POS Terminals and Wireless M2M – 2nd Edition
POS Terminals and Wireless M2M is a the second consecutive report from Berg Insight analysing the latest developments on the global POS terminal market. This strategic research report from Berg Insight provides you with 40 pages of unique business intelligence including 5-year industry forecasts and expert commentary on which to base your business decisions.
Highlights from the second edition of the report:
This research report answers the following questions:
- Detailed analysis of the payments industry.
- Summary of the latest industry trends and developments.
- Updated in-depth profiles of key players in the POS and mPOS terminal markets.
- Reviews of vendor market shares and competitive dynamics.
- Perspectives on the impact of mobile wallet services.
- Extensive global and regional market forecasts lasting until 2020.
What is the potential market size for wireless M2M communication in the retail industry?
Which trends and developments are shaping the market?
How many of the NFC-ready terminals have the contactless capabilities turned on?
What are the market shares for the leading POS terminal vendors?
How will emerging mobile wallet services affect the market?
What is the attach rate for cellular connectivity in POS terminals by region?
The world is continuously shifting from coin and paper-based payments such as cash and
cheques to electronic forms such as payment cards and mobile phone payments. As a part
of this evolution, POS terminals are becoming more and more common in all parts of the
world. The global installed base of POS terminals grew to almost 90 million units in 2015.
Market growth is primarily fuelled by the increasing adoption of electronic payments in
emerging markets. Developed markets are relatively saturated in terms of POS terminal
adoption. In addition, the mPOS terminal market is today growing even faster and Berg
Insight forecasts that the installed base of mPOS terminals worldwide will grow from 22
million units in 2015 to reach 66 million units by 2020.
Cellular connectivity has become a very popular option for POS terminals and was
incorporated in 37 percent of the devices shipped in 2015. 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 and parts of the world where the fixed
line telecommunications infrastructure is less developed. The installed base of cellular POS
terminals reached 26.2 million in 2015. Berg Insight forecasts a CAGR of 10.4 percent
between 2015 and 2020, resulting in a total of 42.9 million cellular POS terminals at the end of
the forecast period.
The market for NFC-ready POS terminals continued to display strong momentum in 2015 with
annual shipments reaching an estimated 12.6 million units worldwide. The attach rate for NFC
was highest in EU28+2 and North America, where 88 percent and 84 percent of the POS
terminals shipped featured NFC respectively. NFC was also a very popular feature in many
other major markets worldwide, including Brazil, Turkey and China. While the installed base
of NFC-ready POS terminals has grown quickly, many of the terminals do still not have the
contactless features turned on. Berg Insight estimates that approximately 15.0 million POS
terminals accepted contactless payments with Visa payWave, MasterCard PayPass or
UnionPay Quickpass at the end of 2015.
- Executive summary
- 1 Introduction
- 1.1 The card payments industry
- 1.1.1 The transaction process in card payments
- 1.1.2 Costs of a card payment transaction
- 1.1.3 Revenue distribution in the card payments industry
- 1.1.4 Card payments and household consumption expenditures
- 1.1.5 Breakdown of household consumption expenditures
- 1.1.6 Card payment volumes
- 1.2 The POS terminal market
- 1.2.1 POS terminal market data
- 1.2.2 POS terminal form factors
- 2 Wireless M2M and NFC
- 2.1 Evolution of electronic payments
- 2.1.1 EMV migration
- 2.1.2 Adoption of wireless M2M communication
- 2.1.3 Rollout of NFC-ready terminals
- 3 POS terminal vendors
- 3.1 Vendor profiles and strategies
- 3.1.1 BBPOS
- 3.1.2 CCV
- 3.1.3 CyberNet
- 3.1.4 Brookfield Equinox
- 3.1.5 ID Tech
- 3.1.6 Ingenico
- 3.1.7 Newland Payment Technology
- 3.1.8 PAX Technology
- 3.1.9 REA Card
- 3.1.10 Spire Payments
- 3.1.11 SZZT Electronics
- 3.1.12 VeriFone
- 3.1.13 Worldline
- 4 Forecasts and conclusions
- 4.1 Market trends and drivers
- 4.1.1 Steady uptake of wireless M2M
- 4.1.2 Interest in NFC surges
- 4.1.3 POS terminal app stores are a potential game-changer
- 4.1.4 New technologies can transform the shopping experience
- 4.1.5 The mPOS market segment is growing fast
- 4.2 Market forecasts
- 4.2.1 Cellular POS terminal market forecast
- 4.2.2 NFC-ready POS terminal market forecast
- 4.2.3 NFC-ready mPOS terminal market forecast
- List of Figures
- Figure 1.1: Typical payment transaction flow
- Figure 1.2: Visa interchange fees in the UK and the US (2016)
- Figure 1.3: Revenue distribution in card payments
- Figure 1.4: Card payments as a share of HCE and GDP (World 2011)
- Figure 1.5: Household consumption expenditures by service and product (EU28 2012)
- Figure 1.6: Card payments in Europe and North America (2015)
- Figure 1.7: Installed base of POS terminals and ATMs (World 2011–2015)
- Figure 1.8: POS terminal density by country (World 2015)
- Figure 1.9: Stationary and mobile POS terminals
- Figure 1.10: mPOS devices
- Figure 2.1: EMV implementation status (World 2015)
- Figure 2.2: POS terminals with cellular connectivity by region (World 2015)
- Figure 2.3: NFC-ready POS terminals by region (World 2015)
- Figure 3.1: POS terminal shipments by manufacturer (World 2015)
- Figure 3.2: PAX Technology POS terminals
- Figure 3.3: Verifone POS terminals
- Figure 4.1: Deployment of NFC and cellular technologies (World 2014–2020)
- Figure 4.2: Cellular POS terminal shipments by region (World 2014–2020)
- Figure 4.3: Cellular POS terminal installed base by region (World 2014–2020)
- Figure 4.4: NFC POS terminal shipments by region (World 2014–2020)
- Figure 4.5: NFC POS terminal installed base by region (World 2014–2020)
- Figure 4.6: mPOS terminal shipments by region (World 2014–2020)
- Figure 4.7: mPOS terminal installed base by region (World 2014–2020)