Vending technology providers
    • 2.2.2 Vending machine manufacturers
    • 2.2.3 Product suppliers
    • 2.2.4 Vending operators
  • 2.3 Payment systems
    • 2.3.1 Coin mechanisms and bill validators
    • 2.3.2 Cashless payments
    • 2.3.3 Mobile phone payments and NFC
  • 2.4 Vending telemetry and software
    • 2.4.1 Remote monitoring of vending machines
    • 2.4.2 Vending management systems
  • 2.5 Connected vending machines
    • 2.5.1 Europe
    • 2.5.2 North America
    • 2.5.3 Rest of World
  • 2.6 Vending telemetry and cashless payment solution providers
    • 2.6.1 BiTX
    • 2.6.2 Cantaloupe Systems
    • 2.6.3 Deutsche Telekom
    • 2.6.4 Distrilog
    • 2.6.5 Ingenico Group
    • 2.6.6 Materna
    • 2.6.7 Mecsel
    • 2.6.8 Nayax
    • 2.6.9 On Track Innovations
    • 2.6.10 Prosa
    • 2.6.11 Smarcom
    • 2.6.12 USA Technologies
    • 2.6.13 Vending Management Services
    • 2.6.14 Vendon
    • 2.6.15 VendScreen
    • 2.6.16 VendSys
    • 2.6.17 Vianet Group
  • 2.7 Vending machine manufacturers
    • 2.7.1 Automated Merchandising Systems
    • 2.7.2 Azkoyen Group
    • 2.7.3 Bianchi Vending Group
    • 2.7.4 Crane
    • 2.7.5 Deutsche Wurlitzer
    • 2.7.6 FAS International
    • 2.7.7 Fastcorp
    • 2.7.8 Fuji Electric
    • 2.7.9 Jofemar
    • 2.7.10 N&W Global Vending
    • 2.7.11 Rheavendors Group
    • 2.7.12 Royal Vendors
    • 2.7.13 SandenVendo
    • 2.7.14 Seaga
    • 2.7.15 Sielaff
    • 2.7.16 Westomatic
    • 2.7.17 Wittern Group
  • 2.8 Vending operators
    • 2.8.1 Aramark
    • 2.8.2 Pelican Rouge Group
    • 2.8.3 Canteen Vending Services
    • 2.8.4 Selecta
    • 2.8.5 Sodexo

3 Parking meters

  • 3.1 The parking industry
    • 3.1.1 Parking industry players
    • 3.1.2 Single-space and multi-space meters in Europe and North America
    • 3.1.3 Pay-by-phone parking
  • 3.2 Connected parking meters
    • 3.2.1 Mobile data communication solutions for parking meters
    • 3.2.2 Connected multi-space parking meters
    • 3.2.3 Connected single-space parking meters
  • 3.3 Parking solution vendor profiles
    • 3.3.1 Cale Access
    • 3.3.2 Digital Payment Technologies
    • 3.3.3 Duncan Solutions
    • 3.3.4 Hectronic
    • 3.3.5 IPS Group
    • 3.3.6 MacKay Meters
    • 3.3.7 METRIC
    • 3.3.8 Parkare Group
    • 3.3.9 Parkeon
    • 3.3.10 POM
  • 3.4 Private parking operators

4 Public transport ticketing

  • 4.1 Modal split of passenger transport
  • 4.2 Bus and rail fleets
  • 4.3 Fare collection systems
    • 4.3.1 Fare payment
    • 4.3.2 Fare collection devices
    • 4.3.3 Installed base
    • 4.3.4 Mobile data communication solutions
  • 4.4 Fare collection system vendors
    • 4.4.1 Cubic Transportation Systems
    • 4.4.2 Indra
    • 4.4.3 Scheidt & Bachmann
    • 4.4.4 Thales
    • 4.4.5 Vix Technology
    • 4.4.6 Xerox
    • 4.4.7 FARA
    • 4.4.8 INIT
    • 4.4.9 IVU
    • 4.4.10 METRIC

5 Digital signage

  • 5.1 Overview of the digital signage industry
  • 5.2 The digital signage value chain
    • 5.2.1 Display screen vendors
    • 5.2.2 Media player vendors
    • 5.2.3 Content management system providers
    • 5.2.4 Installers, system integrators and network operators
  • 5.3 Application areas
    • 5.3.1 Retail
    • 5.3.2 Office and enterprise
    • 5.3.3 Healthcare
    • 5.3.4 Transportation
    • 5.3.5 Education
    • 5.3.6 Foodservice
    • 5.3.7 Outdoor signage
  • 5.4 Evolution of the digital signage industry
    • 5.4.1 From non-connected to connected digital signs
    • 5.4.2 Media player form factors
    • 5.4.3 Display technologies
  • 5.5 Media player vendors
    • 5.5.1 Advantech
    • 5.5.2 AOPEN
    • 5.5.3 Arrow Electronics
    • 5.5.4 BrightSign
    • 5.5.5 Hewlett-Packard
    • 5.5.6 IAdea
    • 5.5.7 iBASE
    • 5.5.8 Rikomagic
    • 5.5.9 Shuttle
  • 5.6 Display screen vendors
    • 5.6.1 DynaScan
    • 5.6.2 Elo Touch Solutions
    • 5.6.3 LG Electronics
    • 5.6.4 NEC Display Solutions
    • 5.6.5 Panasonic
    • 5.6.6 Planar
    • 5.6.7 Samsung Electronics
    • 5.6.8 Sharp
  • 5.7 Content management system providers
    • 5.7.1 BroadSign
    • 5.7.2 Four Winds Interactive
    • 5.7.3 Grassfish
    • 5.7.4 Industry Weapon
    • 5.7.5 Rise Vision
    • 5.7.6 RMG Networks
    • 5.7.7 Scala
    • 5.7.8 Signagelive
    • 5.7.9 STRATACACHE
    • 5.7.10 Wondersign

6 Forecasts and conclusions

  • 6.1 Wireless M2M in the retail industry
    • 6.1.1 Cellular M2M device shipments
    • 6.1.2 Cellular M2M network connections
  • 6.2 Market trends and drivers
    • 6.2.1 Uptake of wireless M2M in POS terminals is steady while NFC surges
    • 6.2.2 ATMs in offsite locations benefit from cellular connectivity
    • 6.2.3 Vending operators benefit from cashless payments and telemetry
    • 6.2.4 The parking meter industry leads in the adoption of wireless M2M
    • 6.2.5 Public transport ticketing will move to systems with real-time authorization
    • 6.2.6 Digital signage is becoming a central platform for digital marketing
  • 6.3 Market forecasts
    • 6.3.1 POS terminals
    • 6.3.2 ATMs
    • 6.3.3 Vending machines
    • 6.3.4 Parking meters
    • 6.3.5 Public transport ticketing
    • 6.3.6 Digital Signage

Glossary

List of Figures

  • Figure 1.1: Installed base of POS terminals and ATMs (World 2009-2013)
  • Figure 1.2: POS terminal density by country (World 2013)
  • Figure 1.3: Stationary and mobile POS terminals
  • Figure 1.4: mPOS devices
  • Figure 1.5: ATM density by country (World 2013)
  • Figure 1.6: Free-standing and through-the-wall ATMs
  • Figure 1.7: EMV implementation status (World 2013)
  • Figure 1.8: POS terminals with cellular connectivity by region (World 2014)
  • Figure 1.9: NFC-ready POS terminals by region (World 2014)
  • Figure 1.10: POS terminal shipments by manufacturer (World 2014)
  • Figure 1.11: PAX Technology POS terminals
  • Figure 2.1: Vending machine density by region (World 2013)
  • Figure 2.2: Examples of vending machines
  • Figure 2.3: Installed base of vending machines by country (EU 28+2 2012)
  • Figure 2.4: Examples of product suppliers and brands
  • Figure 2.5: Examples of coin mechanisms and bill validators
  • Figure 2.6: Examples of cashless payment devices for open and closed systems
  • Figure 2.7: Installed base of connected vending machines by technology vendor (2014)
  • Figure 2.8: Market shares for providers of connected vending solutions (Europe 2014)
  • Figure 2.9: Market shares for providers of connected vending solutions (NA 2014)
  • Figure 2.10: The MyWallet Kiosk payment terminal
  • Figure 2.11: vBox vending telemetry device
  • Figure 2.12: Product portfolios of vending machine manufacturers (2014)
  • Figure 3.1: Examples of connected single-space and multi-space meters
  • Figure 3.2: Share of connected multi-space parking meters by vendor (World 2014)
  • Figure 3.3: Share of connected single-space parking meters by vendor (World 2014)
  • Figure 3.4: Parking meter offerings by vendor
  • Figure 3.5: Selected European and North American parking operators
  • Figure 4.1: Modal split of passenger transport on land (EU and NA 2012)
  • Figure 4.2: Bus and rail fleets in public transport (EU and NA 2012)
  • Figure 4.3: Evolution of fare payments
  • Figure 4.4: Fare collection device segments
  • Figure 4.5: Installed base of contactless fare collection devices (EU and NA 2014)
  • Figure 4.6: Scheidt & Bachmann fare collection devices
  • Figure 4.7: METRIC fare collection devices
  • Figure 5.1: Digital signage value chain
  • Figure 5.2: Examples of display form factors
  • Figure 5.3: Examples of DOOH network operators
  • Figure 5.4: Examples of digital signs in retail stores
  • Figure 5.5: Examples of digital signs in an office building
  • Figure 5.6: An example of a digital sign in healthcare
  • Figure 5.7: Information displays for transportation
  • Figure 5.8: Interactive whiteboard in a classroom
  • Figure 5.9: Digital menu boards
  • Figure 5.10: Infotainment program for coffee & bagel shop customers
  • Figure 5.11: Digital billboard
  • Figure 5.12: Local and remote management of digital signage networks
  • Figure 5.13: Media player form factors
  • Figure 5.14: Chromebox Commercial and Chromebase Commercial by AOPEN
  • Figure 5.15: BrightSign 4K1142 media player
  • Figure 5.16: MK80 and MK802 media players
  • Figure 6.1: Cellular M2M connections in the retail industry (World 2014)
  • Figure 6.2: Cellular M2M retail device shipments by region (World 2013-2019)
  • Figure 6.3: Cellular M2M retail device connections by region (World 2013-2019)
  • Figure 6.4: Deployment of NFC and cellular technologies (World 2013-2019)
  • Figure 6.5: Cellular POS terminal shipments by region (World 2013-2019)
  • Figure 6.6: Cellular POS terminal installed base by region (World 2013-2019)
  • Figure 6.7: NFC POS terminal shipments by region (World 2013-2019)
  • Figure 6.8: NFC POS terminal installed base by region (World 2013-2019)
  • Figure 6.9: Installed base of wirelessly connected ATMs (EU and NA 2013-2019)
  • Figure 6.10: Installed base of connected vending machines (World 2013-2019)
  • Figure 6.11: Connected vending machine market forecast (NA 2013-2019)
  • Figure 6.12: Connected vending machine market forecast (Europe 2013-2019)
  • Figure 6.13: Connected vending machine market forecast (RoW 2013-2019)
  • Figure 6.14: Connected parking meters (World 2013-2019)
  • Figure 6.15: Multi-space parking meter market forecast (World 2013-2019)
  • Figure 6.16: Single-space parking meter market forecast (World 2013-2019)
  • Figure 6.17: Installed base of contactless fare collection devices (EU and NA 2013-19)
  • Figure 6.18: Digital signage display market forecast (World 2013-2019)
  • Figure 6.19: Digital signage connectivity technologies (World 2013-2019)
Show More
Pricing
  • Int'l: +1-860-674-8796
  • TollFree(US): +1-866-353-3335
  • Europe: +32-2-535-7543
  • Asia: +65-6223-2436
Back to Top