News

Market outlook: Kiosk transactions to surpass $1 trillion

Global information technology resource WhaTech has released a market outlook report on North American self-service kiosks.

September 29, 2014

Global information technology resource WhaTech has released a market outlook report on North American self-service kiosks, according to a company announcement.

Among the key points are figures showing self-service kiosk transactions are growing at a rate of more than 7 percent annually in North America. Transactions are expected to surpass $1 trillion per year by 2014.

Kiosks are a "difficult area to define," the study said. The parameters of the kiosk definition went beyond retail in the report, but focused solely on machines with payment options, resulting in the following six categories:

• Self-Checkout Systems - Computerized systems that allow shoppers to purchase tangible products unassisted in a retail setting. 
• Ticketing Kiosks - Those found at airports, amusement parks, bus terminals, parking, movie theaters and subway/train stations that enable a customer to purchase a ticket for a ride or attraction. These are different from the third category, "Check-In" kiosks, in that they are the first-contact in the transaction.
• Check-In Kiosks - These are kiosks that confirm previous payment. These are quite common in lodging and travel settings.
• Food Ordering Kiosks - These are devices that allow either fast food or casual dining customers to place their orders and make payment without input from employees who are then redeployed to order fulfillment.
• Postal Kiosks - These are the new kiosks installed in the U.S. postal locations to handle the mailing of letters/packages.
• Other Retail Kiosks - This group consists of a wide variety of transaction kiosks that may be found in retail and hospitality settings.

Rationales for kiosk deployment vary, but the study found common reasons for customer use. For example, 75 percent of passengers on Delta and Southwest airlines use check-in kiosks, indicating incentives lay in customers receiving a "significant return," such as customer appreciation and financial opportunities, the release said.