Point of Sale (PoS) Market Size, Share & Industry Analysis, By Component (Hardware and PoS Terminal Software), By Type (Fixed PoS, Mobile PoS, and Others), By Deployment (On-premise and Cloud-based), By Operating System (Windows/Linux, Android, and iOS), By End-user (Restaurants, Retail, Entertainment, and Others), and Regional Forecast, 2024-2032

The global point of sale market size was valued at USD 33.41 billion in 2024. The market is projected to grow from USD 38.56 billion in 2025 to USD 110.22 billion by 2032, exhibiting a CAGR of 16.1% during the forecast period.

Point of sale (PoS) system offers several advantages to businesses in various industries. It helps minimize human errors in transactions. Automated calculations reduce the risk of mistakes in pricing, change, and overall transaction accuracy. The point of sale system is integrated with inventory tracking to provide real-time updates on stock levels. This helps businesses manage inventory efficiently, reduce stockouts or overstock situations, and optimize reorder processes. In addition, it generates detailed sales reports and analytics. Businesses can analyze sales data, track trends, and make informed decisions to optimize pricing, promotions, and product offerings.

Moreover, the COVID-19 pandemic accelerated the consumers’ preference for using online channels to purchase goods and hampered the point of sale market. At the point of sale, online shopping consumers do not use components such as barcode scanner, printer, touch screen monitor, and others.

• According to China’s National Bureau of Statistics, the total retail sales of consumer goods declined by 3.9% in 2020. In contrast, online retail sales of physical goods increased by 14.8% from 2019 to 2020.

In the scope of work, we have included solutions offered by companies such as Block, Inc., Toast, Inc., NCR Corporation, PAX Technology, Oracle Corporation, Ingenico Group, and others.

IMPACT OF GENERATIVE AI

Personalized Shopping Experiences and Dynamic Pricing Optimization Fuels the Market Expansion

Generative AI is poised to have a significant impact on the market, introducing new capabilities and enhancing existing functionalities. Generative AI can analyze customer data to create personalized shopping experiences. This includes personalized recommendations, targeted promotions, and customized interfaces at the point of sale, leading to increased customer satisfaction and loyalty. Moreover, generative AI algorithm is capable of analyzing market conditions, demand patterns, and competitor pricing in real-time. This enables businesses to implement dynamic pricing strategy at the PoS, optimizing picing for maximum profitability.

Furthermore, generative AI contributes to improved fraud detection at the PoS. Advanced algorithms can analyze transaction patterns, identify anomalies, and flag potentially fraudulent activities, enhancing overall transaction security. Thus, the integration of generative AI in the PoS market is fostering innovation and efficiency, empowering businesses to deliver more personalized and streamlined experiences for both customers and retailers.

Point of Sale Market Trends

Rising Adoption of Cloud-based PoS and AI Integration in PoS Systems Aids the Market Growth

The rising adoption of cloud-based and AI-driven point of sale solutions among enterprises and small merchant aids the market growth. According to the LINGA PoS system provider, more than 60% of the PoS system purchases were made on cloud platforms in 2020, owing to a surge in the adoption by the retailers and restaurant industries.

• In addition, according to the ConnectPOS Survey in 2021, approximately 15% of the U.S. businesses used PoS systems with Artificial Intelligence (AI) In addition, around 40% of the U.S.-based enterprises planned to adopt AI-based PoS solutions in the next 12 months.
• According to the ConnectPOS PoS system and solution provider, in 2021, around 40% of the customers aged 18-24 have integrated AI-driven PoS systems in their retail stores to meet their customers’ expectations and increase revenue.

Such developments with AI integrations and cloud-based POS augment the demand for POS solutions in the market.

Asia Pacific Point of Sale Market Size, 2019-2032 (USD Billion)

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Point of Sale Market Growth Factors

Rising Adoption of Digital Payments and Mobile Wallets in PoS Solution Enhances User Experiences, Aiding the Market Growth

Technological advancements have abolished the traditional methods of executing cash transactions. With digital wallets’ modernization, people have begun using mobile payment apps such as Paytm, Google, Apple Pay, and others to perform daily transactions.

The growing number of young purchasers is partially responsible for the rise in the need for smartphone POS systems. The group is fast to accept the use of mobile wallets and online contactless payments. Thus, the traction is ongoing with POS solutions, and smartphone-empowered mobile wallet payments are a trend. Hence, various POS providers are making new advancements and upgrades in their POS solutions to expand the adoption of POS solutions in different industries, such as retail, restaurants, banking, and others. For instance,

• In May 2023, Pine Labs, in collaboration with ICICI Bank, announced the approval of a digital rupee on its POS platform. With the integration of technologies, the POS platform accepts digital rupees in various retail stores across Mumbai and Bengaluru.

Such modernizations and advancements are contributing toward the growing adoption of POS by integrating digital payments and mobile wallets.

RESTRAINING FACTORS

Data Security Concerns May Impede the Market Growth

Data security is a major concern in the PoS market for businesses and consumers. Unauthorized access to payment card data may lead to data breach. If PoS systems are compromised, it can lead to the exposure of payment card information, putting customers at risk of fraud and identity theft. Furthermore, inadequate password protection and weak authentication measures can make PoS systems vulnerable to unauthorized access. This may lead to unauthorized individuals gaining control over the PoS system and accessing sensitive data. In addition, integrations with third-party services or software can introduce security risks. If these third-party components are not adequately secured, they can serve as entry points for cyber attackers to gain access to PoS systems. These factors are expected to hamper the market growth.

Point of Sale Market Segmentation Analysis

By Component Analysis

Increasing Installation of Hardware to Foster the Segment Growth

Based on component, the market is classified into hardware and PoS terminal software.

The hardware segment secured the maximum share in the market by 65% in 2024, as it facilitates quick and accurate transaction processing. This leads to faster checkouts, reducing waiting times for customers and improving overall operational efficiency. As a result, the installation of PoS hardware has gained momentum in restaurants, retail, banking, and gas stations across the globe.

The PoS terminal software segment is expected to grow at the highest CAGR during the forecast period. Well-designed PoS terminal software solutions often feature a user-friendly interface. This enhances ease of use for cashiers and minimizes training time for new staff, contributing to increased productivity. In addition, it generates real-time reports and analytics on sales trends, customer preferences, and other key performance indicators.

By Type Analysis

Ability of Fixed PoS Systems to Enhance the Overall System’s Functionality in Retail to Fuel the Segment Growth

Based on type, the market is divided into fixed PoS, mobile PoS, and others (computer screens, barcode scanners, receipt printers, cash drawers, card machines, and other devices).

The fixed PoS segment is likely to hold the largest share of 64% in the market in 2025. Fixed PoS solutions are designed for stability and reliability. The dedicated hardware and infrastructure at a fixed location contribute to consistent performance, reducing the risk of technical issues. These terminals have larger display screens and can accommodate additional peripherals such as customer displays, card readers, and others to enhance the overall functionality of the system in the retail sector. These factors are spurring the fixed PoS segment growth.

The mobile PoS segment is expected to grow at the highest CAGR of 18.50% during the forecast period. The primary advantage of mobile PoS is its portability. Businesses can process transactions anywhere, whether on the shop floor, at events, or in a restaurant. This flexibility is particularly beneficial for businesses with varied or changing locations. In addition, the implementation of mobile PoS is often more cost-effective compared to traditional fixed PoS systems.

By Deployment Analysis

Surge in Adoption of Cloud-based PoS System to Boost the Market Growth

Based on deployment, the market is bifurcated into on-premise and cloud-based.

The cloud-based segment held the maximum point of sale market share of 59% in 2025 and it is expected to continue its dominance by growing at the highest CAGR of 19.50% in coming years. The cloud-based solution allows businesses to access their data and perform transactions from any location with an internet connection. This is particularly valuable for businesses with multiple locations, enabling centralized management and real-time visibility. In addition, cloud-based PoS systems often have lower upfront costs compared to traditional on-premises solutions. Businesses can avoid significant investments in hardware and infrastructure, and instead, pay a subscription fee based on usage.

By Operating System Analysis

User-friendly Interface to Boost the Implementation of Windows/Linux OS in PoS Systems

Based on operating system, the market is categorized into Windows/Linux, Android, and iOS.

The Windows/Linux segment is projected to secure the maximum share of 57% in the market in 2025, owing to its user-friendly interface, integration capabilities, and compatibility with a wide range of software applications. This familiarity makes it easier for staff to adopt point of sale system, reducing training time and minimizing errors during transactions. In addition, Windows OS supports multi-tasking, allowing small and medium-sized businesses to run multiple applications simultaneously.

The Android segment is anticipated to grow at the highest CAGR of 17.10% during the forecast period. This can be attributed to the ability of Android to support a wide variety of devices, from tablets to smartphones, providing businesses with options to choose the form factor that best suits their needs. This flexibility allows for customized setups based on business requirements.

By End-User Analysis

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Greater Adoption of Point of Sale Solutions in Retail Shops to Surge the Segment Expansion

The market is divided into retail, restaurants, entertainment, and others (gas stations and transportation) based on end-user.

The retail segment is anticipated to hold the largest market share of 49% in 2025. This is due to the increasing adoption of PoS systems in retail shops, as it is time and cost-efficient and provides real-time data about sales performance. Moreover, this system makes it easy for retailers to manage promotions and discounts. They can apply discounts, track promotional effectiveness, and implement targeted marketing campaigns directly through the PoS solutions.

The restaurants segment is estimated to showcase the highest CAGR of 17% during the forecast period, as the implementation of PoS system reduces the likelihood of order errors compared to manual order-taking methods. Accurate order entry helps minimize mistakes in the kitchen and ensures customers receive the correct items.

REGIONAL INSIGHTS

By region, the market has been analyzed across five major regions, namely North America, South America, Europe, the Middle East & Africa, and the Asia Pacific.

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The Asia Pacific held the largest share of USD 11.55% in the market in 2024, owing to the expansion of businesses, technological advancements, and a shift toward digital transactions. Many countries in the region, such as China and India, have experienced rapid economic growth. This growth has led to the establishment and expansion of businesses, creating a demand for modern and efficient PoS systems to streamline transactions. Moreover, India is projected to grow with the highest CAGR during the forecast period owing to the retailer's and banks’ rising adoption of the PoS machines. In 2025, the Chinese market is likely to hit USD 4.64 billion, whereas the market in India is projected to reach USD 3.09 billion and Japan’s market is likely to hit USD 1.60 billion in 2025. For instance,

• In May 2023, Axis Bank launched Sarathi, an innovative digital onboarding system that allows merchants to use electronic data capture (EDC) or POS services. By incorporating real-time database checks and live video verification, the platform streamlines the application process and enables paperless onboarding for merchants, facilitating the quick installation of POS devices. The solutions aim to complete the application processing and provide speedy installations within 45 minutes.

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In North America, consumers prefer to use mobile PoS solutions for payment processing, owing to the surge in the adoption of digital payment modes across the retail and restaurant industries. This region is poised to stand at USD 10.41 billion in 2025, as the second-largest market. According to the U.S. Census Bureau of the Department of Commerce, total retail sales in the first quarter of 2022 reached USD 1,747.30 billion, which has increased by 3.7% compared to 2021. Such increases in the retail sale of consumer goods have created a massive demand for the PoS terminal for buying billions of goods. According to the National Restaurant Association in 2020, around 40% of restaurants across North America have added mobile and contactless payment options for their customers amid the COVID-19 pandemic. Furthermore, the rising adoption of PoS terminals and software by retailers to keep track of inventory records has propelled the point of sale market growth. The U.S. market is likely to hit USD 7.19 billion in 2025.

In Europe, the market is likely to be the third-largest region with a value of USD 9.62 billion in 2025 which is driven by the rising adoption of contactless payments and shifting consumers preference for online payment technology for the retail purchase of goods drive the demand for cloud PoS. According to the Royal Society's Physical Sciences Research Journal, Europe's cloud-based PoS systems deployment rate is increasing at 15.5% annually. In addition, the region's market growth is driven by increasing adoption of PoS sysrem in retail and restaurant industry. Several leading European banks are adopting digital transformation strategies to accept payment and provide better customer service. The market in U.K. is likely to stand for USD 1.94 billion in 2025. On the other hand, the Germany market size is estimated to be 2.16 billion and France will reach the market value of USD 1.80 billion in 2025.

The Middle East & African (MEA) countries are expected to hold the second-largest CAGR of 17% during the forecast period and are adopting digital technologies at a noteworthy pace. The rising adoption of mobile wallets for payment processing across these countries has prompted market growth. According to industry expert, Digital Payments Report in 2021, mobile PoS transactions have increased by 55% in the Middle East & Africa. Mobile PoS adoption in Saudi Arabia increased by 13.6%, and adoption increased by 13.4%. Thus, an increase in the adoption of digital payment methods and the rising number of smartphone users is expected to drive the growth of this market. The GCC market size is estimated to hit USD 0.83 billion in 2025.

In South America, cash usage remains dominant at retail stores due to the unbanked population. Retail stores are rapidly deploying PoS terminals for digitalizing their transactions to keep track of payment records. Furthermore, among bank users, mobile PoS supported by mobile wallets, including Yape and PLIN, has gained popularity in the region. The region is likely to hit USD 3.01 billion in 2025 as the fourth-largest market.

List of Key Companies in Point of Sale Market

Market Players Are Focusing on Partnership and Acquisition Strategies to Retain their Dominance

Key market players are focusing on expanding their geographical presence across the globe by presenting industry-specific services. Leading companies are emphasizing acquisitions and collaborations with regional players strategically to maintain dominance across regions. Moreover, top market participants are introducing novel products to increase their consumer base. An increase in constant R&D investments for product innovations is enhancing market expansion. Hence, top companies are rapidly implementing these strategic initiatives to sustain their competitiveness in the market.

List of Key Companies Profiled:

• NCR Corporation (U.S.)
• Toast, Inc. (U.S.)
• Oracle Corporation (U.S.)
• HP Development Company, L.P. (U.S.)
• Ingenico Group (Worldline) (France)
• PAX Global Technology Limited (China)
• Lightspeed (U.S.)
• Block, Inc. (U.S.)
• Nomia LLC (Russia)
• Fujitsu Frontech Limited (Japan)

KEY INDUSTRY DEVELOPMENTS:

May 2023: PAX Technology, Inc. introduced Elys Workstation (L1400), the essential element in the revolutionary Elys solution. It is a vastly configurable POS that can renovate the merchant and customer experience with a single platform. It incorporates business management solutions comprising payments, inventory management, loyalty, attendance and time, and more.

March 2023: Ingenico announced the acquisition of Phos by extending merchant payment acceptance offers through smartphones. The purchase enables the evolution of Ingenico across software-driven services. Phos provides software-only PoS (SoftPoS) solutions.

January 2023: Toast Partner Ecosystem was joined by SoundHound to aid more restaurant operators with voice-ordering capabilities. The collaboration makes SoundHound technology available for restaurants using the POS system of Toast Inc. It will enable restaurants to accept voice orders by phone and transfer them straight to Toast’s platform.

August 2022: NCR Corporation expanded its long-term partnership with Wendy’s to deliver data services through the NCR Commerce Platform. The partnership provides Wendy’s with more flexible access and usage of capture data through NCR Aloha POS (Point of Sale).

May 2022: Square, Inc. introduced a range of advanced hardware and software restaurant solutions, Restaurants mobile PoS. The updated PoS processes on two hand-handled devices: Restaurant Mobile PoS kit and Square Terminal. Moreover, this system enables seamless tableside service and order management, increasing the efficiency of operations.

REPORT COVERAGE

The report provides a detailed analysis of the market and focuses on key aspects such as leading companies, product/service types, and leading applications of the product. Besides this, it offers insights into the market trends and highlights key industry developments. In addition to the factors above, the report encompasses several factors that have contributed to the growth of the market in recent years.

Key segments within the Point of Sale Market

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Report Scope & Segmentation