The global ATM market size reached USD 22.80 billion in 2022 and is expected to grow at a compound annual growth rate (CAGR) of 4.0% from 2023 to 2030. Automated teller machines (ATMs) offer a reliable easy interface for cash withdrawal and features such as ease of fund transfer, withdrawal, deposit, and 24x7 availability of cash. With advancements in technology, customers seek secure, faster, more convenient, and reliable means of accessing cash, favoring the widespread adoption of ATMs globally. Furthermore, improved security measures, including biometric and one-time password authentication systems to prevent fraud, and the advent of Smart ATMs for users with special needs contribute to market growth. The increase in demand for automation in the banking sector in several developed and emerging countries is also expected to fuel the demand for ATMs.
The COVID-19 pandemic had significantly disrupted ATM manufacturing operations and supply chains, impacting the overall ATM market. While the stringent restrictions on movement and varying degrees of lockdowns across several countries affected business activities, many people shifted toward digital platforms for banking transactions. However, the demand for ATMs is expected to rise after the pandemic is over owing to the high demand in rural areas of developing countries such as China and India.
The integration of improved security mechanisms such as fingerprint, biometrics, and double authentication adds an additional security layer to technologically advanced ATMs, which is expected to help prevent fraud and drive the adoption of ATMs.
The easy flow of cash, rising number of transactional benefits, easy withdrawal, quick and prompt service, and the viability of offline shopping have powered the usage of ATMs across the world, which positively reflects on the promising growth prospects of the global market. Growing urbanization, in both developed and emerging economies, is the primary factor driving the growth of the market. Furthermore, the 24X7 availability of cash, along with the provision of fund transfer and bill payment features are driving the demand for ATMs globally. An increase in installation base and maintenance activities has impacted revenue generation significantly.
Technological advancements such as digital convergence, integration of IoT data analysis, and biometrics & cybersecurity are expected to fuel the market growth. Technological advancement has also allowed for the introduction of contactless ATM kiosks, which have been marketed as a safer and risk-free way of withdrawing cash amid the COVID-19 pandemic. Contactless ATM kiosks allow users to withdraw cash from the ATM by scanning a QR code on the screen without touching the interface. The number of ATMs that offer contactless cash withdrawals has been on the rise globally.
North America dominated the market and accounted for the largest revenue share of 31.4% in 2022.The growth is attributed to a number of factors, including the high demand for cash, the growth of e-commerce, the increased use of mobile banking, and the upgrade of existing ATMs. The region is expected to continue to grow in the coming years, as these factors continue to drive demand for ATMs.
The Asia Pacific regional automated teller machine market is expected to register the fastest CAGR of 5.1% during the forecast period. The growth of the regional market is attributed to the rising deployment of ATMs, predominantly in developing countries like China and India. Lack of awareness about digital payment solutions in most economies in the region also strengthens the role of ATMs for cash-based and other financial transactions in this region. Of the over three million ATMs installed globally, the maximum is installed in the Asia Pacific. Furthermore, the need to serve the large unbanked population across countries such as China, India, and Japan, as well as emerging markets across Vietnam and Indonesia is expected to fuel the demand for ATMs in the region.
The market has high growth potential in Europe due to major technological advancements in the banking industry. The Middle East and Africa market also showcase healthy growth opportunities over the forecast period, which is chiefly attributed to the growing demand for interactive machines and managed services in the financial sector. Furthermore, MEA is also speculated to witness high growth due to the cash-based economy along with high consumer demand and government support for electronic banking.
Based on solution, the automated teller machine (ATM) market is segmented into deployment and managed service. ATM deployment solutions dominate the overall market, accounting for over 53.9% of the overall industry in 2022 and it is expected to grow at the fastest CAGR of 4.3% over the forecast period. The deployment of an ATM consists of installing, setting up, testing, running, and implementing an ATM. The segment is further bifurcated into onsite, offsite, worksite, and mobile ATMs.
Onsite ATMs are located in or beside the bank, where both the physical branch and the ATM can be used. These ATMs reduce the work pressure of bank employees, avoiding long queues in bank premises for withdrawals, cash deposits, and transfers. These ATMs also reduce the probability of errors with withdrawals and deposits and allow banks to have smooth financial transactions. These factors are estimated to increase the demand for onsite ATMs in the near future.
The mobile ATM segment is anticipated to witness a substantial CAGR of 4.2% from 2023 to 2030. A mobile ATM is a movable ATM system that is strategically placed to reduce traffic in high-volume locations such as trade fairs, social gatherings, and sports events. Mobile ATMs provide flexibility and enhance branding & promotion for banking institutions.
Managed services allow financial institutions to move their non-core activities to a specialized and trained service provider and concentrate on their core financial businesses. Various industry participants such as NCR Corporation and Diebold Nixdorf provide managed services at low costs. Managed services contribute significantly toward strengthening the infrastructure of financial institutions for multichannel delivery and better customer retention, acquisition, and cross-selling opportunities. Outsourcing managed services to a service provider offers benefits such as reduced operational and infrastructure investment costs, improved operational profits, compliance with new regulatory policies, and simplified network operations and services.
Companies offer ATMs with various deposit, withdrawal, and recycling options. These vendors also provide system reconstruction, repair & maintenance, and upgrading services to financial organizations, retailers, and independent deployers.
Key players are adopting strategies such as mergers and acquisitions, product portfolio expansion, contracts, and geographical expansion to increase their market penetration and strengthen their position in the industry. For instance, In October 2020, NCR Corporation announced the launch of the NCR Activate Enterprise NextGen, NCR’s next-generation ATM software platform that enables banks to deploy customer experiences such as contactless technology and video teller collaboration in a simple manner.
Companies are entering into collaborations with banks to expand their presence in untapped markets. For instance, in 2020, Diebold Nixdorf signed a contract to provide 1,800 ATMs to the largest bank in Saudi Arabia and 500 ATMs to a new customer in Egypt. The companies are also paying attention to fortifying their machines against any possible threat of fraud or break-ins. The industry is expected to grow significantly in emerging economies with high adoption of machines within the retail banking sector.
In June 2023, NCR Corporation, a provider of corporate technology, partnered with Members ATM Alliance (MAA) to deliver ATM as a service (ATMaaS) to credit unions. MAA is a Credit Union Service Organization (CUSO) that provides support to credit unions in the management and processing of ATMs. By adopting NCR ATM as a Service, MAA will have the capability to simplify its managed services portfolio, encompassing operations, deployment, transaction processing, cash management, and software management.
In February 2023, NCR Corporation, a provider of corporate technology renewed and expanded its long-term partnership with Walgreens, a leading global drugstore operator. NCR continues to supply ATM services in nearly all Walgreens shops in the U.S., Puerto Rico, and the District of Columbia under the new deal.
In January 2023, Hitachi Terminal Solutions India expanded its manufacturing capacity for cash recycling machines (CRMs) in Bengaluru. It allows Hitachi to triple its production capacity which is currently 1,000 CRMs. CRMs are similar to ATMs, but they also allow users to deposit cash. This makes them a more convenient option for people who need to deposit cash, but do not have a bank account.
In November 2022, Diebold Nixdorf, a manufacturer of ATMs expanded its presence in India by opening a new plant in Bengaluru. The plant plans to manufacture the company's DN Series cash dispensing and cash recycling machines.
In June 2020,Hyosung ATMs announced to use Fujitsu's PalmSecure biometric authentication technology to provide a frictionless and secure method of identifying consumers. PalmSecure detects and analyzes the unique vein patterns buried beneath the skin of the user's palm. A user just places their palm two inches above the ATM sensor to authenticate. The sensor records the palm vein pattern and encrypts the data using near-infrared light.
Market size value in 2023
USD 23.96 billion
Revenue forecast in 2030
USD 31.64 billion
CAGR of 4.0% from 2023 to 2030
Base year for estimation
2018 - 2021
2023 - 2030
Revenue in USD million and CAGR from 2023 to 2030
Revenue forecast, company ranking, competitive landscape, growth factors, and trends
North America; Europe; Asia Pacific; Latin America; Middle East & Africa
U.S., Canada, U.K., Germany, France, China, Japan, India, Australia, South Korea, Brazil, Mexico, Saudi Arabia, South Africa, UAE
Key Companies Profiled
Diebold Nixdorf, Incorporated.; Fujitsu; G4S Limited.; GRGBanking.; Hitachi Channel Solutions, Corp.; NCR Corporation.; OKI Electric Industry Co., Ltd.; Guangzhou KingTeller Technology Co. Ltd.
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This report forecasts revenue growth at global, regional, and country levels and analyzes the latest industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global ATM market report based on solution and region:
Solution Outlook (Revenue, USD Million, 2018 - 2030)
Regional Outlook (Revenue in USD Million, 2018 - 2030)
Middle East and Africa
b. The global ATM market size was estimated at USD 22.8 billion in 2022 and is expected to reach USD 24.0 billion in 2023.
b. The global ATM market is expected to grow at a compound annual growth rate of 4.0% from 2023 to 2030 to reach USD 31.6 billion by 2030.
b. North America dominated the ATM market with a share of 31.4% in 2022. The growth is attributed to a number of factors, including the high demand for cash, the growth of e–commerce, the increased use of mobile banking, and the upgrade of existing ATMs.
b. Some key players operating in the ATM market include Diebold Nixdorf, Incorporated.; Fujitsu; G4S Limited.; GRGBanking.; Hitachi Channel Solutions, Corp.; NCR Corporation.; OKI Electric Industry Co., Ltd.; and Guangzhou KingTeller Technology Co., Ltd. among others
b. Key factors that are driving the improved security measures, including biometric and one–time password authentication systems to prevent fraud, and the advent of Smart ATMs for users with special needs, contribute to market growth.
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