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2020 Kiosk Market Census Report: Record growth continues

The kiosk industry posted its third consecutive year of double-digit growth in 2019, according to the newly-released 2020 Kiosk Market Census Report. Kiosk sales jumped 17.9% in 2019, closely matching the growth rates of the previous two years, boosted by rising consumer acceptance of self-service technology.

February 24, 2020 by Elliot Maras — Editor, Kiosk Marketplace & Vending Times

The year 2020 is starting on an auspicious note, with the kiosk industry posting its third consecutive year of double-digit growth in 2019, according to the newly-released 2020 Kiosk Market Census Report. Kiosk sales jumped 17.9% in 2019, closely matching the growth rates of the previous two years, boosted by rising consumer acceptance of self-service technology.

The 2020 Kiosk Marketplace Census provides statistics on the self-service kiosk industry's size, operating metrics and outlook.

The sales of interactive kiosks — not counting ATMs and refreshment and amusement vending machines — totaled an estimated $11.9 billion in 2019. The estimate is based on research provided by BCC Research in combination with input from Kiosk Marketplace readers.

The growth in 2019 was driven primarily by the same factors as the prior two years — rising mobile commerce and improved Internet of Things technology — as well as historically low unemployment, a factor cited in last year's report.

Most of the statistics in the 63-page report are based on online questionnaires filled out by Kiosk Marketplace readers in November and December of 2019. The report's 50 charts, and much of the commentary, are based on more than 150 questionnaires and phone interviews with more than 30 survey participants.

Readers were asked to provide information on number of installations, plans for future deployments, revenue, business mix, investment in research and development, operating costs, kiosk content strategy, return on investment, sales methodology, outlook on technology, level of optimism and perceived challenges.

The report is divided into five industry segments: user organizations that host kiosks (retailers, consumer brands, government, restaurant, gaming and travel), kiosk hardware manufacturers, kiosk software manufacturers, value added resellers and hardware component manufacturers.

Strong economy helps drive growth

General economic factors in 2019 encouraged businesses to invest in technology at the same aggressive pace as the prior two years. These included economic growth, strong consumer confidence, vibrant retail sales and low unemployment. Areas of uncertainty cited were trade tariffs that raised imported steel costs and the pending 2020 presidential election.

The most significant factor contributing to the self-serve kiosk industry's growth in 2019 was the retail industry's willingness to embrace new technology. Retailers, comprising the majority of self-service kiosk user organizations, invested in technology to give customers more ways to shop, both online and offline. Interactive kiosks emerged as critical touch points to make shopping easier and more engaging.

In 2019, kiosk user organizations ranked artificial intelligence as the seventh most promising technology, compared to the 14th most promising technology the prior year. AI gives companies access to more data and allows them to utilize it for many tasks and to better understand customers.

The census holds the distinction of offering statistical information provided by both user organizations and suppliers of self-serve kiosks. Where other kiosk market studies are based mostly on supplier provided information, much of the information in the Kiosk Marketplace Census is user provided.

The report is available for purchase at the Kiosk Marketplace online store. To order the report, click here.
 

About Elliot Maras

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Elliot Maras is the editor of Kiosk Marketplace and Vending Times. He brings three decades covering unattended retail and commercial foodservice.