|Study Period:||2019- 2026|
|Fastest Growing Market:||Asia-Pacific|
Need a report that reflects how COVID-19 has impacted this market and its growth?
The global smart ticketing market was valued at USD 12.36 billion in 2020, and it is expected to reach USD 25.33 billion by 2026, registering a CAGR of 12.9%, during the period of 2021-2026. Smart ticket, as a substitute to the traditional paper-based ticketing, gained traction in recent times, owing to the emphasis on the digitization of ticketing processes. Smart tickets can save a passenger’s time by eliminating the need to wait in line to buy a ticket. Covering both smartcards and apps on mobile phones, the technology evolved significantly and emerged as a better alternative to paper tickets.
- Widely used across different forms of transportation, the use cases are increasing across sports and entertainment events. One such example of a use case is the city of Rio de Janeiro, which hosted the Olympic Games and anticipated 500,000 foreign visitors. The public transport ticketing displayed the contactless technology of Gemalto. The company supplied its waterproof ‘Celego Contactless Wristband’ and its ‘Celego Contactless Sticker,’ embedded with a contactless chip from Gemalto and certified by Visa and MasterCard. Activated with a wave of the wristband near the contactless readers, the solution was one of the major innovations introduced in the region to improve the infrastructure.
- Regional governments are even reaching new milestones in terms of the usage of smart tickets. For instance, according to the Rail Delivery Group (RDG), a British rail industry membership body, more train journeys were made with smart tickets, with the number reaching 65 million. Compared to a four-week period from August to September 2019, with the same period in 2018, about 8.4 million more journeys were made with a smart ticket. The RDG data also reveals that passengers chose smart tickets for 50% of all journeys, which significantly increased from 37% a year ago.
- The trend of mobile ticketing is also becoming popular among several sports and entertainment events. For instance, in Europe, several major American Football stadiums and associated sports teams implemented mobile ticketing, and with fans entering stadiums via mobile access provisions, this trend is expected to gain traction in Europe. Such increasing interest may challenge the growth of smartcards over the forecast period.
- Rambus, a prominent company in the market, predicts that mobile may become a critical factor for the future of public transport. Furthermore, utilizing smart and mobile ticketing may help support a better transport experience and improve efficiencies during peak times. For instance, the iMOVE testbed in Melbourne, Australia, aims to create a user-focused transport system and more responsive to disruption, which can be possible by collecting data from cars, cyclists, public transport, traffic infrastructure, and pedestrians. Other cities, including those in the United Kingdom, are also expected to take a similar approach in the future.
- Since the pandemic struck, contactless fare payments have become the norm. The increasing adoption of smarter payments has enabled safe, seamless travel for everyone alike. As the world is continuously fighting the rapid spread of the COVID-19 pandemic, contactless payments in transportation applications are playing a very crucial role in helping to safeguard the people and ensuring to protect the vehicle operator from collecting fares while avoiding close contact with riders.
Scope of the Report
Smart ticketing is unconventional to the traditional paper or cardboard ticket for public transport. The focus is on its use for roadway, railway, and airways services. Smart ticketing is a system that electronically stores a ticket on a microchip and enables seamless transportation and payment service for consumers.
|Others (Validators, Ticketing Mobile Terminals/Ticketing Machines)|
|Sports & Entertainment|
|Rest of the World|
Key Market Trends
Wearables Occupies the Significant Share
- Smart cards' growth for smart ticketing systems, coupled with the growth prospects from multiple applications, increases the demand for other ticketing systems, such as contactless methods through smartphones and the latest devices, smart wearables.
- Smart wearable manufacturers, including Samsung, have enabled payment through their smartwatches. Most device manufacturers are making the payments work through their mobile wallet payment-enabled services, such as Apple Pay, Samsung Pay, Garmin Pay, Fitbit Pay, and GooglePay. Although the payments through smartwatches are still in their initial stages, they show a lot of potentials. Such advancements are expected to enable travelers to purchase tickets through their wearable devices.
- For instance, in September 2020, the watch brand Titan partnered with State Bank of India (SBI) to launch a range of watches equipped with Canada-based Tappy Tech's wearable payments technology to let consumers make contactless transactions at POS terminals across India, eliminating the need of swiping or inserting their SBI bank card.
- Similarly, companies, like Watchdata Technologies, offer a wide range of products catering to the smart ticketing system, including smart mobile terminals, smart wearable devices, contact, and contactless EMV, UICC, e-ID and transportation smartcards, online security tokens, card readers, and electronic toll collection (ETC) devices. The end-to-end solutions include secure hardware, operating systems, software applications, and personalization and remote lifecycle management services.
To understand key trends, Download Sample Report
Europe Holds the Largest Market Share
- Europe is the home of the leading smart ticketing solution vendors in Europe, such as Infineon Technologies, Gemalto, and Giesecke+Devrient (Germany), which are also increasing their presence in this market by offering integrated payment solutions through partnerships with smart ticket developers and operators.
- The demand for smart ticketing in Germany is driven by the growing tourism industry, the simplified technology ecosystem, and the need to innovate more potential ticketing systems across urban areas. The leading payment solution vendors in the region are also increasing their presence in this market by offering integrated payment solutions through partnerships with smart ticket developers and operators.
- With more than 4 billion trips yearly, Paris Region is one of the largest transit networks worldwide, offering its travelers the benefits of contactless mobile ticketing - compatible with existing contactless readers based on Calypso open transit standard. Firms, like Wizway solutions, as enabled contactless mobile ticketing for several key transit authorities and operators.
- Technological advancements in smart ticketing have propelled businesses to adopt technologies like RFID, NFC, QR code, and barcode in Germany. The rise of smartphones equipped with NFC technology has introduced the necessary infrastructure for smart ticketing across the industries in the region. RFID technology is extensively used in smart cards due to its cost-effectiveness, and it is commonly accepted in entertainment, sports, and transport, among other industries.
To understand geography trends, Download Sample Report
The smart ticketing market is moderately concentrated, and with the increasing government initiatives in support of this market, more global players are expected to enter this market. Product launches, high expense on research and development, partnerships and acquisitions, etc., are the prime growth strategies adopted by these companies to sustain the intense competition. Some of the global players are Cubic Corporation, Infineon Technologies AG, and HID Global. Some of the recent developments in the market are:
- August 2021 - French public transport operator Keolis chose Paragon ID for implementing the Tap and Pay solutions across Menton and French Riviera bus networks. The system starts testing in August, and 70,000 residents in the area can use the feature with their contactless bank cards by the beginning of 2020. The system will use Paragon ID's P One validator to pay for the tickets on the bus conveniently and at a fast pace.
- May 2021 - Cubic Transportation Systems (CTS), a business division of Cubic Corporation, announced that Chicago Transit Authority (CTA) and Pace Suburban Bus (Pace) launched the virtual Ventra card to improve the customer payment experience for tap and fair. This virtual card is implemented on Google Pay for android smartphone users in the Chicagoland area for having contactless fare payment options while traveling on Pace buses and CTA trains and buses.
- September 2021 - HID Global announced implementing a software development kit (SDK) in their ticketing solution; this kit is fully compliant and certified to Calypso HCE standards to give customers a convenient and secure mobile ticketing solution on their smartphones. It also protects data stored in mobile wallets and prevents frauds occurred due to duplication.
- June 2021 - NXP Semiconductors N.V. (NXP) and Washington Metropolitan Area Transit Authority (Metro) launched SmartTrip with the help of Cubic Transportation Systems (CTS), a business division of Cubic Corporation. The SmartTrip is available on Google Pay and delivers a contactless and straightforward payment option to Metro trains or buses users.
- May 2021 - Conduent Incorporated announced that one of the business units, Conduent Transportation, successfully introduced an account-based ticketing system for contactless payments. This system is implemented on Brescia Mobilità's buses. As of now, the system is active on 220 buses in Brescia, Italy, and 14 nearby municipalities. The account-based ticketing system will allow passengers to pay their fare conveniently and without contact.
Table of Contents
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGTHS
4.1 Market Overview
4.2 Value Chain Analysis
4.3 Industry Attractiveness - Porter's Five Forces Analysis
4.3.1 Bargaining Power of Suppliers
4.3.2 Bargaining Power of Buyers
4.3.3 Threat of New Entrants
4.3.4 Intensity of Competitive Rivalry
4.3.5 Threat of Substitute Products
4.4 Assessment of Impact of COVID-19 on the Industry
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Increasing Adoption of Intelligent Transportation
5.1.2 Growing Adoption of Modern Technology for Different Mode of Transportation such as Railways and Roadways is Propelling the Implementation of Smart Ticketing
5.2 Market Restraints
5.2.1 High Initial Setup Costs
6. TECHNOLOGY SNAPSHOT
6.1.1 Near-field Communication (NFC)
6.1.2 Radio-frequency Identification (RFID)
6.1.4 Cellular Network and Wi-Fi
7. MARKET SEGMENTATION
7.1 By Offering
7.1.1 Smart Cards
7.1.4 Others (Validators, Ticketing Mobile Terminals/Ticketing Machines)
7.2 By Application
7.2.2 Sports & Entertainment
7.3 By Geography
7.3.1 North America
22.214.171.124 United States
7.3.2 United Kingdom
7.3.3 Europe (except United Kingdom)
126.96.36.199 Rest of Europe
7.3.4 Asia Pacific
7.3.5 Rest of the World
8. COMPETITIVE LANDSCAPE
*List Not Exhaustive
8.1 Company Profiles
8.1.1 Cubic Corporation
8.1.2 Infineon Technologies
8.1.3 Conduent Inc
8.1.4 Vix Technology
8.1.5 Rambus Incorporated ( Visa Inc.)
8.1.6 Hid Global
8.1.7 Gemalto Nv ( Thales Group)
8.1.9 Indra Sistemas
8.1.10 Confidex Ltd.
8.1.11 NEC Electronics (NEC Corporation)
8.1.12 Paragon ID ( Paragon Group Limited)
8.1.13 Softjourn, Inc.
9. INVESTMENT ANALYSIS
10. FUTURE OF THE MARKET
You can also purchase parts of this report. Do you want to check out a section wise price list?
Frequently Asked Questions
What is the study period of this market?
The Smart Ticketing Market market is studied from 2019 - 2026.
What is the growth rate of Smart Ticketing Market?
The Smart Ticketing Market is growing at a CAGR of 12.9% over the next 5 years.
Which region has highest growth rate in Smart Ticketing Market?
Asia-Pacific is growing at the highest CAGR over 2021- 2026.
Which region has largest share in Smart Ticketing Market?
Europe holds highest share in 2020.
Who are the key players in Smart Ticketing Market?
Cubic Corporation, Infineon Technologies AG, Conduent Inc, HID Global, Gemalto Nv ( Thales Group) are the major companies operating in Smart Ticketing Market.