Posted On: 2020-11-03
Fixed Point-of-Sale Terminals would generate the highest revenues in the UAE Point-of-Sale Terminal market over the coming years on account of their robust features and familiarity among the users- 6Wresearch.
UAE point-of-sale terminal market is anticipated to register substantial growth over the forecast period owing to the increasing internet penetration coupled with the rising acceptance of credit cards and debit cards as a mode of payments. UAE government has been investing worth billions in its electronic infrastructure through the increased rollout of cards, POS terminals, and other electronic payment methods. Additionally, the government’s aim to increase the financial inclusion rate, including the number of bank accounts, internet access, electronic banking, and mobile phone subscriptions underpinned by initiatives such as UAE National Payment System Strategy, UAE Vision among others would create multiple prospects for POS terminal market in the country over the coming years. POS terminal transactions would witness a downfall in the country on account of the nation-wide lockdown being imposed due to the COVID-19 pandemic to curtail the spread of the virus. However, the aforesaid market is anticipated to witness growth as the economy is expected to open up gradually coupled with the rapid shift of the people towards cashless transactions. Additionally, the rising usage of e-wallets and unified payment interface would act as a hindrance to the growth of the POS terminal market in the country.
According to 6Wresearch, UAE Point-of-Sale Terminal Market is expected to grow at a CAGR of 7.7% during 2020-26. Based on technology, fixed POS terminals are considered the most recognized and accepted way to process debit/credit cards, thus holding the major market revenue shares and are expected to maintain their dominance over the forecast period. Moreover, fixed POS technology offers more comprehensive business management solutions and robust features in comparison to its counterpart. Portable POS terminals are an enriched version of fixed POS terminals owing to the advantages such as flexibility, enhanced security, lower free floor space and reduced maintenance cost. Further, with the advent of cash on delivery options via card payments, provided by e-commerce platforms, portable POS terminals are expected to register healthy growth over the forthcoming period.
According to Navneet Aggarwal, Research Analyst, Research and Consulting, 6Wresearch, “Countertop POS terminals offer seamless connectivity featuring multiple card readers such as chip cards, magnetic stripe and offers a range of payment options for added convenience, and thus hold a substantial market revenue share in the overall UAE point-of-sale terminal market. However, its limited mobility and lack of adaptability with the ever-changing business conditions are the major restraints for the growth of countertop POS terminals over the forthcoming period.”
“The adoption of cash-on-delivery option through debit/credit cards being provided by e-commerce platforms is expected to drive the demand for M-POS terminals in the country over the forecast period. The flexibility being offered due to the use of smartphones, tablets or any wireless device, resulting in reduced installation cost would lead to increased acceptance of such systems. Further, the advent of wireless technologies has made M-POS terminals an attractive option among the customers which would, in turn, lead to significant growth over the coming years.” – Navneet further added.
According to Swati Acharya, Research Associate, Research and Consulting, 6Wresearch, “Retail sector captured the largest market revenue shares in 2019 and is expected to maintain its position over the coming years. POS terminals in the retail sector are being increasingly deployed in hypermarkets and shopping complexes to facilitate the handling of a large number of goods and customer traffic. POS terminals ensure fast transactions by eliminating long customer queues at payment counters thereby enhancing customer satisfaction by ensuring secure and fast payment solutions, which in turn would drive the aforesaid market in the retail sector over the coming years. Moreover, rapid shift from the conventional transaction methods towards integrating POS systems with inventory, merchandising, marketing, and customer relationship management data would help retailers in providing an interactive and unique customer experience.”
Some of the key players in UAE point-of-sale market include Toshiba Corporation, VeriFone System Inc., Samsung Electronic Inc., Hewlett Packard Enterprises and others.
UAE Point-of-Sale Terminal Market (2020-2026)” report provides an in-depth analysis with 28 figures, 10 tables covered in 85 pages. The report estimates and forecast the overall UAE point-of-sale market by technology, types, applications and regions. The report provides an unbiased and detailed analysis of the on-going trends, opportunities/high growth areas and market drivers which would help the stakeholders to device and align their market strategies according to the current and future market dynamics.