Population explosion influences the issues like rise in the number of vehicles, pedestrians and road safety issues, and traffic jams. People also lose out on a large amount of time caught up in the traffic jam. Automated management of traffic and vehicle population is considered to be an ideal solution to this problem. Adoption of advanced technology in these systems makes them high-tech and help in saving valuable time and energy. The global traffic management market is strongly driven by the rising demand from different parts of the world. It is also driven by the technological advancements and the ever growing population of the world. Growth in demand from the emerging markets is also a crucial factor driving the demand for the traffic management solutions.
Drivers and Restraints for the Market
As mentioned before, growing demand for the traffic management solutions is mainly triggered by the rising population of the world. Explosion of population results into growing number of vehicles, road congestions and accidents. Growing demand for safety, security, reliability and swift movement of the road traffic are also significant drivers for the adoption of automated technologies to manage the traffic situations. The global traffic management market is driven by the strong government initiations for road safety and passenger security. Higher capital investments, transformation downtime and infrastructural legacy systems are some of the vital factors restraining the market.
Segmentation in Traffic Management Industry
The market is segmented on the basis of the types of solutions, which include extra low voltage solutions, full pedestrian solutions, intersection controllers, parking space, ticketing management, and LED signals retrofit solutions. The detections are segmented into loop detection, above ground pedestrian and vehicle detection and CCTV and ANPR systems. The types of displays include vehicle information terminals, variable or dynamic message signboards and other types. On the basis of geographic regions, the market is categorized into North America, CIS and Eastern Europe, Western Europe, Asia Pacific, Middle East and Africa, and Latin America.
According to the experts, the industry is seeking growth opportunities from rising demand from different parts of the world. Temporary and experimental project opportunities from different parts of the world are creating business prospects for the companies. Growth in investment in the smart transportation systems are also expected to create major growth prospects for the market. As a result, during the forecasting period, the global traffic management market is expected to grow at a CAGR of over 36% from 2014 to 2019. At this exponential growth rate, the market is estimated to become worth $16.89 billion by 2019. As of the year 2014, the market is estimated to be worth $3.56 billion.