The ATM industry is an ever-changing space and playing a key role in the financial market. To stay competitive, it is important for market players to understand the regional trends in the ATM industry and how to take advantage of them. This article will analyze regional trends in the ATM industry to show how market players can benefit from them and remain competitive. Text audience: Financial Professionals
Introduction to the Global ATM Market
The Global Automated Teller Machine (ATM) market was valued at USD 20.39 billion in 2021 and is expected to grow at a CAGR of 4.9% during the forecast period from 2022 to 2028. This growth can be attributed to the increasing use of ATMs as a convenient mode of payment for customers across a variety of industries. Furthermore, the proliferation of smaller ATM vendors seeking to take advantage of the increased demand are helping to drive the industry forward. The ATM market is further being fuelled by technological advancements that allow for increased cash withdrawal flexibility, and improved user experience.
The improved access to ATM services, and advancements in user experience have been seen to be particularly beneficial for customers in the retail, hospitality, and banking sectors. Additionally, the development of ATMs as meaningful supplementary services for banking customers has spurred on the adoption of their use as an alternate source of cash access for both deposits and withdrawals.
ATM Industry Regional Analysis Review
The ATM market is expanding significantly in the Asia Pacific (APAC) region, as leading banks, financial institutions, and individual ATM vendors have concentrated on improved service delivery and convenience for customers. In the APAC region, China and India have seen the highest growth in ATMs, while Japan, Indonesia, Singapore, South Korea and Malaysia have also seen significant increases. In the Europe, Middle East and Africa (EMEA) region, the highest growth in ATM services have been experienced in the United Arab Emirates, Saudi Arabia, Turkey, and the UK.
In the Americas region, Canada, Mexico, and the United States have seen significant increases in the number of ATMs. Furthermore, the implementation of new banking regulations across the region have meant that the utilization of ATMs through bank applications has increased for customers, thereby making them a convenient source of cash access for customers. In terms of new retail ATM technologies, the Americas region has seen the greatest development of voice-enabled, contactless, and biometric scanning technologies, helping to improve customers’ access to ATM services.
Industry Growth Prospects
As the global economy recovers from the impact of the COVID-19 pandemic, the ATM market is expected to regain momentum due to rising demand for innovative ATM technologies and services. Furthermore, technological developments such as improved security measures, contactless payment, API/cloud-based services, and alternative payments are all expected to be key drivers of growth in the ATM industry.
The increasing adoption of new technologies by banks is also expected to increase the demand for ATMs as a convenient banking resource, and enable leading ATM vendors to capture a larger market share. In addition, the rising interest from customers in alternative payment services, including mobile and online banking, is expected to drive the growth of the ATM market in the coming years. Additionally, as customers become increasingly aware of the convenience of cashless banking and e-commerce services, ATM vendors in the region are expected to benefit from greater demand due to their ability to successfully deliver increased cash usability.
Overall, the rising demand for ATMs in emerging markets, in addition to the continuing development of innovative technologies and services by leading ATM vendors, is expected to contribute to the increasing growth of the global ATM industry in the years to come. Additionally, improved cash management solutions and the development of customized ATM services in line with changing customer needs are expected to drive further growth in the industry.