With the introduction of money-sharing services such as Apple Pay, Venmo, and Zelle, the competition-in-the-atm-industry-a-look-at-the-forex-trading-market/” title=”Competition in the ATM Industry: A Look at the Forex Trading Market”>ATM industry has faced an increased level of competition in the digital payments space. Nevertheless, ATMs remain an integral part of the global financial system, and analyzing market share trends within this industry is still important to understand the sector as a whole. This article will provide an analysis of changes in ATM industry market share in the foreign exchange (forex) market. , reasonable
Overview of the ATM Industry
The ATM Manufacturing industry has a relatively low level of market share concentration in the United States, with the top four competitors generating less than 40% of industry revenue. In 2022, the ATM market was valued at USD 22.21 billion, and this is expected to grow at a compound annual growth rate (CAGR) of 4.9% from 2023 – 2031, reaching USD 34.16 billion by 2031. The industry growth will be driven by increasing concern for customer safety and convenience as well as trends such as increasing use of mobile wallets and contactless payment methods.
Next-Generation ATM Market Size and Forecast
The global next-gen ATM market size is expected to reach USD 4.08 billion by 2027, with a CAGR of 7.64%, according to The Business Research Company. The growth of this sector is due to factors such as increasing modifications in today’s banking sector, new product launches and services like cash withdrawals and deposits, and higher online banking measures. Additionally, the growing demand for next-gen ATM’s and their advanced features, which combine increased levels of convenience, security, and local services, are also pushing the growth of the market.
Growth Driving Factors of the ATM Industry
The ATM industry is driven by the growing demand for user-friendly banking services, such as cash withdrawals and deposits, mobile wallet integration, and account management that can be conveniently done outside of banks. ATM market growth is also driven by the increasing concerns for customer safety. This is evidenced by biometric authentication for hands-free card transactions, and enhanced security features that are being implemented into modern ATMs. All of these factors contribute to an increased demand for ATMs and highly advanced ATM services.
In addition to the aforementioned factors, the growth of the ATM market is being bolstered by ongoing innovations in the sector. Improved software and hardware technologies along with gradual and consistent implementations of digital transactions are boosting the growth of the ATM market. The thriving mobile payments industry and wide-scale adoption of contactless payments are further contributing to the growth of the industry.
Market Size & Forecast of the ATM Industry
The global ATM market size was valued at USD 22.80 billion in 2022 and is projected to reach USD 36.07 billion by 2030, at a CAGR of 4.0% during the forecast period. The growing demand for safe and secure transactions is the major factor driving the market. This demand for safety is complemented by concerns about the spread of COVID-19, leading to a shift to contactless and cashless payments systems. Additionally, an increase in the adoption of ATMs for banking and retail purposes is also contributing to the growth of the market.
The increasing use of ATMs by regional banks to provide accounts with personalized services such as bill payments, cash deposits and withdrawals, fund transfers, and loan transactions, is leading to a growing demand for ATMs. Moreover, the introduction of new services, technologies, and processes to enhance the customer experience is also boosting the market. Furthermore, players in the ATM market are focusing on alliances with other firms and innovating financially inclusive payment solutions in order to gain a competitive advantage.