Point of Sale Terminal Market Outlook, 2030

The Point of Sale (POS) terminal industry has experienced significant growth over the past decade, driven by advancements in digital payments, increasing adoption of e-commerce, and evolving consumer preferences. These terminals, once limited to traditional cash registers, have transformed into sophisticated, multifunctional systems that integrate payment processing, inventory management, and customer relationship tools. Businesses across various sectors, including retail, hospitality, and healthcare, are increasingly investing in modern POS solutions to enhance efficiency and improve customer experience. Several key factors contribute to the rapid expansion of the POS terminal market.

The global shift toward cashless transactions, fueled by the rising adoption of credit/debit cards, mobile wallets, and contactless payments, has significantly increased demand for these systems. Additionally, advancements in cloud computing and artificial intelligence (AI) have enabled businesses to leverage cloud-based POS solutions that offer real-time data analytics, remote access, and seamless software updates. Small and medium-sized enterprises (SMEs), which traditionally relied on manual transaction methods, are now integrating affordable and scalable POS solutions to streamline their operations.

Another major driver is the increasing popularity of omnichannel retailing, where businesses combine online and offline sales channels. Modern POS terminals facilitate seamless synchronization between e-commerce platforms and physical stores, ensuring a smooth shopping experience for customers. Furthermore, the COVID-19 pandemic accelerated digital payment adoption, prompting businesses to upgrade their payment infrastructure to meet new safety and convenience standards.

According to the research report "Global POS Terminal Market Outlook, 2030," the Global POS Terminal market was valued at more than USD 104.27 Billion in 2024, and expected to reach a market size of more than USD 171.83 Billion by 2030 with the CAGR of 8.87% from 2025-30. The POS terminal industry has witnessed remarkable technological advancements that have enhanced its functionality and security. Mobile POS (mPOS) systems, which allow businesses to process transactions through smartphones or tablets, have gained traction due to their portability and cost-effectiveness. These solutions are particularly beneficial for small businesses, food trucks, and pop-up stores that require flexibility in payment processing.

Contactless payments and Near Field Communication (NFC) technology have also transformed the industry, enabling faster and more secure transactions. Additionally, biometric authentication, such as fingerprint and facial recognition, is being integrated into POS terminals to enhance security and reduce fraud. AI-powered POS systems are now capable of analyzing consumer behavior, predicting inventory needs, and providing personalized recommendations to enhance customer engagement.The future of the POS terminal industry looks promising, with continuous innovation and expansion into new markets.

The adoption of Artificial Intelligence (AI) and Internet of Things (IoT)-enabled POS solutions is expected to enhance automation, optimize inventory management, and improve customer experiences. The integration of blockchain technology in payment processing could further enhance security and transparency. Emerging economies, particularly in Asia-Pacific and Africa, present lucrative opportunities for POS terminal providers due to the increasing penetration of digital payments and government initiatives promoting financial inclusion. As businesses continue to prioritize efficiency and customer-centric solutions, the demand for advanced POS terminals will likely remain strong in the coming years.

Market Drivers

• Integration of Artificial Intelligence (AI) and Data Analytics: The increasing use of AI and data analytics in POS systems is revolutionizing business operations. AI-powered POS terminals can analyze customer purchasing patterns, forecast inventory requirements, and automate promotions based on consumer behavior. Businesses leverage these insights to optimize sales strategies, personalize marketing efforts, and improve customer engagement, making AI a crucial driver in the industry.
• Rising Adoption of Subscription-Based and Cloud-Based POS Solutions: Traditional POS systems required significant upfront investment in hardware and software. However, the rise of cloud-based and Software-as-a-Service (SaaS) models has made POS solutions more accessible, especially for small and medium-sized enterprises (SMEs). Subscription-based POS models provide affordability, scalability, and remote accessibility, allowing businesses to operate efficiently with lower initial costs.

Market Challenges

• Interoperability and Integration Issues: Businesses often face challenges integrating POS systems with existing enterprise resource planning (ERP), customer relationship management (CRM), or e-commerce platforms. A lack of standardization across different software providers results in compatibility issues, requiring additional investment in customization or middleware solutions. This complexity can slow down implementation and increase operational costs.
• Regulatory and Compliance Burdens: The POS terminal industry must comply with various regulatory frameworks, such as the Payment Card Industry Data Security Standard (PCI DSS) and data privacy laws like GDPR (General Data Protection Regulation). Keeping up with evolving compliance requirements adds administrative and financial burdens to businesses, particularly those operating across multiple regions with different regulations.

Market Trends

• Biometric Authentication for Secure Payments: The incorporation of biometric authentication, such as fingerprint scanning and facial recognition, is gaining traction in POS systems. This enhances security by reducing reliance on PINs and passwords, minimizing fraud risks. Biometric POS systems are particularly beneficial in industries where secure and contactless transactions are crucial, such as retail and healthcare.
• Self-Service and AI-Powered Checkout Systems: With the increasing demand for faster and more convenient transactions, self-service kiosks and AI-driven checkout solutions are becoming popular. Retailers and quick-service restaurants (QSRs) are implementing smart POS systems with automated checkouts, eliminating the need for traditional cashier-based transactions. AI-powered cameras and RFID (Radio Frequency Identification) technology enable seamless, cashier-less shopping experiences, improving efficiency and reducing operational costs.

Fixed POS terminals dominate the POS terminal market primarily because they cater to businesses with high transaction volumes and stable operational environments, such as supermarkets, department stores, restaurants, and large retail chains.

Fixed POS terminals establishments require robust, high-performance systems that can efficiently handle thousands of transactions daily while offering integrated features like inventory management, customer relationship management (CRM), and advanced reporting. Unlike mobile POS (mPOS) solutions, which are ideal for small businesses or on-the-go services, fixed POS terminals provide better durability, enhanced security, and superior processing power. They also support multiple payment methods, including credit/debit cards, QR codes, and contactless payments, ensuring seamless checkout experiences.

Additionally, many businesses prefer fixed POS terminals due to their stronger data security measures, compliance with industry regulations, and ability to integrate with enterprise-wide systems, making them the preferred choice for large-scale operations. Their ability to support custom hardware configurations, such as barcode scanners, receipt printers, and customer-facing displays, further solidifies their dominance in the market, particularly among businesses that prioritize operational efficiency and seamless customer interactions.

Hardware remains the leading segment in the POS terminal market because physical devices are the foundation of any payment processing system, ensuring seamless and secure transactions in both retail and service industries.

Businesses rely on POS hardware, including fixed terminals, mobile POS (mPOS) devices, barcode scanners, receipt printers, and customer display screens, to provide a complete checkout experience. Unlike software solutions that can be cloud-based or integrated remotely, hardware components are indispensable for processing card payments, scanning product information, and printing receipts, making them a non-negotiable investment for brick-and-mortar stores, restaurants, and enterprises handling large customer volumes.

The demand for durable, high-performance POS hardware is further fueled by the increasing adoption of contactless and biometric payment methods, requiring updated terminals equipped with NFC (Near Field Communication) and fingerprint or facial recognition technology. Additionally, regulatory compliance and security concerns necessitate tamper-resistant hardware to protect sensitive payment data, reinforcing its dominance in the market. While software innovations enhance POS functionalities, businesses ultimately require physical devices to interact with customers, process payments, and streamline operations, ensuring that hardware remains the most crucial component in the POS terminal ecosystem.

EMV (Europay, MasterCard, Visa) POS terminals lead the POS terminal market because they offer superior security, fraud prevention, and global compliance with payment regulations, making them the preferred choice for businesses and financial institutions.

Unlike traditional magnetic stripe cards, which are vulnerable to skimming and cloning, EMV-enabled terminals use chip-based technology that generates a unique transaction code for each payment, significantly reducing the risk of counterfeit fraud. As governments and regulatory bodies worldwide enforce strict security standards, businesses are mandated or strongly encouraged to adopt EMV-compliant POS systems to protect customer data and avoid liability for fraudulent transactions. The growing adoption of contactless payments and mobile wallets, which rely on EMV technology, further drives demand for these terminals.

Additionally, with increasing cross-border transactions, EMV terminals ensure seamless interoperability across global payment networks, enabling businesses to accept payments securely from international customers. As consumers prioritize safe and hassle-free payment experiences, and merchants aim to mitigate fraud risks, EMV POS terminals continue to dominate the market, solidifying their role as the industry standard for secure and efficient payment processing.

Retail is leading the POS terminal market because the sector handles high transaction volumes and demands advanced systems for streamlining checkout processes, inventory management, and customer engagement.

Retail businesses, particularly large chains, supermarkets, and department stores, require robust POS systems to process thousands of transactions daily while ensuring smooth and efficient operations. POS terminals in retail environments are essential for managing diverse payment methods such as credit/debit cards, mobile wallets, and contactless payments, and for integrating with inventory management and customer loyalty programs. The need for fast and accurate transactions is paramount in retail, where long lines and slow checkout processes can directly affect customer satisfaction and sales performance.

Additionally, with the increasing trend of omnichannel retailing, retailers need POS systems that can seamlessly synchronize physical store data with e-commerce platforms, ensuring that inventory, pricing, and promotions are consistent across all channels. The complexity of retail operations, coupled with the growing importance of data analytics and customer insights, has made advanced POS systems a necessity, propelling the retail sector to dominate the POS terminal market.

Large enterprises lead the POS terminal market because they require scalable, secure, and integrated payment solutions to handle complex, high-volume transactions across multiple locations and channels.

Large enterprises businesses, often operating on a global scale, need POS systems that can handle large transaction volumes, comply with strict regulatory standards, and integrate seamlessly with other enterprise systems like inventory management, customer relationship management (CRM), and financial reporting. Advanced POS terminals in large enterprises not only process payments but also support functions such as real-time data analytics, loyalty programs, and inventory control, making them crucial for business operations.

The increasing need for security features like EMV chip technology and end-to-end encryption ensures that sensitive customer data is protected, which is particularly important in large enterprises handling vast amounts of financial transactions. Moreover, large organizations often have complex, multi-location setups that require POS systems capable of being centrally managed and updated, further solidifying their reliance on advanced and robust POS terminal solutions. The scale and complexity of their operations make these enterprises the primary drivers of innovation and adoption within the POS terminal market.

Asia-Pacific is leading the POS terminal market due to the rapid adoption of digital payments and strong economic growth across emerging markets, making the region a hub for POS terminal deployment.

As countries like China, India, and Southeast Asian nations experience significant economic development and urbanization, the demand for modern payment systems has surged. With a large, tech-savvy population and increasing smartphone penetration, there has been a shift towards cashless transactions and mobile payments, driving businesses to adopt advanced POS terminals that support various payment methods, including contactless, QR codes, and mobile wallets. The region’s governments are also encouraging digital financial inclusion through initiatives that promote cashless societies, such as incentivizing digital payments and providing infrastructure to rural areas.

Additionally, Asia-Pacific’s growing retail sector and the rise of e-commerce have further fueled the need for seamless, integrated POS systems to support both online and offline transactions. As the region embraces technological advancements like EMV, biometrics, and AI in payment processing, the Asia-Pacific market has become the largest and most dynamic in the POS terminal industry, with businesses keen on providing efficient, secure, and convenient payment solutions to meet the needs of a rapidly changing economy.

Recent Developments

• In June 2024, Newland NPT announced a strategic partnership with GCK (Global Communication Planning Co., Ltd) to enhance payment acceptance, streamline store operations, and bolster business management for Japanese merchants and customers. As part of this collaboration, Newland NPT will roll out its cutting-edge SmartPOS series, showcased at RetailTech Japan 2024, featuring models such as the N950, N750, P300, and X800.
• In April 2024, Shopify's Point of Sale (POS) system has taken strides in consolidating customer data, orders, and payments, catering comprehensively to brick-and-mortar merchants' needs for both online and in-person sales. With the rising significance of unified commerce, retailers are turning to Shopify Partners for guidance in leveraging Shopify POS for their in-store sales.
• In January 2024, Acumera, Inc., would demonstrate Acumera Reliant Platform in the National Retail Federation's (NRF) 2024 Annual Convention and Expo.The Acumera Reliant Platform is designed for retailers. Retailers can have continuous access to vital applications so they can stay competitive in the rapidly evolving retail market.
• In September 2023, POSaBIT Systems Corporation, point-of-sale system provider, launched POSaBIT POS 2.0. POSaBIT POS 2.0 is a scalable, agile, and user-friendly solutions that can adapt to changing market conditions.
• In June 2023, payabl., a FinTech company, launched, a new point of sale (POS) solution that enables businesses to take payments for both online and offline sales utilizing a single terminal, improving their omnichannel payment services for in-person purchases at retailers.

Considered in this report

• Historic Year: 2019
• Base year: 2024
• Estimated year: 2025
• Forecast year: 2030

Aspects covered in this report

• Point of Sales Terminal Market with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Type

• Fixed POS Terminals
• Mobile POS (mPOS) Terminals

By Component

• Hardware
• Software
• Services

By Application

• Retail
• Hospitality
• Healthcare
• Entertainment & Gaming
• Others

By End-User

• Large Enterprises
• Small & Medium Enterprises (SMEs)

The approach of the report:

This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, annual report of companies, analyzing the government generated reports and databases.

After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources.

Intended audience

This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to agriculture industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.

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