A new report published by Allied Market Research, titled, “ATM Market By Solution and Type: Global Opportunity Analysis and Industry Forecast, 2020-2027”, the global ATM market was valued at $20.58 billion in 2019, and is projected to reach $30.50 billion by 2027, growing at a CAGR of 5.2% from 2020 to 2027. Asia-Pacific dominates the market by contributing more than 35% share of the overall revenue, followed by North America.
Surge in adoption of ATM devices for wireless communication, security, EMV migration, and cash recycling across the world propels the growth of the global ATM market. Moreover, retail houses, corporate instructions, and banking companies are globally adopting ATM devices for functions such as offsite, mobile site, and worksite, as these ATMs facilitate quicker and efficient services with flexible cash withdrawals and deposits This, in-turn, reduces the footfall in banks (for the purpose of cash withdrawal or deposits), enabling the bank staff to focus on core financial activities, thereby fuels the growth of ATM market.
Automated teller machines are convenient, reliable, secured, and allow consumers to perform quick, self-service transactions for everyday banking needs such as deposits and withdrawals to more complex transactions, including bill payments and transfers. Cash recycling is the major driving factor of the ATM market, as it ensures customers such as small businesses to withdraw or deposit large volume of cash, thereby saving bank’s times and reducing cost associated with cash in transit.
Integration of mobile devices to ATM machines via smartphone apps help to secure financial transactions, which supports the market to grow. Advanced security features such as voice recognition, EMV adoption, and biometrics further aid in securing customer financial transactions, which boost the growth of the ATM market trends.
By deployment solution, the global ATM market was led by the offsite ATM segment in 2019, and is projected to maintain its dominance during the forecast period. The adoption of ATMs has increased in the offsite solution sector, as both public and private ATMs increase service network across various locations such as near airports, market places, railway stations, and general places to provide convenient and easy access to customers. However, the mobile ATMs segment is expected to grow at the highest rate during the forecast period, owing to the fact that mobile ATMs are easily deployed in various locations and aid in convenient cash dispensing.
On the basis of type, smart ATMs are expected to grow at high pace during the forecast period, due to introduction of latest technologies in ATM industry. For instance, apart from cash dispensing, smart ATM allow customers to deposit cash, transfer money between accounts, and even clear checks. Moreover, smart ATM has contactless NFC reader as well as EMV reader, which provide high security to card holder and communicate by smartphones.
Region wise, the ATM market was dominated by Asia-Pacific in 2019, and is expected to retain its position during the forecast period. The major factors that drive the growth of the market in this region include surge in demand for ATM solutions from several developing countries such as the China, Japan, and India and increase in government support for adoption of advance technologies in the banking industry. However, LAMEA is expected to witness the highest growth, due to technological advancements, rise in cash usage, and different government mandates for use of ATM solution in the banking sector.
Key Findings of the Study:
On the basis of deployment solution, the mobile ATMs led the ATM market size, in terms of revenue in 2019.
By type, the smart ATM would attain the highest ATM market share in 2019.
Region wise, Asia-Pacific dominated the ATM market growth in 2019.
The key players profiled in the ATM market analysis are Diebold Nixdorf, Incorporated NCR Corporation, Euronet Worldwide Incorporation, Fujitsu Ltd, GRG Banking Equipment Co. Ltd., Hess Cash Systems GmbH, NHAUSA, NCR Corporation, Source Technologies, and Triton Systems of Delaware LLC. These key players have adopted various strategies such as product portfolio expansion, mergers & acquisitions, agreements, geographical expansion, and collaborations to increase their market penetration and strengthen their position in the industry.