Mobile Point Of Sales (mPOS) Terminals Market By Component (Hardware, Software), By End-Use (Restaurants, Hospitality, Healthcare, Retail, Transportation And Warehouse, Sports And Entertainment) - Growth, Share, Opportunities & Competitive Analysis, 2015 - 2022

With the advancements in wireless technology, the mobile POS terminals market is set to witness strong growth in the next few years. Benefits offered such as low upfront cost, portability, easy usage, and positive return on investment have collectively spurred the adoption of mobile POS terminals beyond the traditional retail applications. Emergence of mobile wallet technology and increasing NFC-based transactions are expected to drive market growth during the forecast period. These factors are expected to contribute towards a compounded annual growth rate (CAGR) of 23.2% and 42.1% for revenue and volume respectively during the forecast period 2015 – 2022. 

Although security concerns related with data breaches had plagued the adoption of mobile POS terminals initially, the recent move towards more secure chip card technology is expected to subdue the impact of this challenge over the forecast period. The mobile Point-of-Sale terminals market is expected to reach US$ 43.32 Bn by 2022, expanding at a CAGR of 23.2% from 2015 to 2022. In terms of volume, the mobile POS terminals market is expected to register 242.97 Mn shipments by 2022.

Purpose of the Report

The purpose of this strategic research study titled “Global Mobile POS (mPOS) Terminals Market- Growth, Share, Opportunities, and Competitive Analysis, 2015 – 2022” is to offer industry investors, company executives, and industry participants with in-depth insights to enable them make informed strategic decisions related to the opportunities in the global mPOS terminals market.

Target Audience

• Industry Investors
• mPOS Terminal Hardware Providers/Vendors
• mPOS Terminal Software Providers
• SMBs and Micro-merchants
• Other End-users

USP and Key Offerings

The report titled “Global Mobile POS Terminals Market - Growth, Share, Opportunities, and Competitive Analysis, 2015 – 2022” offers strategic insights into the global mPOS terminals market along with the market size and estimates for the duration 2015 to 2022. The said research study covers in-depth analysis of multiple market segments based on technology, end-users, and cross-sectional study across different geographies. In order to help strategic decision makers, the report also includes competitive profiling of the leading POS terminal vendors (both hardware and software), their SCOT (Strength, Challenges, Opportunities, and Weaknesses) analysis, market positioning, and recent developments. 

Other in-depth analysis provided in the report includes:

• Current and future market trends to justify the forthcoming attractive markets within the mPOS industry
• Market Volume by Geography and End-use
• Market fuelers, market impediments, and their impact on the market growth
• In-depth competitive environment analysis
• Ecosystem Analysis
• Trailing 2-Year market size data (2013 – 2014)
• SRC (Segment-Region-Country) Analysis

Overall, the research study provides a holistic view of the global mPOS terminal market, of growth, offering market size and estimates for the period from 2015 to 2022, keeping in mind the above mentioned factors.

End-use Segmentation Analysis

On the basis of end-use, the mobile POS terminals market is categorized into following verticals:

• Restaurants (Quick Serve Restaurants, Bars, Food Chains, etc.)
• Hospitality (lodging establishments, hotels, motels, etc.)
• Healthcare
• Retail
• Transportation and Warehousing
• Sports and Entertainment
• Others (Field Services, Government, etc.)

Their contribution to the global mobile Point of Sale terminals market in 2014 is shown in the figure below:

Retail was the largest end-use segment in the global mobile POS terminals market, accounting for over one third of the global market revenue and shipments in 2014. The penetration rate of mobile POS terminals has been the highest in the retail segment, especially among micro-merchants. However, there also lie potential growth opportunities with larger merchants. Mobile Point of Sale Terminal solutions enable larger merchants to enhance the in-store buying experience of their customers and offer sales force with an integrated payment capability.

Based on types of components, the global mobile POS terminals market is segmented into following categories

• Mobile POS Terminal Hardware
• Mobile POS Terminal Software

Their contribution to the global mobile Point of Sale terminals market in 2014 is shown in the figure below.

In 2014, the hardware components including tablets (generally an iPad), smartphone paired with a credit/debit card reader, and hand held terminals accounted for majority of the market revenue share. Although hardware segment is expected to remain the largest revenue contributor to the global mobile POS terminals market, software segment is expected to witness comparatively higher growth during the forecast period 2015 -2022. Since mPOS hardware has become a commodity, vendors across the globe have switched their focus towards the more profitable software and services business.

On the basis of geography, the global mobile POS terminals market is segmented into following regions and countries.

• North America
  • U.S.
  • Rest of North America
• Europe
  • EU7
  • CIS
  • Rest of Europe
• Asia Pacific
  • Japan
  • China
  • Indian Subcontinent
  • Rest of Asia Pacific
• Rest of the World
  • Latin America
  • Middle East and Africa

Their contribution to the global mobile Point of Sale terminals market in 2014 is shown in the figure below

Mobile Point of Sale (mPOS) terminals have brought a new dynamism to the global mobile proximity payments market. Although the demand for mPOS solutions have been predominant in mature markets like North America and Europe, there exist healthy growth opportunities for mPOS solutions in emerging markets having a very large base of small and micro merchants with limited penetration of traditional Point of Sale (POS) terminals. Over the forecast period, we expect rising adoption of mPOS solutions in the more mPOS-ready markets such as Asia Pacific and RoW, as service providers seek to achieve first-mover advantage.

Mobile Point-Of-Sale terminal is a tablet (generally an iPad), smartphone, or any dedicated wireless device capable of performing functions of an electronic point of sale terminal or cash register. The idea of converting a tablet or smartphone into a payment acceptance device was first introduced by Square Inc. in 2009. This simple innovation soon caught the imagination of the world, resulting in the emergence of a host of competitors across the POS terminal industry.  Today, mPOS solutions have been adopted in all parts of the world, complementing the traditional fixed POS systems by augmenting functionalities. Thus, mobile Point of Sale solutions have extended the landscape of electronic payments industry by capitalizing on the prevailing trend towards mobile services.

Mobile Point-Of-Sale solutions allow merchants, including street vendors, door-to-door salespeople, and in-house sales associates to easily accept payments via their mobile devices. Merchants, who were reluctant to accept card payments and operated on an invoice or cash only basis, have started adopting mobile POS solutions owing to following benefits offered: 

• Lower Total Cost of Ownership

 Mobile POS solutions are either offered for free as a part of service bundle or are available at a very low cost as compared to the traditional POS terminal stations. Furthermore, since most merchants already own a smartphone or tablet, it eliminates the additional expense associated with the purchase, installation, and maintenance.

• Portability

Mobile POS solutions offer better portability and greater ease of use, both of which are crucial for mobile merchants with no fixed place of business.

• Flexibility and Better User Interface (UI)

Mobile POS solutions support flexible software development platforms that can be easily integrated with existing environments. In addition, mobile solutions also offer user friendly UIs for both consumer and merchant.

Although mobile POS solutions have been around for a number of years (introduced in the latter half of the last decade), they have failed to realize their full potential till as recently as the first half of this decade. However, the proliferation of personal mobility devices and capabilities coupled with the low upfront cost is expected to fuel their adoption beyond the core retail and hospitality segment in the coming years. Thus, what began as a service for small sized businesses unable to accept card payments, is eventually expected to become the means for extending the reach of larger enterprises. Mobile POS vendors across the globe have already started positioning mobile POS solutions as add-ons to the traditional fixed POS systems capable of transforming customer-business interaction and enriching the customer buying experience.