Press release
U.S. RFID Market: Growing Need to Ensure Integrated Inventory Management Bolsters Demand
Radio-frequency identification (RFID) technology enhances and revolutionize the way the companies do business by improving efficiency of operations, improving asset traceability and visibility, deceasing pressure on manual processes, reducing costs and improving reliability. RFID tags are small in size and they require very less power and don’t need a battery to store and exchange information or data with readers. This makes it cheap and easy to apply tags to all kind of objects that people would like to track or identify.The increase in use of RFID technology in retail sector has been identified as one of the key driving factors for the U.S. RFID Tags Market. In 2016, the U.S. RFID Tags market was valued at US$809.4 mn and is expected to reach US$1,672.5 mn by 2025, expanding at a CAGR of 8.5% during the forecast period. Though already installed base of barcode systems may act as a restrain for RFID tags market. Nonetheless, the increasing focus on enhancing security system has provided opportunity for the usage of RFID chips in passports and visas.
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Passive Tag Segment Emerges as High-revenue Earning Segment
Based on type of tags, the U.S. RFID Tags market has been segmented into active and passive tags segments. The passive tags segment held the largest market share in 2016 of the total market revenue share. The passive tag segment is expected to increase at a CAGR of 8.9% during the forecast period from 2017 to 2025. On the other hand, active tags segment is projected to grow significantly throughout the forecast period mainly in surveillance and security sector. These tags are used for tracking containers and pallets as well as large military assets. These tags are also used in tracking ocean containers and land, vehicles, logistics and other high and large value assets.
Based on product type, the U.S. RFID tags market is segmented into healthcare tags, commercial tags, correctional tags and others. In 2016, the largest market share of is accumulated by commercial tags segment and is expected to rise at a CAGR of 8.9% during the forecast period. Healthcare tags are also estimated to support the growth of the RFID tags market. These tags are mainly used for medical devices tracking purpose. Proactive initiative of healthcare RFID tags implementation for managing medical device threat, streamlining processes, automating billing and reporting has been beneficial to hospitals.
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Logistics and Transportation to Make Maximum Use of RFID Tags Over Forecast Period
In terms of end-user industry, the market has been classified into healthcare, retail, automotive, logistics and transportation, surveillance and security and others such as sports, wildlife, livestock, and IT amongst others. In 2016, the largest market share is accumulated by logistics and transportation industry and is expected to grow considerably during the forecast period. In this sector, RFID-based technologies are extensively implemented to improve transportation security and safety, thus increasing the efficiency of the transportation system and improving the way of living of the citizens. In 2025, the logistics and transportation segment is projected to dominate the market revenue share followed by retail and healthcare sector.
Some of the leading players operating in the U.S. RFID tags market are AMS AG, Atmel Corporation, Impinj Inc., Alien Technology, Confidex LTD., HID USA Corporation, Invengo Information Technology Co., Ltd., Omni- ID Ltd., NXP Semiconductors N.V., and RF Code Inc.
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