The Global Vehicle Access Control Market is projected to grow from USD 10.8 billion in 2020 to USD 22.6 billion by 2027, at a CAGR of 11.2 %. The increase in the rate of vehicle theft across developing and developed countries is emerging as one of the major factors that are anticipated to drive the market growth over the forecast period.
Technological innovations that have led to the development of advanced vehicle access control systems to provide an exceptional driving platform are also encouraging consumers to opt for a vehicle boasting the latest access control system. Moreover, aggressive investments being made by automotive companies to reduce the deployment cost of vehicle access control systems is expected to increase the penetration of these systems across low- and mid-end automobiles, thereby contributing to the market growth. The need for advanced safety features that can control any unauthorized access to a vehicle is growing. At the same time, the security requirements at the entry gates of commercial and residential buildings are also growing. Research & development centers, power plants, and nuclear power zones, among other establishments, happen to be vital for the economy of a nation. Such establishments often house confidential information and hence they need to be protected from any unauthorized vehicular entry. These are the major factors that are driving the demand for advanced vehicle access control systems.
Apart from commercial and residential buildings, vehicle access control systems can also be installed across toll ways. The traffic management capabilities of these systems can help in reducing traffic congestion at toll ways. Moreover, advances in technology are helping in increasing the acceptability of vehicle access control systems by enabling various combinations of non-biometric systems and biometric systems. The growing acceptability of these systems bodes well for market growth over the forecast period.
While vehicle access control systems are proliferating in developed economies, they are being gradually adopted in developing economies as well. However, there exist a few restraints that are hindering the adoption of these systems. First, while incorporating access control systems based on biometrics in a vehicle can be a challenging task for automobile companies, end users can also find it challenging to get acquainted with the latest and innovative vehicle access control systems. However, the growing popularity of vehicle access control systems can help new users in easily getting acquainted with these systems. Second, the costs incurred in repairing these systems are also very high. Nevertheless, aggressive efforts by the market players aimed at reducing the deployment and implementation costs are expected to annul these concerns, thereby driving the market growth.
Rising demand for premises security among consumers is driving the vehicle access control market. Increased threat of security breach, theft, and crimes further boost the global vehicle access control market.
The global vehicle access control market is dominated by major players such as Denso Corporation (Japan), Valeo (France), Continental AG (Germany), Robert Bosch (Germany), and Nuance Communication (US).
An increasing number of vehicle theft incidents will drive the demand for advanced security features like keyless entry and electronic immobilizers. Vehicle theft instances have grown significantly in the US. According to the National Insurance Crime Bureau, USD 6 billion was lost due to vehicle thefts in the US. Therefore, OEMs are adding new features like stolen vehicle assist and electronic immobilizers for better vehicle safety and security.
Moreover, vehicles in the US are occupied mostly with advanced systems such as vehicle stolen assist, keyless entry, electronic immobilizers, and others, which will fuel the overall growth of the vehicle access control market. Rising EV sales and demand for LCVs in Canada and the US will boost the market. Large scale autonomous vehicle testing and deployment will require vehicle safety features like face and fingerprint recognition
Report : Vehicle Access Control Market - By Type (Biometric System, Non-Biometric System), By Vehicle Type (PC, LCV, and HCV), By Electric Vehicle (BEV, HEV, PHEV, and FCEV) And By Region (North America, Asia Pacific, Europe, Middle East & Africa and Latin America) - Industry Analysis, Opportunity and Forecast 2020 To 2027