Almost ten per cent growth predicted for road safety market by 2021
According to a new market research report "Road Safety Market by Solution (Red Light Enforcement, Speed Enforcement, Incident Detection System, Bus Lane Compliance, and Automatic License Plate Recognition), Service (Consulting & System Integration and Risk Assessment) - Global Forecast to 2021", published by MarketsandMarkets, the road safety market is estimated to grow from US$2.60 billion in 2016 to US$4.06 billion by 2021, at a compound annual growth rate (CAGR) of 9.3% during the forecast period.
The major forces driving the road safety market include the increase in mobility and the associated demands on transportation systems, increase in urbanisation, increase in road accidents/fatality rate and growing government regulations for road safety.
According to the report, red light enforcement is one of the most important safety control systems in traffic management as it is system is easy and cost-efficient compared to other safety devices. In addition, with the advent of smart cities and safety initiatives, governments of different countries are installing red light enforcement systems. Hence, this segment expected to dominate the road safety solutions market.
Professional services, including consulting and system integration; training, support, and maintenance; and risk assessment and analysis are useful for enhancing business productivity, business efficiency, operational improvements, quality of service, and prudent financial management and are fuelling the adoption of professional services and hence this segment expected to be the largest segment in road safety services market.
The North American region is projected to dominate the road safety market during the forecast period. The driving factors for this growth are large-scale investments in road safety systems and solutions, government initiatives and early adoption of technology. Europe is the second highest contributor to the road safety market owing to strict regulations and presence of a large number of original equipment manufacturers and solution providers.
In addition, the road safety market remains competitive with the presence of a large number of vendors such as Jenoptik, Kapsch TrafficCom, Sensys Gatso Group, Redflex Holdings, 3M, Flir Systems, Motorola Solutions, Swarco, American Traffic Solutions and Information Engineering Group.