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Off-airport Check-in, Mobile, and Web Solutions to Present New Growth Opportunities
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The airport self-service market is poised to witness the advent of latest solutions that improve passenger experience and process efficiency of airports. This study covers the global market and provides a 6-year forecast from 2020 to 2025. The total self-service market was worth $981.7 million in 2019 and, considering the impact of Coronavirus 2019 (COVID-19), is expected to expand at a compound annual growth rate (CAGR) of 0.3% through 2025. This research covers self-service check-in systems, self-service bag drop systems, self-boarding, and self-service security and immigration systems which are widely adopted at airport passenger touch points. The self-service check-in segment has the highest market share, followed by bag drop, boarding, and security and immigration. Major growth will be observed in the North America, Europe and Asia-Pacific (APAC) regions during the forecast period.Major airports across the globe have reached their maximum capacity and are facing capacity constraints. Large numbers of congested airports are in the process of expansion or have long-term plans to expand their infrastructure. Major airports are also focusing on digital transformation, which will help them to improve their process efficiency. However, the COVID-19 pandemic has led to a liquidity crisis at airports, which in turn has halted expansion plans and forced airports to realign their digitalization journey. The pandemic has severely lessened passenger traffic at airports reducing congestion, but health regulatory guidelines such as social distancing and contactless travel will strain capacity even amidst such reduced traffic. This provides an opportunity for self-service solution providers to deliver new, tailor-made self-service solutions as per the requirements of airports. These solutions will not only help improve process efficiency but will also enhance passenger experience and ensure the maintenance of high standards of health and safety. Leading vendors in the airport self-service market are pivoting their focus on enabling a contactless experience by integrating new technologies like biometrics, near field communications (NFC), robotics, cyber security, and blockchain, and on delivering them within a short timeframe. The market leaders are also partnering with start-ups and developing a complete portfolio of self-service solutions. Additionally, new entrants are bringing innovations and utilizing new technologies to enable a seamless and touchless experience. In the coming years, the increase in usage of self-service solutions will automate passenger processes across multiple touch points, leading to an increase in collection of sensitive passenger data. All stakeholders (airports, airlines, and solution providers) involved need to ensure fair and transparent use of such critical data. Vendors need to develop their solutions with a security-first approach and ensure adherence to local and global data regulations.
Key Issues Addressed
Author: Waseem Ahmed Khan
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