Asset Tracking Market Size, Share & Industry Analysis, By Component (Hardware and Software), By Technology (Radio Frequency Identification (RFID), Global Positioning System (GPS), Barcode, M2M/IoT, and Others), By Deployment (Cloud and On-premise), By Enterprise Type (Small & Mid-sized Enterprises (SMEs) and Large Enterprises), By Industry (Transportation & Logistics, Aviation, Healthcare, Manufacturing, Food and Beverages, Retail & E-commerce, Government, and Others), and Regional Forecast, 2024-2032

The global asset tracking market size was valued at USD 21.25 billion in 2023. The market is projected to grow from USD 23.42 billion in 2024 to USD 59.64 billion by 2032, exhibiting a CAGR of 12.4% during the forecast period.

Asset tracking involves scanning barcode labels or using GPS/RFID tags to monitor a company's physical assets. It offers real-time data on asset ownership, usage, and impact on profits. Industries in the manufacturing sector are now focusing toward the adoption of advanced technologies to enhance their manufacturing processes due to the increasing popularity of Industry 4.0 and smart factories. Industries extensively use asset tracking to monitor and track the location and status of assets. For instance,

• October 2023: A report by Inmarsat reveals that 84% of businesses could achieve significant cost savings and efficiency improvements by adopting IoT technologies for tracking assets.


• March 2022: According to a study by Accenture, factories that utilize 5G technology can experience significant productivity improvements. These include a 20-30% increase in overall productivity, a 50% reduction in assembly time, a 20% extension in asset life, and a 90% enhancement in defect detection.

Asset-tracking solutions, such as contact tracing, witnessed a surge in demand during the COVID-19 pandemic to ensure the safety of employees and visitors in businesses and government facilities. Hospitals and large facilities especially experienced growth in deploying these solutions. The healthcare sector, in particular, had a high demand for asset-tracking solutions to monitor essential medical equipment such as defibrillators, ventilators, and medical pumps, leading to significant time and operational efficiency benefits.

IMPACT of GENERATIVE AI

Generative AI to Aid Asset Tracking with Automated Asset Discovery and Predictive Maintenance

Digital transformation is changing the way assets are tracked, sparking interest in how generative AI can transform this field. Asset managers use generative AI to simulate different market scenarios, optimizing portfolios for current market conditions. Real-time data analysis improves portfolio management, allowing for data-driven decisions that match the market trends.

Generative AI automates manual ITAM tasks such as inventory management, compliance reporting, and asset discovery, allowing IT staff to concentrate on strategic responsibilities.

• July 2023: Geotab, a company specializing in tracking vehicles and assets, recently introduced a new tool called Data Connector for data intelligence. They also released a beta version of a digital assistant named ‘Project G’, which uses generative AI technology. Project G allows users to ask questions and get insights into a vehicle's performance, efficiency, and sustainability.

Asset Tracking Market Trends

High Demand for IoT-based Asset Tracking Solutions Likely to Propel Market Growth

The asset tracking industry is growing rapidly due to the smooth integration of Internet of Things (IoT) technologies. This integration allows for real-time visibility and better control over assets in different industries. The emergence of IoT has also led to the development of solutions such as connected logistics and predictive maintenance, which help automobile manufacturers manage data in real-time and extend the lifespan of machines, saving time and money. Additionally, IoT-based solutions enable the tracking of tools and equipment on the shop floor to prevent overuse, underuse, or misuse and send alerts for maintenance.

• In December 2023, Globalstar, Inc., the global telecommunications infrastructure and technology provider, recently introduced GSatSolar to its range of industrial IoT-based solutions. This compact, durable, and affordable tracking device allows value-added resellers (VARs) and customers to enhance the effectiveness of their tracking software tools by expanding the number of assets that can be tracked in almost real-time.

Thus, the demand for IoT-based asset tracking modules in the manufacturing and cold chain monitoring applications is expected to amplify the global asset tracking market growth over the forecast period.

Asset Tracking Market Growth Factors

Growing Investments in 5G Technology to Propel the Demand for Asset Tracking

The expansion of 5G networks is increasing, resulting in better tracking of assets. With access to 5G, there are benefits such as improved coverage, network security, and reliability. This means less energy is required to transmit data. As 5G develops further, asset tracking capabilities will continue to advance.

• In March 2024, Omdia stated that approximately 455 million worldwide 5G connections were established in 2022. The growth of global 5G connections persisted in 2023, nearing 2 billion and hitting 5.9 billion by the conclusion of 2027.

Prior to 5G, cellular networks could not track positions well, and 5G changed that by allowing real-time tracking of assets. A good network connection is needed to track items everywhere, and 5G opens up many opportunities for tracking assets in various industries.

RESTRAINING FACTORS

High Initial Costs Likely to Hamper Market Growth

Asset tracking solutions used in various applications have a wide range, spanning from a few meters to thousands of meters. As a result, the cost of these solutions also varies depending on their accuracy, range, incorporated technologies, and specific applications. One of the main obstacles to the adoption of asset tracking technology, particularly those based on real-time location systems (RTLS), is the high initial investment required. Despite the benefits of using RTLS solutions in industries such as healthcare, manufacturing, retail, defense, and logistics, which include reduced workforce costs and improved resource utilization efficiency, the cost of installing these systems remains high initially.

The costs of some solutions, such as barcodes and RFID, are reducing, however, the overall cost of these solutions is still high. This is mainly due to the inclusion of the cost of infrastructures, such as software and servers, along with maintenance and other costs. In addition, it is difficult for companies, especially SMEs, to find professionals with the required technical skills and train new employees.

Asset Tracking Market Segmentation Analysis

By Component Analysis

Asset Tracking Hardware Dominated the Market Owing to Rising Demand for LPWAN among Various OEMs

Based on component, the market is bifurcated into hardware and software.

The hardware segment held the largest market share in 2023. Expanding Low Power Wide Area Network (LPWAN) coverage, technological maturity, and the associated miniaturization of sophisticated devices are the keys to shifting asset tracking from traditionally high-value markets to low-value high-volume markets, which will account for most of the tracker connection and shipment numbers. Hardware devices for tracking assets are primarily dominated by the need to balance power consumption, form factor, and device cost.

• According to industry experts, 82% of Original Equipment Manufacturers (OEMs) in the asset tracking space have adopted or are releasing products using cellular LPWAN connectivity. An analysis of 43 major OEMs of asset tracking devices found that the hardware ecosystem is increasingly diversifying its hardware product offering, as well as integrating further downstream services.

By Technology Analysis

Rising Demand for M2M/IoT Technology among Healthcare and Manufacturing Sectors to Amplify Market Growth

Based on technology, the market is segmented into Radio Frequency Identification (RFID), Global Positioning System (GPS), barcode, M2M/IoT, and others.

The M2M/IoT technology is expected to exhibit the highest growth rate over the forecast period. The advancement of Machine-to-Machine (M2M) and the Internet of Things (IoT) represents a significant milestone in the progress of asset monitoring and tracking technologies. IoT technology plays a crucial role in protecting assets from potential risks and damage by providing comprehensive monitoring and security.

• Recent research indicates that global IoT connections increased by 18% in 2022 to 14.3 billion active endpoints. In 2023, the number of connected IoT devices rose by 16% to 16.7 billion active endpoints, and it is projected to exceed 29 billion IoT connections by 2027.

Barcodes dominated the global asset tracking market share in 2023 due to the increasing use of cloud-based solutions. They have transformed business operations by improving data accuracy, customer experience, and inventory management.

By Deployment Analysis

Increasing Adoption for Cloud-Based Solutions to Aid Growth

By deployment, the market is classified into cloud and on-premise.

The cloud deployments are expected to witness the highest growth rate during the forecast period. By using a cloud-based asset management system with GPS tracking, the logistics company can monitor their fleet in real-time. Over time, the development and modernization of technology, such as the use of RTLS (Real-time Location System) solutions and IoT (Internet of Things) devices, have resulted in an enhancement in cloud-based capabilities.

The on-premises captured a significant market share in 2023. On-premise software is installed and maintained on the company's own servers. It offers more control and customization options, with complete control over asset tracking solutions, and requires upfront investment, IT infrastructure, and regular updates and maintenance.

By Enterprise Type Analysis

Small and Mid-Sized Enterprises to Increase their Tech Spending to Deploy AI and ML Technologies

The global market is categorized into small and mid-sized enterprises (SMEs) and large enterprises by enterprise type.

It is projected that SMEs is likely to experience the highest growth rate in the coming years. By incorporating AI and ML technologies, SMEs in supply chains, manufacturing, logistics companies, and other sectors can collect and analyze larger amounts of information about their surroundings more efficiently. Instead of only giving the location of assets, AI and ML can offer detailed data about these assets through trend analysis. This information may include the quantity of assets over time, such as inventory trends.

Large enterprises accounted for the largest market share in 2023. Big companies can easily control assets in many places and divisions using cloud-based systems. This helps them enhance operations and save costs in the ever-evolving IT world, leading to increased demand from big companies.

By Industry Analysis

Rapid Digital Transformation in the Manufacturing Industry to Augment Market Growth

Based on industry, the market is segmented into transportation & logistics, aviation, healthcare, manufacturing, food and beverages, retail & e-commerce, government, and others.

The manufacturing sector held the major market share in 2023. The rise of Industry 4.0 and smart factories has made it essential for manufacturing industries to embrace advanced digital technologies for better manufacturing processes. Additionally, the use of IoT and Industrial IoT in asset-tracking solutions is expected to enhance these solutions. The increasing connectivity of IoT is driving the demand for IoT asset-tracking devices.

• In July 2023, MachineQ, a subsidiary of Comcast, enhanced MachineQ for Indoor Asset Tracking, a real-time location system (RTLS) solution launched in 2022. The update includes a space utilization solution and new asset tracking tags. The company introduced a suite of active asset tags, such as the Nano LP, Nano RT, Dura ET, Dura AC, and Dura PT, to cater to customers' unique asset tracking needs.

The retail & e-commerce industry is likely to grow with the highest CAGR over the forecast period. Industry experts predict that 53% of sales will be made online in 2029. This puts pressure on the retail industry to enhance the consumer experience, from browsing to purchasing, which can be achieved with a reliable retail & e-commerce asset tracking system.

REGIONAL INSIGHTS

The global market scope is classified across five regions, namely North America, South America, Europe, Middle East & Africa, and Asia Pacific.

In 2023, North America held the highest market share and in 2024, the manufacturing and healthcare industries in the area are expected to be impacted by technological advancements. Meanwhile, the retail and e-commerce sector is experiencing growth, leading key companies to develop new asset-tracking solutions.

• In 2022, the National Retail Federation reported that inventory shrinkage in the U.S. increased to 1.6% of sales, compared to 1.4% in 2021. This resulted in a total loss of nearly USD 112.1 billion. To reduce these losses, asset tracking offers a solution by offering complete visibility and control over assets.

Asia Pacific is expected to experience the highest CAGR during the projected period driven by sectors such as retail & e-commerce, government, and food and beverages. China, with the world's largest vehicle fleet, is leading in IoT adoption due to government support in R&D. China's role in semiconductor fabrication and manufacturing is vital for the growth of IoT-based tracking of assets and connectivity technologies.

Moreover, the Europe asset tracking market share is being driven by the expansion of industry 4.0 and IoT. Europe prioritizes tracking of assets for various purposes such as manufacturing, retail, and logistics, with a strong focus on enhancing operational efficiency. The market is also supported by regulations promoting standardization, a growing demand for intelligent logistics solutions, and the necessity for improved visibility in the supply chain.

• In December 2023, Reelabels, a U.K.-based company, introduced their latest smart asset trackers with 5G technology. These trackers enable real-time tracking of items during transit. The company mentioned that the 5G smart label solution is best suited for manufacturers or retailers shipping time-sensitive, high-value goods without control over their logistics routes.

The Middle East & Africa is experiencing continuous growth in the use of asset tracking solutions. This is mainly due to the development of transportation and logistics sectors. Additionally, there is a significant rise in smart city projects across the MEA region. Notable examples include Saudi Arabia's Neom smart city, which has a budget of USD 500 billion, and Kuwait's eco-friendly Saad Al-Abdullah city, with a budget of USD 4 billion. These factors contribute to the expansion of the market in the region.

Additionally, countries in South America such as Brazil, Argentina, and Chile are creating fresh AI regulations and organized plans to enhance the use of advanced technology in the region. As an example, in October 2023, BWS IoT, a company in Brazil that tracks assets, collaborated with emnify, a global supplier of cellular IoT connectivity, to provide improved IoT connectivity to clients, both locally and internationally.

List of Key Companies in Asset Tracking Market

Launching New Asset Tracking with Enhanced Features to Cater End-Users’ Evolving Requirements

Key players operating in the market such as Actsoft Inc., ASAP Systems, Asset Panda, GigaTrak, AT&T Inc., and others are launching several new products that are focused on catering to specific types of industries. These major players combine current products with new technologies to meet the changing needs of customers. Additionally, solution providers have been investing heavily in various research and development activities to enhance their current asset-tracking solutions and introduce new ones by integrating the latest technological advancements. These companies see global expansion as a means of capturing the largest possible market share.

• In March 2023, OnAsset Intelligence Inc. released its latest product, the Sentinel 200. This device is the newest version of OnAsset's popular Sentinel product line and is among the first to utilize Amazon Sidewalk for logistics purposes. 

List of Key Companies Profiled:

• Actsoft Inc. (U.S.)


• ASAP Systems (U.S.)


• Asset Panda (U.S.)


• AT&T Inc. (U.S.)


• Link Labs (U.S.)


• Qualcomm Technologies, Inc. (U.S.)


• GigaTrak (U.S.)


• Insider Navigation Inc. (Austria)


• OnAsset Intelligence, Inc. (U.S.)


• Fleet Complete (Canada)


• Trimble Inc. (U.S.)


• Zebra Technologies Corp. (U.S.)


• Quinta Systems Private Limited (India)


• Cisco Systems Inc. (U.S.)


• Honeywell International Inc. (U.S.)

KEY INDUSTRY DEVELOPMENTS

• December 2023 – The Priner Group, a Brazilian company, joined forces with Wyld Networks to implement IoT asset monitoring using satellite technology. This collaboration will empower the Priner Group to effectively manage and minimize losses during the delivery of goods to its customers.


• October 2023 – Deloitte and Nexxiot joined forces to bring Know Your Client with Know Your Cargo (KYX) powered by Nexxiot. This collaboration aims to combine Deloitte's expertise in Know Your Client (KYC) services and implementation with Nexxiot's asset intelligence technology and trusted Client Information Network Intelligence (CINFONI) platform.


• September 2023 – Energous Corporation, a company specializing in RF-based charging for wireless power networks, partnered with Veea Inc., a provider of computing and security technologies to merge wireless power and edge computing. The collaboration aims to enable real-time asset tracking in fast-growing IoT industries.


• April 2023 – Verizon Connect has announced enhancements to its mobile workforce management platforms, providing upgraded features for businesses in the United States and Canada to monitor and manage their field equipment. With the introduction of the Equipment Asset Tracker (EAT), companies can easily connect and track their assets on a single centralized platform.


• February 2023 – Qualcomm Technologies, Inc. introduced the Qualcomm Aware Platform, enabling developers and businesses to utilize real-time data for their digital transformation initiatives. Qualcomm Aware links to chips in tracking devices for various industries such as utility asset monitoring, cargo shipment tracking, and warehouse management.

REPORT COVERAGE

The research report includes prominent regions across the globe to get a better knowledge of the industry. Furthermore, it provides insights into the most recent industry trends and an analysis of technologies that are being adopted quickly on a global scale. It also emphasizes on the market’s drivers and restrictions, allowing the reader to obtain a thorough understanding of the industry.

REPORT SCOPE & SEGMENTATION

ATTRIBUTE	DETAILS
Study Period	2019–2032
Base Year	2023
Estimated Year	2024
Forecast Period	2024–2032
Historical Period	2019–2022
Growth Rate	CAGR of 12.4% from 2024 to 2032
Unit	Value (USD Billion)
Segmentation	By Component Hardware Software By Technology Radio Frequency Identification (RFID) Global Positioning System (GPS) Barcode M2M/IoT Others (Edge Computing) By Deployment Cloud On-premise By Enterprise Type Small & Mid-sized Enterprises (SMEs) Large Enterprises By Industry Transportation & Logistics Aviation Healthcare Manufacturing Food and Beverages Retail & E-commerce Government Others (Education, Agriculture) By Region North America (By Type, By Application, and By Country) U.S. Canada Mexico South America (By Type, By Application, and By Country) Brazil Argentina Rest of South America Europe (By Type, By Application, and By Country) U.K. Germany France Italy Spain Russia Benelux Nordics Rest of Europe Middle East & Africa (By Type, By Application, and By Country) Turkey Israel GCC North Africa South Africa Rest of the Middle East & Africa Asia Pacific (By Type, By Application, and By Country) China India Japan South Korea ASEAN Oceania Rest of Asia Pacific