Impact Analysis of Covid-19
The complete version of the Report will include the impact of the COVID-19, and anticipated change on the future outlook of the industry, by taking into the account the political, economic, social, and technological parameters.
Market Insight- Global Point of Sale (PoS) Receipt Printer Market
A receipt printer is a crucial device in point of sale (PoS) system where they are used in retail environments to print credit card slips and customer receipts. In layman’s terms, point-of-sale (PoS) printers are typically used to provide the transcript of the transactions such as tickets and sales receipts. The PoS receipt printer is majorly used in the restaurant industry to print off order back in the kitchen or at the bar. PoS printer plays a crucial role in minimizing the printing time and generating quality receipts as compared to conventional receipt printers. Different types of printers are used such as inkjet printer, dot-matrix printer, thermal printers, and more. Apart from restaurants, PoS printers are used in healthcare, retail, entertainment, warehouse/distribution, hospitality, etc. industries.
The global point of sale (PoS) receipt printer market was valued US$ 2,666.0 Mn in 2019 and expected to reach US$ 4,877.0 Mn by 2027.
Market Dynamics- Drivers
- Rising need for mobility in retail and hospitality applications is expected to drive growth of the global point of sale (PoS) receipt printer market during the forecast period
Consumers across the retail and hospitality sectors are increasingly adopting mobility technology to improve the customer experience and enhance the effectiveness of point of sale (PoS) systems for billing and other related purposes. The use of mobile receipt printers in both retail and restaurant applications can help to achieve significant cost savings since conventional PoS systems are more expensive and do not allow mobility. Moreover, the mobility feature optimizes the checkout process since it enables customers to complete transactions by skipping the queue at the counter. Moreover, faster checkout processes help to increase transaction numbers for both hospitality and retail applications. Thus, these factors are expected to drive the market growth during the forecast period.
- High demand for thermal point of sale (PoS) printers is expected to propel the global point of sale (PoS) receipt printer market growth over the forecast period
Thermal PoS receipt has been adopted significantly in many sectors due to declining prices. Since thermal printers provide fast printing and are more efficient than other printers, their demand is increasing exponentially, typically across the hospitality and retail sectors. Its other features include low printing cost, enhanced print quality, and reduced maintenance. Thus, these factors are expected to boost the global point of sale (PoS) receipt printer market growth in the near future.
North America region dominated the global point of sale (PoS) receipt printer market in 2019, accounting for 28.6% share in terms of value, followed by Europe and Asia Pacific, Middle East and Latin America respectively.
Source: Coherent Market Insights
Market Dynamics- Restraints
- Rising adoption of cloud-based PoS systems is expected to restrain growth of the global point of sale (PoS) receipt printer market during the forecast period
Consumers in the market are focused on avoiding paper-based receipts and prefer e-receipts that are more convenient, more informative, less time consuming, more secure, and can be accessed via smart devices anywhere. This, in turn, is expected to hinder the sales of PoS receipt printers and thereby restrain the global point of sale (PoS) receipt printer market growth in the near future.
- Health risk arising from bisphenol A (BPA) paper used in thermal PoS printers is expected to hamper the global point of sale (PoS) receipt printer market growth over the forecast period
The layers on direct thermal PoS printer contain a small amount of BPA, phenol-based reactants, or diphenyl sulfones that respond to heat to create the picture on papers. Bisphenol A (BPA) is a type of paper used in a thermal PoS printer that increases health risks associated with consumers. According to the U.S. Food and Drug Administration (FDA), in January 2010, the BPA used in thermal printers pose a risk of health hazards, especially for employees working as cashiers. Consequently, governments around the globe, primarily in countries such as Canada, Japan, and the U.S., are imposing bans on BPA. This ban is further restricting the growth of the POS printers market.
- Rising demand for PoS printers can provide major business opportunities
Since more and more people are using cards for payments, the demand for PoS printers is expected to increase significantly during the forecast period. Governments of many countries such as China and India are taking proactive initiatives to make their economies less cash-dependent, which is why taxes have been minimized on PoS devices to support more cashless transactions. Moreover, integrating PoS printers with additional features including wireless connectivity, NFC, Bluetooth, etc. is expected to boost the demand for advanced PoS printers, thereby provide major business opportunities for market players.
- Emergence of erasable and color printing is expected to present lucrative growth opportunities
Many companies are focused on novel ways to reduce the wastage of paper, thus manufacturers have already started investing in new technologies to produce innovative products. Erasable printing is one such technology under development, which can be used to reduce paper wastage through reuse. Moreover, color printers are expected to gain significant traction in the market, which is currently dominated by black and white printers.
Source: Coherent Market Insights
- North America Trends
On the basis of the end-use industry, hospitality segment is expected to gain a significant share in the North America point of sale (PoS) receipt printer market during the forecast period. In this, restaurant sub-segment is expected to contribute to major share as compared to other sub-segments. This is owing to flexibility and ease that PoS machines provide to the customers and the restaurant owners by facilitating fast transactions of bills thereby allowing increased customer throughput and boosting sales. Moreover, growing adoption PoS machines in the restaurant industry is expected to drive the regional market growth in the near future.
- Europe Trends
In Europe point of sale (PoS) receipt printer market, thermal PoS printers are expected to witness high adoption and drive the regional market growth. Benelux, South Europe, and Germany are expected to be the major contributor in the increasing demand for thermal PoS printer in 2015 as compared to 2014. This trend is expected to continue during the forecast period.
In global point of sale (PoS) receipt printer market, by technology segment, the thermal, sub-segment dominated the global market in 2019, accounting for 75.6% share in terms of value, followed by impact/dot matrix and inkjet respectively.
Source: Coherent Market Insights
Value Chain Analysis
- The prominent players in the PoS printer value chain include OEMs (PoS printer), PoS distributors, value-added resellers (VARs), and the end-users (small and large business units)
- The OEMs procure various raw materials from the suppliers and use them in the production process. In most cases, prominent OEMs prefer designing and developing the printer components in-house along with other PoS equipment to attain a high level of customization. This is because the OEM’s understanding of what its customers expect from the product is more comprehensive than third-party suppliers’ understanding.
- This is an example of backward integration, where OEMs can opt to produce critical components in-house without relying on third-party suppliers. In such a scenario, an OEM might also set up an SBU for such critical components.
- For example, prominent OEMs including Star Micronics, Inc., Seiko Epson Corporation, and Posiflex Technology, Inc. have in-house capabilities to design and develop a complete PoS solution including PoS printers
- Furthermore, in a forward-integration scenario, an OEM has the option of directly owning and managing the distribution/dealer channel without assigning any distributor or value-added resellers (VARs)
- In other cases where forward integration is not implemented, the buyers (small or large enterprises) can chose between VARs and POS distributors. However, VARs are capable of providing a complete PoS solution including software and training for the employees, thus making them a more popular choice among the SMEs.
Key players involved in the global point of sale (PoS) receipt printer market are Bixolon Co., Ltd., ZIH Corp, Citizen Systems Europe GmbH, TVS Electronics, Seiko Epson Corp., Transact Technologies, Inc., HP Development Company, L.P., Star Micronics, Inc., and Posiflex Technology, Inc.
- Key players in the market are focused on product development, in order to expand the product portfolio. For instance, in January 2017, Bixolon Co., Ltd. introduced compact PoS printing solutions in response to retail’s increasing demand for mobile PoS printers.
- Major companies in the market are involved in product launches, in order to enhance the product portfolio. For instance, in January 2017, Seiko Epson Corporation introduced the TM-T20II Ethernet Plus POS thermal printer with flexible connectivity and convenience for small and medium-sized players in the hospitality and retail sectors. It offers all-in-one connectivity for mobile devices, tablets, and web-based applications for printers.