Smart Retail Devices Market By Technology, and Application: Global Opportunity Analysis and Industry Forecast, 2020 - 2027

Smart Retail Devices Market Overview 2027

The global smart retail devices market size was valued at $17.43 billion in 2019 and is projected to reach $74.68 billion by 2027, registering a CAGR of 17.2% from 2020 to 2027. According to smart retail devices market trends, smart retail devices industry takes the assistance of internet of things (IoT) in its operation. Smart devices and IoT in retail help retailers enhance the customer experience and drive more enhanced consumer engagement which significantly alters the day-to-day store operations. Energy management, theft prevention, in-store navigation, and customer engagement are few advantages of utilizing IoT in retail industry.

 

Retail stores are focusing on using the emerging technologies such as cloud, mobile, RFID, beacons, and others, to provide connected retail services and better shopping experience to customers. For instance, store owners are integrating sensors in the key zones of retail stores and connecting them to cloud through a gateway that enables real-time data analysis related to products, sales, and customers from the sensors.

 

The growing incorporation of technologies such as augmented reality, virtual reality, artificial intelligence, and IoT, to improve store operations, facilitate accurate inventory management, and enhance consumer’s shopping experience is one of the key trends escalating market growth.

 

Smart Retail Devices Market Segmentation Review

The global smart retail devices market share is segmented on the basis of technology, application, and region. Based on technology, the market is analyzed across digital signage, smart labels, smart payments, smart carts, electronic shelf labels, and others. By application, the market is classified into smart transportation, predictive equipment maintenance, inventory management, smart fitting room, foot traffic monitoring, and others. Region-wise, the market has been analyzed across North America, Europe, Asia-Pacific, and LAMEA.

Smart Retail Devices Market Competitive Analysis

The prominent key players profiled in the smart retail devices market analysis include IBM, Intel, Cisco, NXP semiconductors, Microsoft, NVIDIA Corporation, Samsung Electronics, Texas Instrument, Softbank Robotics and PAX global technology. These key players have adopted strategies, such as product portfolio expansion, mergers & acquisitions, agreements, geographical expansion, and collaborations, to enhance their market penetration.

 

The scope of the report discusses the potential opportunities for the market players to enter the global smart retail devices market. This report also provides in-depth analysis of the market, outlining current trends, key driving factors, and key areas of investment. It includes Porter’s five forces analysis to understand the competitive scenario of the industry and role of each stakeholder in the value chain. The report features the strategies adopted by the key market players to maintain their foothold in the market.

Top Impacting Factors

Factors affecting the growth of the global smart retail devices market size include increase in use of robotics and automation in retail industry, rise in adoption of big data analytics & IoT in retail industry and surge in purchasing power of consumers and economic growth. However, increased maintenance costs of advanced high-end computing systems and high risks of customer data thefts have a significant negative impact on the market growth. Furthermore, technological advancements with real-time data analysis and increase in number of smart stores are expected to offer lucrative smart retail devices market opportunity globally.

Increase in Use of Robotics and Automation in the Retail Industry

At present, market is filled with research and adoption of numerous automation techniques to increase productivity, accuracy, and eliminate human errors and for safety. Smart retail is considered to be one of the advancements in automatic system as it provides innovative solutions in the direction of retail automation for consumer experience enhancement.

Increased Maintenance Cost

Smart retail devices enable fast, reliable & precise control, effective production, and increased delivery reliability. However, it incurs high investment in maintenance, which is essential to help the technology enter new markets. The system enables flexibility to inspect multiple products on the same smart camera, which is often difficult.
In the current IT-dominant world, people are moving toward automation-based solution and services. This has led to increased focus on IoT-based devices, real-time data analytics and AI due to their innovative and advanced applications. Real-time data analytics provides a common network for successful information transfer.

The COVID-19 crisis is creating uncertainty in the stock market due to immense slowdown in the supply chain of various businesses, falling business confidence, and increasing panic among the customer segments. The overall impact of the pandemic is impacting the production process of several industries, including semiconductor, electronics, and others. Trade barriers are further constraining the demand and supply outlook. As the governments of different countries have already declared total lockdown and temporary shutdown of industries, the overall production process has been adversely affected.

COVID-19 is having a large impact on both consumer and the economy. Electronics manufacturing hubs have been temporarily shut down to limit the COVID-19 spread among individuals. This has majorly affected the supply chain of the semiconductor market by creating shortages of materials, components, and finished goods. Lack of business continuity has ensured significant negative impacts on shareholder returns and revenue, which are expected to create financial disruptions in the smart retail devices industry.

To stimulate the local economy, several governments have already announced subsidies and incentives, which are varying by region. For instance, China declared extended state subsidies and tax breaks for consumers purchasing new electric vehicles. In addition, the U.S. has reduced fuel-efficiency standards for automakers. Retail companies are expected to track such regional variation, as it may affect the demand patterns of consumers and anticipate government evolution.

However, the COVID-19 crisis is expected to accelerate automation and the adoption of Industry 4.0 technologies. Remote manufacturing, diagnostics, and maintenance could all become permanent features. If that occurs, smart retail companies might become smart workspaces, with technologies that facilitate remote work for most of the employees. The companies are also expected to adopt and encourage a hybrid model in their manufacturing processes in which a certain number of employees work remotely and the rest remain on site. The efficiencies gained through such changes as well as their start-up costs could influence future smart retail devices revenues.

Key Benefits for Stakeholders

By Technology

By Application

By Region

Key Market Players