South America Smart Retail Devices Market Forecast to 2027 - COVID-19 Impact and Regional Analysis By Technology, and Application

The smart retail devices market in SAM is expected to grow from US$ 1,832.20 million in 2019 to US$ 2,669.20 million by 2027; it is estimated to grow at a CAGR of 5.3% from 2020 to 2027.

Various smart retail device manufacturers are developing systems to enhance the operational efficiencies of the devices. Saving costs related to the development and maintenance of smart retail devices is among the significant challenges faced by smart retail device manufacturers. Owing to stringent government regulations regarding device safety, manufacturers are developing products with advanced technologies, which enable them to offer enhanced protection and higher efficiency to the users. However, the development of this equipment requires huge investment and advanced infrastructure. Companies with higher spending capabilities can bear the cost of developing smart retail devices that provide users with enhanced services. However, cost-sensitive and small- and medium-scale smart retail device providers are refraining themselves from investing in the development of such advanced systems. Further, data security and privacy might hamper the growth of the market. As the data is stored on common servers, it can be hacked, thereby causing a concern related to data privacy. Therefore, companies must invest in advanced technologies to keep the customer’s data secured, which in turn, adds to the overall maintenance and system cost. Additionally, the increasing adoption of smart transportation is among the other factors expected to fuel the demand for smart retail devices in SAM.

Based on technology, the others segment is expected to be the fastest growing segment during the forecast period for the SAM smart retail devices market. The others segment includes beacons, service robots, smart mirrors, and grab-and-go autonomous stores. Competition in the retail sector is increasing with the introduction of new supporting technologies such as the internet of Things (IoT), autonomous information, and cloud analytics. These technologies support the invention of new devices for more enhanced connectivity and communications. For instance, Softbank Robotics developed a new robot named Pepper for the retail industry, which communicates with customers to provide required information.

In the SAM, Brazil has the highest number of confirmed cases of COVID-19, followed by other countries such as Ecuador, Peru, Chile, and Argentina. The governments of various countries in SAM are taking several initiatives to protect people and control COVID-19's spread in the region through lockdowns, trade bans, and travel restrictions. These measures are expected to affect the region's economic growth as the region will directly face lower export revenues, both from the drop in commodity prices and reduction in export volumes, especially to major trading partners such as China, Europe, and North America. The sharp decline in the manufacturing and retail industries in the region due to lockdown measures, is expected to directly impact the growth of the smart retail devices market in this region. In addition to this, the retail distribution channels will also face a negative impact due to supply chain disruptions and the non-availability of raw materials. The sharp decline in business activities and product sales are expected to directly affect the smart retail devices market's growth rate in this region for the next three to four quarters.

The overall SAM smart retail devices market size has been derived using both primary and secondary sources. To begin the research process, exhaustive secondary research has been conducted using internal and external sources to obtain qualitative and quantitative information related to the market. The process also serves the purpose of obtaining an overview and forecast for the SAM smart retail devices market with respect to all the segments pertaining to the region. Also, multiple primary interviews have been conducted with industry participants and commentators to validate the data, as well as to gain more analytical insights into the topic. The participants who typically take part in such a process include industry experts, such as VPs, business development managers, market intelligence managers, and national sales managers along with external consultants, such as valuation experts, research analysts, and key opinion leaders specializing in the SAM smart retail devices market. Diebold Nixdorf, Incorporated; Intel Corporation; LG Electronics; Nvidia Corporation; Panasonic Corporation; PAX Global Technology Limited; Samsung Group; SoftBank Robotics; and Zebra Technologies Corporation are among the key players operating in the SAM smart retail devices market.