The Radio Frequency Identification (RFID) market is expected to see significant growth in the coming years as demand for effective supply chain management is increasing.
According to the FMI’s report “RFID market: Global Industry Analysis 2013 – 2017 and Opportunity Assessment 2018 – 2028.”By the end of 2017, the global RFID market has an annual revenue of $1,291.00 and is expected to grow steadily in the coming years. It is expected that in the global RFID market, the leading regions – the United States, North America, SEA and other APAC and Western European companies will share a majority share. These regions may dominate the global market during the forecast period.
More than a decade ago, only large enterprises used RFID technology. As technology advances and economic costs increase, the technology has been adopted by SMEs. RFID technology is widely used in companies at all levels to streamline operations and increase visibility into their supply chain and logistics operations. The use of RFID technology in automated item identification systems is becoming increasingly important in the retail industry.
The growing global demand for RFID tags is driven by strong opportunities in the healthcare industry. In this field, the increasing focus on RFID technology, the tracking and classification of medical devices has driven the global demand for RFID tags. This technology has great potential to improve supply chain efficiency and ensure patient safety while reducing human error in the medical process. Healthcare management and monitoring of critical care devices represent other interesting areas of RFID market applications.
The automotive and aerospace industries are using RFID technology, especially for tracking the visibility of vehicles, spare parts inventory management and logistics operations. Moreover, supplier management has become smoother as RFID technology provides detailed performance metrics. Due to the huge automotive tire market in the United States, the North American RFID market is expected to dominate the global RFID market. The Chinese market has enormous potential due to technological advances in the medical, retail and consumer goods markets.
According to FMI analysis, long-term contracts with business partners are expected to help increase revenue, and new innovation strategies may enable RFID suppliers to enter new growth markets. The RFID market is expected to grow at a price of 14.5% by the end of 2028.