According to a recent report published by Persistence Market Research (PMR), revenue generated by the global electronic cylinder lock credentials market is estimated to reach US$ 351.0 Mn by 2016 end, witnessing an increase of 10.1% over 2015 revenue. Low frequency RFID is estimated to be the largest technology segment in terms of value contribution by 2016 end, accounting for US$ 297.6, which is up from US$ 271.3 in 2015.
Requirement for enhanced security in the residential sector, with enhanced growth in the construction and real estate sectors, are factors expected to fuel construction activities, thereby fuelling demand for electronic cylinder lock credentials. Demand is expected to pick up in the residential sector due to recent trends such as improving living standards, increasing per capita income etc.
The market in Europe is estimated to be the largest revenue contributor to the global electronic cylinder lock credentials market by 2016 end, with a revenue share of 35.9%. Owing to a large number of leading players offering home security solutions in Europe, the market in the region is becoming increasingly competitive in nature and is expected to continue growing in terms of revenue contribution. Region-wise, North America is estimated to be the second largest market in the global electronic cylinder lock credentials market, with revenue at US$ 89.8 Mn – an estimated increase of 8.4% by 2016 end over 2015.
Among all product types, RFID key (cards) segment is estimated to account for leading market revenue share by 2016 end, owing to the fact that it is cost-effective, easy to deploy, and users can use any Bluetooth-enabled hand-held gadget to access electronic door lock systems. Demand for electronic key (contact based) is estimated to witness highest growth rate by 2016 end, owing to its increasing utilization in commercial, residential, industrial, and government sectors.
Among all technology segment, low frequency RFID is estimated to lead in terms of overall revenue contribution by 2024, high frequency RFID (NFC) segment is estimated to witness highest growth rate by 2016 end. Locks being accessible using NFC technology, smartphones, tablets or Bluetooth-enabled gadgets, is a primary factor for consumers shifting to high frequency RFID (NFC) locks.
Leading players such as AIT Ltd., CES Group, Salto Systems, S.L, etc. are focusing on reducing operational costs as well as introducing advanced products to consolidate their position in the market. Mergers & acquisitions and joint ventures remain a key strategy in the global electronic cylinder lock credentials market. For example, over the last few years, companies such as SimonsVoss Technologies GmbH, ASSA ABLOY, and Salto Systems, S.L have significantly increased their footprint in the global electronic lock credentials market by entering into strategic partnerships with regional market players.
Long-term Outlook: PMR forecasts the global electronic cylinder locks credentials market revenue to increase at a 9.8% CAGR during forecast period 2016–2024, and reach US$ 740.4 Mn.