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Global Transit Cards Market 2016-2020

About the Transit Cards Market

The increase in population and urbanization has resulted in the growing need for mobility. Public transportation has become the most preferred mode of transportation for people to avoid problems such as air pollution and traffic congestion. Traveling by buses, trains, and metros is often more comfortable, convenient, and cost-effective. To make traveling for people more convenient and comfortable, public transport systems use modern ticketing systems such as contactless ticketing, which allows high passenger throughput.

A smart card is a pocket-sized card with either an embedded integrated circuit called a microcontroller chip, which has an internal memory, or a secured memory chip. Smart cards are used mainly for security purposes for authentication, identification, data storage, and application processing. With an embedded microcontroller chip, smart cards store large amounts of data; carry out their own on-card functions such as decryption, data storage and management, digital signature calculations, and encryption; and interact quickly with a smart card reader.

Technavio’s analysts forecast the global transit cards market to grow at a CAGR of 8.06% during the period 2016-2020.

Covered in this report

The report covers the present scenario and the growth prospects of the global transit cards market for 2016-2020. To calculate the market size, the report considers the revenue generated from the sales of contactless and contact-based smart cards in the transportation sector, especially public transportation. However, it does not consider the revenue generated from contactless POS validators and near-field communication (NFC) payments in the transportation sector.

The market is divided into the following segments based on geography:

  • APAC
  • Europe
  • MEA
  • North America
  • South America
Technavio's report, Global Transit Cards Market 2016-2020, has been prepared based on an in-depth market analysis with inputs from industry experts. The report covers the market landscape and its growth prospects over the coming years. The report also includes a discussion of the key vendors operating in this market.

Key vendors
  • Datacard
  • Gemalto
  • Giesecke & Devrient
  • Watchdata
Other prominent vendors
  • Athena
  • CardLogix
  • Eastcompeace Technology
  • 4G Identity Solutions
  • Infineon Technologies
Market driver
  • Need to reduce identity duplication
  • For a full, detailed list, view our report
Market challenge
  • High cost of implementation
  • For a full, detailed list, view our report
Market trend
  • Emergence of contactless smart cards in transportation sector
  • For a full, detailed list, view our report
Key questions answered in this report
  • What will the market size be in 2020 and what will the growth rate be?
  • What are the key market trends?
  • What is driving this market?
  • What are the challenges to market growth?
  • Who are the key vendors in this market space?
  • What are the market opportunities and threats faced by the key vendors?
  • What are the strengths and weaknesses of the key vendors?


Press Release

Technavio Announces the Publication of its Research Report – Global Transit Cards Market 2016-2020

Technavio recognizes the following companies as the key players in the global transit cards market: Datacard, Gemalto, Giesecke & Devrient, and Watcdata.

Other Prominent Vendors in the market are: Athena, CardLogix, Eastcompeace Technology, 4G Identity Solutions, and Infineon Technologies.

Commenting on the report, an analyst from Technavio’s team said: “A trend that is positively impacting the market is the emergence and use of contactless smart cards in transportation. Contactless cards are convenient and easy to use compared to contact-based cards. The transportation sector is increasingly deploying contactless e-ticket cards to improve security in billing and payment processes. Contactless smart cards are becoming the preferred choice for the transportation sector because they enable fast identity and fare payment transactions allowing high passenger throughput in less time at border crossings. The card does not have to be inserted, swiped, or scanned by the reader.”

According to the report, a key driver boosting market growth is the need to reduce identity duplication. The number of fraudulent activities and forgeries are increasing along with the advances in technology. New payment methods such as EMV chips, PIN cards, and mobile wallets are gaining prominence in the transportation sector. There is a growing demand for more secure solutions because of the increasing incidences of fraudulent activities. Information stored on smart cards can be accessed using a PIN. PINs are extremely difficult to decode and make transactions more secure.

Further, the report states that one challenge that could restrict market growth is the high cost of implementation. The market is being controlled by a small set of vendors because of limited vendor penetration. The consequent low competition is resulting in high initial deployment and replacement costs.

Companies Mentioned

Datacard, Gemalto, Giesecke & Devrient, Watcdata, Athena, CardLogix, Eastcompeace Technology, 4G Identity Solutions, Infineon Technologies.

  • Executive summary
    • Highlights
    • Market summary
      • Table Market summary for 2015 and 2020
  • Scope of the report
    • Market overview
    • Segmentation
  • Market research methodology
    • Research methodology
    • Economic indicators
  • Introduction
    • Key market highlights
  • Market description
    • Introduction of smart cards
    • Types of smart cards
    • Advantages and disadvantages of transit cards
    • Working flow of smart cards
      • Table Working flow of smart cards
  • Market landscape
    • Market overview
      • Table Geographic segmentation of global transit cards market
  • Market assumptions
    • Table Market assumptions
  • Life cycle analysis
    • Life cycle of transit cards
      • Table Life cycle of transit cards 2015-2016
      • Table Life cycle of transit cards 2019-2020
  • Global smart cards market
    • Table Global smart cards market 2015-2020 ($ billions)
    • Share of transit cards in global smart cards market
      • Table Share of transit cards in global smart cards market 2015 (% share)
    • Global transit cards market
      • Table Global transit cards market 2015-2020 ($ millions)
    • Unit shipment of transit cards
      • Table Unit shipment of transit cards 2015-2020 (millions of units)
  • Market development
    • Integration of biometric technologies into smart cards
      • Table Adoption of biometric-based smart cards in airports
  • Geographical segmentation
    • Global transit cards market by geography
      • Table Global transit cards market by geography 2015 (% share)
  • Market attractiveness
    • Table Market attractiveness by geography 2015
    • Table Market attractiveness by geography 2020
    • Global transit cards market segmentation by geography
      • Table Global transit cards market segmentation by geography 2015-2020 (% share)
    • Transit cards market in APAC
      • Table Transit cards market in APAC 2015-2020 ($ millions)
    • Unit shipment of transit cards in APAC
      • Table Unit shipment of transit cards in APAC 2015-2020 (millions of units)
    • Transit cards market in Europe
      • Table Transit cards market in Europe 2015-2020 ($ millions)
    • Unit shipment of transit cards in Europe
      • Table Unit shipment of transit cards in Europe 2015-2020 (millions of units)
    • Transit cards market in South America
      • Table Transit cards market in South America 2015-2020 ($ millions)
    • Unit shipment of transit cards in South America
      • Table Unit shipment of transit cards in South America 2015-2020 (millions of units)
    • Transit cards market in North America
      • Table Transit cards market in North America 2015-2020 ($ millions)
    • Unit shipment of transit cards in North America
      • Table Unit shipment of transit cards in North America 2015-2020 (millions of units)
    • Transit cards market in MEA
      • Table Transit cards market in MEA 2015-2020 ($ millions)
    • Unit shipment of transit cards in MEA
      • Table Unit shipment of transit cards in MEA 2015-2020 (millions of units)
  • Buying criteria
    • Buying criteria for transit cards
      • Table Buying criteria for transit cards
  • Market drivers
  • Market challenges
  • Impact of drivers and challenges
    • Table Impact of drivers and challenges
  • Market trends
    • Introduction of hybrid smart cards
    • Increase in adoption of e-passports
    • Emergence of contactless smart cards in transportation sector
    • Introduction of multi-application smart cards
    • Increased adoption of contactless smart cards in developing countries
  • Impact of trends
    • Table Impact of trends
  • Five forces model
    • Table Five forces model
  • Key vendor analysis
    • Competitive scenario
  • Vendor matrix
    • Table Vendor products
    • Table Vendor applications and features
  • Description of leading vendors
    • Datacard
    • Gemalto
    • Giesecke & Devrient
    • Watchdata
  • Other prominent vendors
    • Table Other prominent vendors
  • Appendix
    • List of abbreviations
  • Explore Technavio

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