Growing Applications of RFID in Inventory and Supply Chain Management is anticipated to openup the new avanue for RFID Market

Growing Applications of RFID in Inventory and Supply Chain Management is anticipated to openup the new avanue for RFID Market

Market Overview:
RFID is a technology that uses radio frequency communications to identify and track tags attached to objects automatically. It works through a system of tags, readers and antennas to identify items and collect data wirelessly from RFID tags without line-of-sight scan. RFID tags are used in various applications for tracking assets, inventory management, supply chain management, security and access control. The RFID tags can be active (with a battery) or passive (without a battery).

Market Dynamics:
There are two primary drivers fueling the growth of The RFID Market Share-
Growing inventory management and supply chain applications of RFID- RFID technology is increasingly being used for inventory management and supply chain applications including tracking packages and pallets for logistics, monitoring temperature-sensitive products etc. This is driving the demand for RFID tags and readers.
Rapid adoption of IoT and Industry 4.0- Integration of RFID with IoT and growing adoption of Industry 4.0 concepts such as digitization, automation etc. is supporting the growth of RFID market. RFID provides real time visibility of assets and enables data collection for analyses. This supports predictive maintenance, quality control and enhances operational efficiency of industries.
Segment Analysis
The global RFID market is dominated by tags segment. This segment accounted for the largest revenue share of over 50% in 2023 owing to increasing deployment of RFID tags across various end-use industries such as retail, manufacturing, transportation & logistics. Growing adoption of active RFID tags for industrial applications, government mandates for implanting RFID tags on important documents and assets such as passports are the key factors contributing to tags segment's dominance.

PEST Analysis
Political: Government initiatives toward adoption of RFID technology for e-governance projects and digitization of document processes are driving the market growth. Various countries have mandated use of RFID in transport sector.
Economic: Rising disposable income and spending on security and asset management solutions are positively influencing the market. Cost reduction of RFID components is further fueling the adoption.
Social: Increasing concerns regarding security, inventory management and identification are propelling the demand for RFID solutions across industries.
Technological: Advancements in RFID components such as smaller chip sizes, improved read ranges and enhanced data storage capabilities are supporting market growth. Innovation in frequencies and connectivity standards are also augmenting the technological developments.

Key Takeaways
The global RFID market is expected to witness high growth, exhibiting a CAGR of 11% over the forecast period, due to increasing deployment across industries for asset tracking, inventory management and supply chain applications.

Regional analysis
Asia Pacific dominated the global RFID market in 2023 and is projected to witness fastest growth during the forecast period. Industrialization, growing e-commerce sector and rising emphasis on supply chain efficiency in countries such as China, India are driving the region's growth. Additionally, government initiatives to promote adoption of RFID technology in Japan and South Korea are further fueling the market.

Key players
Key players operating in the RFID market are Alien Technology, LLC, Avery Dennison Corporation, Bar Code India Limited, Bartech Data Systems PVT. LTD., Bartronics India Limited, Honeywell International. Inc., IDENTIV, Inc., Infotek Software & Systems Ltd. (I-TEK), NXP Semiconductor N.V., and Zebra Technologies Corporation. Leading players are focusing on developing advanced and customized RFID solutions to expand their customer base.

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https://www.marketwebjournal.com/rfid-is-estimated-to-witness-high-growth/