ATM market is expected to reach $21.9 Bn by 2020

Nov 25, 2016 Ambili ATM, ATM growth, rbi

A new report published by Allied Market Research titled, “World ATM Market – Opportunity Analysis and Industry Forecast, 2014 – 2020”, forecasts that the world ATM market is expected to garner revenue of $21.9 billion by 2020, registering a CAGR of 7.7% from 2015 to 2020. Integration of wireless communicating devices (smartphones) with ATM machines has reduced ATM frauds arising due to card skimming. This factor has significantly fostered the adoption of smart ATMs, which has consequently fuelled the growth of the world ATM market.

According to the Federal Reserve System, the ATM market in developed countries, such as the U.S., the U.K., Canada, and France has attained maturity, while the Reserve Bank of India forecasts a rapid growth of the ATM markets in the emerging countries.

The increase in the use of solar-powered ATM machines for reducing the operational cost of ATMs has boosted the growth of the market. Similarly, Brown label ATMs allow banks to focus on their core business, as the hardware and its lease are owned by third party vendors, whereas the cash management & network connectivity are managed by the bank, eventually reducing the operational cost of ATMs.
The introduction of white label ATMs in the developing countries would boost the ATM market in future. “Deployment of ATMs at different locations such as Onsite, Offsite, Worksite and the accessibility to Mobile ATMs have facilitated 24*7 availability of banking services to the customers that create an avenue for promotional activities to the banks concerned. Brown label ATM, allows the banks to focus on their core business, as the hardware and its lease are owned by third party vendors, and the cash management & network connectivity is owned by the bank, eventually reducing the operational cost of the ATM’s,” states, Gunjan Malani, AMR.

The report outlines the competitive scenario of the world ATM market and provides a comprehensive study of the key strategies adopted by the companies operating in the ATM market.