The smart ticketing market size is projected to reach US$ 16.51 billion by 2031 from US$ 6.85 billion in 2023. The market is expected to register a CAGR of 11.6% during 2023–2031.
The smart ticketing sector is experiencing growth thanks to the accessibility of rapid transit through smart transit systems, high demand for smart ticketing in sports, entertainment, and tourism, technological advancements in smart ticketing systems, increased use of contactless payments, expansion of the intelligent transportation market, and rising popularity of wearable technologies. In addition, increasing awareness of contactless payments is expected to bring new smart ticketing market trends in the coming years.
By Geography, the smart ticketing market is segmented into North America, Europe, Asia Pacific, Middle East and Africa, and South and Central America. In terms of CAGR, Asia Pacific is anticipated to grow at the fastest over the forecast period. Due to the robust economies of countries like China, India, Indonesia, Thailand, and Malaysia, the Asia-Pacific (APAC) region is projected to achieve the highest compound annual growth rate (CAGR) during the forecast period. The rapid economic growth, population expansion, and urbanization in these nations are driving their efforts to develop smart cities. Furthermore, APAC countries are attracting investments, promoting new technology, and innovating to enhance the quality of life, all of which are stimulating the expansion of the smart ticketing market in the region. The focus is on advancing and interoperable automated fare collection systems, such as smart cards and NFC-enabled devices, to enhance the efficiency of transportation systems and increase ridership by providing commuters with a seamless travel experience. Developed nations like Japan and Singapore are directing their attention towards technology-enabled transport systems through substantial investments in technology.
In February 2021, Scheidt & Bachmann entered a strategic partnership with Pyramid Computer, a prominent provider of IT solutions for the retail and hospitality sectors, to advance self-checkout solutions in fuel retail locations. Through this collaboration, Scheidt & Bachmann leveraged Pyramid Computer's hardware solution for self-checkout to create the SIQMA Smoove smart checkout solution, resulting in the development of user-friendly SIQMA applications.
The smart ticketing market analysis has been carried out by considering the following segments: components, payment systems, and end users.
On the basis of components, the smart ticketing market is segmented into hardware, software, and services. Hardware devices and equipment enable transport operators to offer efficient and convenient ticketing solutions to passengers. Examples of hardware used in smart ticketing systems include contactless smart card readers, barcode scanners, NFC devices, ticket machines, and ticket validators.
Moreover, factors such as rising demand for digital payment in public transport propel the smart ticketing market growth. Also, blockchain technology in smart ticketing is expected to bring new smart ticketing market trends in the coming years.
On the basis of payment systems, the smart ticketing market is segmented into open payment systems, smart cards, and NFC. An open payment system allows riders to pay their fares using contactless credit/debit cards and mobile devices. It is a secure and convenient payment method that provides quick onboarding, low operating expenses, and a better client experience than conventional payment procedures. Open payments enable transit agencies to improve service quality, increase customer satisfaction, and streamline the ticket payment process for riders. In March 2024, Orléans Métropole unveiled its new open payment ticketing system (which was implemented by Kuba) in collaboration with La Banque Postale (its ticketing technology partner). Open payment-compatible validation terminals, combined with modern ticketing software, have been installed in all vehicles to provide passengers with a swift and simple travel experience.
Infineon Technologies AG, NXP Semiconductors, Xerox Corporation, Cubic Corporation, IDEMIA, HID Global Corporation (ASSA ABLOY), CPI Card Group Inc., Confidex Ltd., Thales Group, and Giesecke & Devrient GmbH are among the vital players profiled in the smart ticketing market report. The smart ticketing market report emphasizes the key factors driving the market and prominent players' developments.
The smart ticketing market forecast is estimated on the basis of various secondary and primary research findings, such as key company publications, association data, and databases. Exhaustive secondary research has been conducted using internal and external sources to obtain qualitative and quantitative information related to the Smart ticketing market growth. The process also helps obtain an overview and forecast of the market with respect to all the market segments. Also, multiple primary interviews have been conducted with industry participants to validate the data and gain analytical insights. This process includes industry experts such as VPs, business development managers, market intelligence managers, and national sales managers, along with external consultants such as valuation experts, research analysts, and key opinion leaders specializing in the smart ticketing market.