Automated Fare Collection Market Size, Share & Industry Analysis, By Application (Rail and transport, Parking applications, Theme park applications, Others), By Service Type (Consulting, System implementation, Training, support, and maintenance), By Vertical (Transportation and logistics, Government, Media and entertainment), By Technology Type (Near field communication, Magnetic stripes, Others) And Regional Forecast, 2024-2032

Automated fare collection is a solution that implements automatic facilities in the transport industry's fare collection or ticketing systems. This solution enhances efficiency in the ticketing system and the rate of transactions. With the installation of automated fare collection systems, transport authorities can offer fast and hassle-free services to end-users. Incorporating advanced technology in the ecosystem, such as electronic payment, contactless technology, and smart card with automated fare collection systems, has helped reduce costs incurred due to manual ticketing systems in the transportation industry. Automated fare collection systems (AFC systems) consist of automatic ticket transaction machines, card recharge terminals, gate machines, and ticket checking machines. Due to the rise in the demand for stress-free, fast, and efficient transportation systems, demand for AFC systems is expected to grow substantially during the forecast period.

The passengers' ever-changing payment outlook eliminates the need to carry cash and reduces the transit time that helps eliminate the hectic long ticket queues, which is also a significant driving force for the AFC system market. An automated fare collection system is a no-contact, end-to-end solution for collecting fare expenses, and it is a better substitute for the conventional ticketing system. It requires travelers to carry only one card to use for all transportation modes. The ever-growing public infrastructure developments in developing countries worldwide have shaped many opportunities for the emerging market. Increasing regional incorporation between AFC system providers and transit agencies, such as airports, railways, and parking lots, is also increasing market growth.

In this global crisis of COVID-19, the major impact is experienced by public transportation as people are recommended to stay at home and prefer to work from home wherever possible. The no contact facility of this system adds up to be more reliable for AFC system implementation.

Market Segmentation:

The automated fare collection market is segmented by application, by service type, by vertical, by technology type, and by region. The Rail and Transport sub-segment in the application segment is likely to hold the largest market size during the forecast period. An increase in demand for smartphones in the market is expected to boost the market growth as smartphones have become an essential source for online ticketing. Smartphones purchase tickets faster and easier with the help of AFC technology.

Training, support, and maintenance services consist of the primary topics that will help an individual understand AFC technologies' more superior concepts. It is recommended for business owners, application developers and operators, and other technical professionals who desire to have a clear knowledge of AFC. The transportation and logistics, government, and media & entertainment industries are the largest end-users of AFC products. This is mainly owing to the existence of large numbers of fare collection opportunities present within these industries. APAC region is anticipated to be the fastest-growing region for the AFC market in most of the industries, including retail, media & entertainment, and government. Based on technology, the market is sub-segmented into near-field communication, magnetic stripes, and others. The magnetic stripes segment holds the largest market share, and it is anticipated to grow rapidly during the forecast period. The enhanced operating flexibility and faster processing speed are attributing to the growth of the segment.

Key Players:

Key players in the global market include Advanced Card Systems Ltd., Cubic Corporation, Atos SE, GMV, Indra Sistemas SA, LECIP Holdings Corporation, LG CNS, Masabi Ltd., Omron Corporation, Nippon Signal Co., Ltd. These are the major market players along with other competitors in the market.

Key Insights

• New Advancements in Automated Fare Collection Market.


• Segmentation of Automated Fare Collection Market.


• New Products and Key Players.

Regional Analysis.

North America held the largest share of the market in 2020. It is expected to maintain its dominance during the forecast period due to the quick adoption of promising technologies in this region. Factors such as rising tech using population, enhanced internet and communication network systems, and the high number of smartphone users have facilitated widespread deployment and usage of AFC systems in the region over the years. Moreover, the presence of leading AFC system providers and manufacturers that are gradually working on the expansion and development of the latest solutions will boost the region's growth. Asia Pacific is experiencing rapid growth in the demand for AFC systems. This can be primarily recognized due to the rise in investments from governments of emerging economies intended to develop railway infrastructure, expansion of highway networks, and metro projects to smooth the progress of inter-city and intra-city travel systems. Europe is anticipated to exhibit steady growth during the forecast period due to the increasing digital payment system, and higher smartphone incursion in the region is anticipated to offer profitable growth in the region.

Segmentation