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Fare Management System Market Segmented By type of payment system that is Account based system, Non account system also by technology such as Wi-Fi, Near Field Communication, Smart Card and by its applications such as Fare management, Capacity management, Route planning, Subsidiary management.
A Fare Management System is the collection of tools or components that automate the ticketing system of a transportation network. It is an automated version of the traditional or manual fare collection system. It comprises of ticket vending machines, automatic gate machines, ticket checking machines and recharging terminals.
Fare Management System originated with paper tickets and tokens distributed by staff or dispensed from self-service vending machines. But these have been replaced by magnetic stripe cards. Contactless smart cards from bank networks have been seen more frequently nowadays.
This system minimizes waiting time in queues, searching for cash to buy tickets and thereby saves extensive amount of time. Moreover, it enables efficiency in fare collection and also improves the overall transaction rate.
Fare collection technology platforms such as Smart cards and Near Field Communication (NFC) ensures full interoperability and independence of service providers. So the customers have multiple payment options to choose from and as a result there is an increase in customer satisfaction.
The transit agencies are getting additional benefits for supporting different payment media and fare policies as a result of the growing adoption of open bank card payments for transit fare. Growing smartphones industry is likely to boost the global Fare Management System market size.
Factors such as enhanced efficiency, reduction in frauds, flexible fare plans and enhanced security systems are also expected to drive the growth of the Fare Management System market. Moreover, the costs for planning or implementation of changes or updates of such system is very less as it is done through simply structured system configuration, hence this is also one of the factors impacting the growth of the market.
However high installation and maintenance costs of the Fare Management Systems can hinder the growth of the market. The paper ticketing system still exists in some regions, which is also a factor restraining the growth of the market.
The global Fare Management System market can be segmented on the basis of type of payment system, technology, application, end-users and region.
In March 2018, Rhaetian Railway has started installing new ticket vending machines from the service provider Scheidt & Bachmann at its stations. The previous units were put into operation 10 years ago.
The new ticket vending machines are characterized by a wide range of functions and a comprehensive assortment as well as reliability and a long service life. Moreover these vending machines have easier payment options, wider offer range and they also support the SwissPass.
The key vendors in Fare Management System market are Ingenico Group, Accenture, Siemens AG, Infineon Technologies, ATLAS, AzRy, TransData.sk, Indra, National Mobile Payment Plc., TiXi, MJM Innovations, MC Payment, Electronic Funds Source LLC, Cubic and AEP.
Geographically, the global Fare Management System market can be segmented into North America, Western Europe, Latin America, Eastern Europe, Asia Pacific excluding Japan (APEJ), Middle East & Africa (MEA), and Japan.
Asia Pacific region is expected to be the fastest growing region in the global Fare Management System market as the government of some countries from APAC region are focusing on enriching the transport infrastructure and security system.
North America contributes a significant share in the global Fare Management System market as in developed economies, such as the U.S. and Canada, there is a high focus on innovations obtained from Research and Development.
Likewise Europe is expected to be the large revenue generating region in global Fare Management System market over the forecast period as the countries in this region already have a good and developed transport infrastructure.
The report is a compilation of first-hand information, qualitative and quantitative assessment by industry analysts, inputs from industry experts and industry participants across the value chain.
The report provides in-depth analysis of parent market trends, macro-economic indicators and governing factors along with market attractiveness as per segments. The report also maps the qualitative impact of various market factors on market segments and geographies.