Biometric Cards Market Report 2024

The biometric card market size has grown rapidly in recent years. It will grow from $11.09 billion in 2023 to $13.03 billion in 2024 at a compound annual growth rate (CAGR) of 17.5%. The increase observed during the historic period can be attributed to growing security needs, heightened fraud concerns, regulatory compliance, increased consumer convenience, and a rising number of smartphone users.

The biometric card market size is expected to see rapid growth in the next few years. It will grow to $24.94 billion in 2028 at a compound annual growth rate (CAGR) of 17.6%. The anticipated growth during the forecast period can be attributed to escalating cybersecurity threats, the expansion of contactless payment systems, a rising demand for multifactor authentication, increasing need for secure and reliable identification solutions, and growing demand for high-security applications. Key trends during this period include the integration of contactless payment technology, the development of efficient biometric enrollment solutions, exploration of blockchain technology, advancements in biometric sensors and algorithms, and integration with mobile devices.

The expansion of contactless payment systems is expected to drive the growth of the biometric card market in the future. Contactless payment systems provide a secure method for customers to make purchases with debit, credit, or smart cards using radio frequency identification (RFID) technology or near-field communication (NFC). The widespread adoption of smartphones and the popularity of digital wallets have greatly enhanced the use of contactless payments. Biometric cards are particularly advantageous in retail settings, where reducing transaction times can boost operational efficiency and customer satisfaction. These cards enhance security through fingerprint authentication, minimize fraud, and attract both customers and businesses while maintaining the convenience of contactless payments. For example, in January 2024, the European Central Bank reported that contactless card payments in the first half of 2023 increased by 24.3% from 20.9 billion in the same period of 2022, with the total value rising by 25.9% to €0.5 trillion ($545.27 billion). This trend underscores the role of growing contactless payment systems in driving the biometric card market.

Key players in the biometric card market are concentrating on developing advanced solutions, such as fingerprint biometric security, to enhance the payment experience and increase consumer satisfaction. Fingerprint biometric security involves identifying and verifying individuals based on their unique fingerprint patterns, offering high security and convenience. For instance, in June 2022, Rocker, a fintech company based in Sweden, introduced the Rocker Touch, the first biometric payment card technology. This card uses IDEMIA's F.CODE technology, which combines chip technology with a fingerprint biometric sensor to verify the cardholder's identity. This innovation allows users to authorize payments by placing their finger on the card, eliminating the need to enter a PIN. The biometric data is securely stored on the card's chip and never leaves the card, ensuring privacy and security.

In May 2024, ERMES Srl., an Italy-based company specializing in identification and security solutions, partnered with Zwipe. This partnership will see Ermes Srl offer Zwipe Access cards in Italy and has placed an initial order for demo kits to showcase the solution to potential end users. The collaboration aims to expand Zwipe's presence in the Italian security market by leveraging Ermes Srl's local expertise and support. Zwipe, a biometric technology company based in Norway, specializes in card-based fingerprint access control solutions.

Major companies operating in the biometric cards market are Samsung Semiconductor, Visa Inc., Mastercard, Thales Group, STMicroelectronics NV, IDEMIA Group, JCB Co. Ltd., KONA I Co. Ltd., FEITIAN Technologies Co. Ltd., Fingerprint Cards AB, Matica Technologies Group SA, Seshaasai Business Forms Private Limited, Precise Biometrics, Zwipe, NEXT Biometrics, Versasec AB, Ethernom, CardLogix Corporation, SmartMetric Inc., IDEX Biometrics.

North America was the largest region in the biometric card market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the biometric cards market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

The countries covered in the biometric cards market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Biometric cards are sophisticated smart cards that use biometric technology to verify the cardholder's identity by analyzing unique physiological features, such as fingerprints or iris scans. These cards provide enhanced security, reducing the risk of fraudulent transactions or identity theft.

Biometric cards come in two main types contact biometric cards and contactless biometric cards. Contact biometric cards, also known as smart cards, are advanced security devices that integrate biometric authentication to enhance security and convenience across various applications. They are used for a range of purposes, including payments, access control, government identification documents (IDs), and financial inclusion. These cards serve multiple end-user sectors, such as banking, financial services, and insurance (BFSI), retail, government, healthcare, commercial entities, and more.

The biometric cards market research report is one of a series of new reports that provides biometric cards market statistics, including biometric cards industry global market size, regional shares, competitors with a biometric cards market share, detailed biometric cards market segments, market trends, and opportunities, and any further data you may need to thrive in the biometric cards industry. This biometric card market research report delivers a complete perspective on everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The biometric cards market consists of revenues earned by entities by providing services such as biometric authentication, identity verification, privacy protection, and security management. The market value includes the value of related goods sold by the service provider or included within the service offering. The biometric card market also includes sales of biometric sensors, microprocessors, communication interfaces, and battery or power management units. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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