Global Contactless Smart Cards Market 2016-2020

Outlook of the global contactless smart cards market

Smart cards are pocket-sized cards that contain integrated circuits and can be used for individual identification and authentication by organizations across various sectors. The prospects for growth in this market will be driven by factors like the high convenience of contactless smart cards and the augmented utilization of contactless smart cards by governments to address their rising need for security. Comprehensive market research carried out by the analysts at Technavio has shown that the global market for contactless smart cards market will grow profoundly at a CAGR of almost 33% by 2020.

The rising need for a tamper-resistant system will be the key driver for the growth of this market. Smart cards with magnetic strips have the capability to store financial information about end users. However, these cards can easily be tampered with, which will result in the loss of personal information or data. Since contactless smart cards with PIN codes are difficult to tamper with, they are increasingly being adopted to bolster the safety of the card holder’s accounts.

Segmentation by application and analysis of the contactless smart cards market

• Access control
• Payment
• Transit
• Government ID

In this market research, analysts have estimated the government ID sector to be the largest market segment during the estimated period. The growing need for contactless smart cards in government organizations for individual identification and authentication will result in this market segment’s impressive CAGR of over 30% until 2020.

Geographical segmentation of the contactless smart cards market

• APAC
• Europe
• Latin America
• MEA
• North America

In terms of geography, the APAC region will be the biggest market for contactless smart cards during the forecast period. In APAC, the countries are at high risk of terrorism and fraud. Consequently, the demand for contactless smart cards will increase steadily over the forecast period. Moreover, factors like the high adoption of contactless smart cards for NFC and transit payments will also aid in the strong growth of this market in APAC until the end of the forecast period.

Competitive landscape and key vendors

The global contactless smart cards market is fragmented due to the presence of many multinational vendors and small regional players. The large providers in this market often acquire small vendors to expand their product portfolio and market share. However, to gain maximum market traction, the vendors have to distinguish their product and service offerings through a clear and unique selling proposition.

Leading vendors in the market are -

• Gemalto, Giesecke & Devrient
• Oberthur Technologies
• Safran
• Watchdata

Other prominent vendors analyzed in this market research report are Advanced Card Systems, CardLogix, DataCard, Infineon Technologies, NXP Semiconductors, Secura Key, Sony FeliCa, and SpringCard.

Key questions answered in the report include

• What will the market size and the growth rate be in 2020?
• What are the key factors driving the global contactless smart cards market?
• What are the key market trends impacting the growth of the global contactless smart cards market?
• What are the challenges to market growth?
• Who are the key vendors in the global contactless smart cards market?
• What are the market opportunities and threats faced by the vendors in the global contactless smart cards market?
• Trending factors influencing the market shares of APAC, Europe, Latin America, MEA, and North America.
• What are the key outcomes of the five forces analysis of the global contactless smart cards market?

Technavio also offers customization on reports based on specific client requirement.

Related reports

• Global Contactless Smart Card Market 2015-2019
• Smart Card Market in Europe 2015-2019
• Smart Card Market in Latin America 2015-2019