Internet of Things (IoT) describes the network of physical objects that are embedded with sensors, software, and other technologies for the purpose of connecting and exchanging data with other devices and systems over the internet. These devices range from ordinary household objects to sophisticated industrial tools. Over the past few years, IoT has become one of the most important technologies across the globe. IoT devices share the data that is collected by IoT sensors or other edge devices where data is sent to cloud server to be analyzed. These devices further communicate with other related devices and act on the information they get from one another. These devices do most of their work without human intervention, although people can interact with these devices.
Use of IoT in the retail industry is closely related to GPS and RFID technologies that help brands track products throughout the entire supply chain process. It gives retailers visibility they need to track product movement, conditions, and track location, as well as predict an exact delivery time.
Factors such as effective store space monitoring, inventory management, supply chain management, and customer behavior monitoring drive demand for internet of things (IoT) in the retail market. Moreover, optimizing and automating the supply chain is one of the main factors for IoT adoption among retailers. Connectivity technologies, including digital signage, top-of-the-shelf displays, beacons, and price displays, provide opportunities for a brand to access large volumes of data on customer activity during in-store shopping.
However, data security & privacy concerns and high implementation & maintenance cost of IoT devices restrain growth of the market globally. On the contrary, reduction in cost of connected devices and IoT traction among SMEs is expected to create lucrative opportunities for expansion of the IoT in retail market globally.
The IoT in retail market is segmented on the basis of offering, organization size, deployment, application, and region. On the basis of offering, the market is segmented into solutions and services. Depending on solutions, the market is segmented into hardware and platforms. Depending on platforms, the market is segmented into device management, application management, and connectivity management.
According to organization size, it is fragmented into large enterprises and SMEs. On the basis of deployment, the market is segmented into cloud and on-premise. Depending on application, the market is segregated into supply chain operations management, customer management, sales & customer management, asset management, and others. Region wise, it is analyzed across North America, Europe, Asia-Pacific, and LAMEA.
The IoT in retail market is dominated by key players such as Cisco System, Inc., International Business Machine Corporation, Intel Corporation, Microsoft Corporation, PTC, Huawei technologies Co. Ltd., Sierra Wireless, Amazon Web Service (AWS), SAP SE, Software AG, Bosch.IO GmbH, Google LLC., NEC Corporation, Oracle Corporation, AT&T Intellectual Property, Vodafone Idea limited, and Happiest Minds.
Use of IoT in the retail industry is closely related to GPS and RFID technologies that help brands track products throughout the entire supply chain process. It gives retailers visibility they need to track product movement, conditions, and track location, as well as predict an exact delivery time.
Factors such as effective store space monitoring, inventory management, supply chain management, and customer behavior monitoring drive demand for internet of things (IoT) in the retail market. Moreover, optimizing and automating the supply chain is one of the main factors for IoT adoption among retailers. Connectivity technologies, including digital signage, top-of-the-shelf displays, beacons, and price displays, provide opportunities for a brand to access large volumes of data on customer activity during in-store shopping.
However, data security & privacy concerns and high implementation & maintenance cost of IoT devices restrain growth of the market globally. On the contrary, reduction in cost of connected devices and IoT traction among SMEs is expected to create lucrative opportunities for expansion of the IoT in retail market globally.
The IoT in retail market is segmented on the basis of offering, organization size, deployment, application, and region. On the basis of offering, the market is segmented into solutions and services. Depending on solutions, the market is segmented into hardware and platforms. Depending on platforms, the market is segmented into device management, application management, and connectivity management.
According to organization size, it is fragmented into large enterprises and SMEs. On the basis of deployment, the market is segmented into cloud and on-premise. Depending on application, the market is segregated into supply chain operations management, customer management, sales & customer management, asset management, and others. Region wise, it is analyzed across North America, Europe, Asia-Pacific, and LAMEA.
The IoT in retail market is dominated by key players such as Cisco System, Inc., International Business Machine Corporation, Intel Corporation, Microsoft Corporation, PTC, Huawei technologies Co. Ltd., Sierra Wireless, Amazon Web Service (AWS), SAP SE, Software AG, Bosch.IO GmbH, Google LLC., NEC Corporation, Oracle Corporation, AT&T Intellectual Property, Vodafone Idea limited, and Happiest Minds.
KEY BENEFITS FOR STAKEHOLDERS
- This report provides a quantitative analysis of the market segments, current trends, estimations, and dynamics of the iot in retail market analysis from 2021 to 2031 to identify the prevailing iot in retail market opportunities.
- The market research is offered along with information related to key drivers, restraints, and opportunities.
- Porter's five forces analysis highlights the potency of buyers and suppliers to enable stakeholders make profit-oriented business decisions and strengthen their supplier-buyer network.
- In-depth analysis of the iot in retail market segmentation assists to determine the prevailing market opportunities.
- Major countries in each region are mapped according to their revenue contribution to the global market.
- Market player positioning facilitates benchmarking and provides a clear understanding of the present position of the market players.
- The report includes the analysis of the regional as well as global iot in retail market trends, key players, market segments, application areas, and market growth strategies.
Key Market Segments
By Offering
- Solution
- Service
By Application
- Supply Chain Operations Management
- Customer Management
- Sales and Customer Management
- Asset Management
- Others
By Deployment Mode
- On-premise
- Cloud
By Enterprise Size
- Large Enterprise
- SMEs
By Region
- North America
- U.S.
- Canada
- Europe
- United Kingdom
- Germany
- France
- Italy
- Spain
- Netherlands
- Rest of Europe
- Asia-Pacific
- China
- Japan
- India
- South Korea
- Australia
- Rest Of Asia Pacific
- LAMEA
- Latin America
- Middle East
- Africa
Key Market Players
- PTC
- Huawei technologies Co. Ltd.
- Amazon Web Service (AWS)
- SAP SE
- Software AG
- Bosch.IO GmbH
- Google LLC
- NEC Corporation
- Oracle Corporation
- AT&T Intellectual Property
- Vodafone Idea Limited
- Cisco System, Inc.
- International Business Machine Corporation
- Intel Corporation
- Microsoft Corporation
- Happiest Minds
Table of Contents
CHAPTER 1: INTRODUCTION
CHAPTER 2: EXECUTIVE SUMMARY
CHAPTER 3: MARKET OVERVIEW
CHAPTER 4: IOT IN RETAIL MARKET, BY OFFERING
CHAPTER 5: IOT IN RETAIL MARKET, BY APPLICATION
CHAPTER 6: IOT IN RETAIL MARKET, BY DEPLOYMENT MODE
CHAPTER 7: IOT IN RETAIL MARKET, BY ENTERPRISE SIZE
CHAPTER 8: IOT IN RETAIL MARKET, BY REGION
CHAPTER 9: COMPANY LANDSCAPE
CHAPTER 10: COMPANY PROFILES
List of Tables
List of Figures
Executive Summary
According to the report, titled, “IoT in Retail Market," the iot in retail market was valued at $28.14 billion in 2021, and is estimated to reach $177.90 billion by 2031, growing at a CAGR of 20.3% from 2022 to 2031.The IoT in retail consists of web-connected smart devices that obtain, analyze, and process data collected from their surroundings using embedded systems includes sensors, processors, and communication hardware. Retail businesses are gradually shifting toward IoT to enhance organizational performance and better understand consumers to provide better customer services, enhance decision-making, and boost value of their businesses.
Factors such as effective store space monitoring, inventory management, supply chain management and customer behavior monitoring drive demand for the internet of things in retail industry. Moreover, optimizing and automating supply chain is one of the main factors for IoT adoption among retailers. Connectivity technologies, including digital signage, top-of-the-shelf displays, beacons, and price displays provide opportunities for a brand to access large volumes of data on customer activity during in-store shopping. However, data security & privacy concerns and high implementation & maintenance cost of IoT devices restrain growth of the market globally.
By offering, the solutions segment dominated growth of the Internet of Things in retail market in 2021, and is expected to maintain its dominance in the upcoming years. The proliferation of smartphones and the use of mobile applications are driving the growth of the retail solutions segment. Emerging application-oriented hardware and retailers' focus on providing integrated solutions is expected to positively impact segment growth.
However, the services segment is expected to witness highest growth rate during the forecast period. Increase has been witnessed in adoption of IoT services among end users as they ensure effective functioning of solutions and platforms throughout the business process. Moreover, increase in adoption of data analytics software and cloud platforms is expected to boost demand for IoT services in the retail sector.
By organization size, the large enterprises segment dominated the global Internet of Things in retail market in 2021, and is expected to continue this trend during the forecast period, owing to increase in adoption of IoT software to integrate this into their existing inventories. Conversely, the small- & medium-sized enterprises segment is expected to grow at the highest CAGR during the forecast period, owing to surge in adoption of cloud-based IoT software as it provides cost-effective and efficient solutions for SMEs.
North America dominates the IoT in retail industry. Growth of the market in this region is attributed to several factors such as increase in digitalization and adoption of IoT solutions by the retail sector. Moreover, presence of key players is providing ample growth opportunities for market growth. However, Asia-Pacific is expected to witness highest growth rate during the forecast period.
COVID-19 has disrupted normal life and has enforced a substantial change in the policies, priorities, and activities of individuals, organizations, and governments. These changes are proving to be a catalyst for technology and innovation. IoT platforms revenue will reach $66 billion in 2020, a 20% increase over last year’s figure. Increase in revenue will indicate that use of IoT has overcome the negative impact on supply chain due to COVID-19 lockdown.
Moreover, during the COVID due to WFH policies the demand for cloud-based solutions and the SaaS-based model increased significantly. This has positively impacted the market growth. Incidentally, during the pandemic, IoT in retail and automation helped eliminate the dependency on staff availability, thus supporting both remote working and ensuring business resilience.
Moreover, during the COVID-19 period, the demand for cloud-based solutions increased significantly due to WFH policies. This positively impacted the market growth. Incidentally, during the pandemic, IoT in retail and automation helped eliminate the dependency on staff availability, thus, supporting both remote working and ensuring business resilience.
Key Findings of the Study
- By Offering, in 2021 the solution segment dominated the IoT in retail market size.
- Depending on deployment, the on-premise generated the highest revenue in 2021 of IoT in retail market share. However, cloud segment is expected to exhibit significant growth during the forecast period.
- Region wise, the IoT in retail market forecast was dominated by North America region. However, Asia-Pacific is expected to witness significant growth in the upcoming years.
- Some of the key IoT in retail industry players profiled in the report include are Cisco System, Inc., International Business Machine Corporation, Intel Corporation, Microsoft Corporation, PTC, Huawei technologies Co. Ltd., Sierra Wireless, Amazon Web Service (AWS), SAP SE, Software AG, Bosch.IO GmbH, Google LLC., NEC Corporation, Oracle Corporation, AT&T Intellectual Property, Vodafone Idea limited, and Happiest Minds. This study includes market trends, IoT in retail market analysis, and future estimations to determine the imminent investment pockets.
Companies Mentioned
- Ptc
- Huawei Technologies Co. Ltd.
- Amazon Web Service (Aws)
- Sap Se
- Software AG
- Bosch.Io GmbH
- Google LLC
- Nec Corporation
- Oracle Corporation
- At&T Intellectual Property
- Vodafone Idea Limited
- Cisco System, Inc.
- International Business Machine Corporation
- Intel Corporation
- Microsoft Corporation
- Happiest Minds
Methodology
The analyst offers exhaustive research and analysis based on a wide variety of factual inputs, which largely include interviews with industry participants, reliable statistics, and regional intelligence. The in-house industry experts play an instrumental role in designing analytic tools and models, tailored to the requirements of a particular industry segment. The primary research efforts include reaching out participants through mail, tele-conversations, referrals, professional networks, and face-to-face interactions.
They are also in professional corporate relations with various companies that allow them greater flexibility for reaching out to industry participants and commentators for interviews and discussions.
They also refer to a broad array of industry sources for their secondary research, which typically include; however, not limited to:
- Company SEC filings, annual reports, company websites, broker & financial reports, and investor presentations for competitive scenario and shape of the industry
- Scientific and technical writings for product information and related preemptions
- Regional government and statistical databases for macro analysis
- Authentic news articles and other related releases for market evaluation
- Internal and external proprietary databases, key market indicators, and relevant press releases for market estimates and forecast
Furthermore, the accuracy of the data will be analyzed and validated by conducting additional primaries with various industry experts and KOLs. They also provide robust post-sales support to clients.
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