Hospitality applications to drive cloud point of sale (POS) market growth over 2019-2025
Publisher : Fractovia | Published Date : 2019-06-27Request Sample
With the burgeoning demand for e-commerce transactions and streamlined information management across multiple locations, cloud POS market share is poised to observe substantial growth over the ensuing years. According to a research report by Global Market Insights, Inc., cloud POS market size is anticipated to exceed a valuation of USD 6 billion by 2025.
Businesses lately, are reaping all the benefits that the cloud point of sale technology has to offer. Enterprise POS solutions can significantly improve business processes, increase revenue, and save time. With traditional or on-premise POS systems, the processing is limited to the physical location of the device, but with cloud POS systems, sales data can be processed over the web, anytime and from anywhere through the internet.
U.S. SMEs cloud POS market, by application, 2018 & 2025 (USD Million)
Cloud point of sale market is anticipated to gain impetus from hospitality applications. Hotels and restaurants are investing heavily on upgrading their payment processing technology to boost customer experience and reduce the time per transaction. The rapid growth of the hospitality sector and the introduction of online platforms for easing and accelerating bookings and reservations will offer noteworthy growth opportunities to players in cloud point of sale (POS) market.
Asia Pacific region is slated to be a rather lucrative growth ground due to the high adoption rate of cloud based enterprise POS solutions. The Asia Pacific cloud POS market size is projected to experience a growth rate of more than 25 percent over 2019-2025. Increasing urbanization and commercialization in Asia Pacific has given a boost to economic development, encouraging businesses to go digital.
The restaurant sector, in particular, has been highly proactive to deploy advanced cloud POS solutions instead of on-premise POS solutions, for attaining higher staff efficiency, reducing operational costs, and enhancing customer satisfaction.
The rapid growth of food delivery services in the Asia Pacific has added positive momentum to cloud point of sale market growth. Online food delivery companies like Swiggy, allow customers to perform transactions online, saving time and hassle of arranging cash, while amplifying overall ordering experience.
The media & entertainment sector is another significant revenue generating application segment of cloud POS industry. The adoption of cloud based payment system across movie theatres, concerts, sports venues, amusement parks, etc. offers ease of use, flexibility, and transparency to customers.
The growing trend of contactless payments has impacted hospital, education, hospitality, transportation, media & entertainment, real estate, automobile, retail, BFSI, and a slew of other sectors. The boom in contactless payment market, driven by widespread acceptance of e-commerce platforms & mobile banking applications, will translate into substantial gains for cloud POS industry.
Factors such as unavailability of fast and stable internet access in many regions, high cost of customization, expenses in hardware & software, and risk of service disruptions due to internet outage, would deter cloud point of sale market growth to some extent in the future. Cloud systems need the internet to work consistently because if the network shuts down customers are unable to access their files, which effectually delays or stops production.
Internet access is still very limited in some urban as well as rural areas of Belarus, Burma, China, Cuba, Egypt, Iran, North Korea, Saudi Arabia, Vietnam, Uzbekistan, and several other nations. In Uzbekistan, out of 32 million people, only 9 million individuals are connected to the internet. Reportedly, North Korea has an internet penetration rate of 0.08 percent, one of the lowest in the world. The aforesaid reinforces the fact that internet access is a major roadblock for cloud POS solutions.
The growth trajectory of cloud POS market relies heavily on market majors like Shopify, Toast, Inc., Square, Inc., TouchBistro Inc., Upserve, Inc., Vend, PAR Technology, Clover Network, Inc, EPOS Now, Revel Systems, Inc., Lightspeed POS Inc., and NCR Corporation. The increasing demand for data storage from cloud point of sale enterprises is slated to boost cloud storage market growth.
Market players are adopting growth tactics like acquisitions, mergers, new product introduction, and geographical expansion to enhance their global footprint. For instance, PAR technology has entered into a strategic partnership with Monkey group, to amplify its restaurant POS service offerings by leveraging Monkey’s unmatched expertise in off-premise functionality of the catering industry.
Endorsed by the rising adoption of cloud POS systems across the globe and an ever-evolving technological landscape, cloud point of sale (POS) industry is predicted to accrue lucrative proceeds in the coming years.
