Contactless Smart Cards, RFID, Payment, Transit and Security

Juniper forecasts 400 million mobile ticketing users by 2013 but growth hampered by lack of readers, NFC phones

Tuesday, October 21, 2008

While a UK-based research company is projecting 400 million cell phone subscribers will use their phones for ticketing within the next five years, growth may not come as fast as it could due to a lack of contactless readers and NFC handsets.

The report by Juniper Research found that the leading sector will be transport, followed by entertainment and then sporting events. The Far East and China region is leading the market, driven by adoption in Japan, particularly among rail travelers.


In addition airlines are beginning to offer mobile ticket purchasing. Outside the transport segment, the report identified a number of ground-breaking trials and services, such as by cinema chains in India which buys 37% of all movie tickets sold worldwide. In addition a number of football and baseball teams are beginning to offer mobile options for ticket purchase and delivery; however, many venues still require a printed ticket to gain entry.

“Mobile ticketing offers exciting new opportunities for ticket issuers to achieve increased sales including targeted last-minute sales campaigns. For example, tickets for the sporting event or movie happening tomorrow or tonight could be marketed directly to known fans,” Juniper report author Howard Wilcox pointed out.

However, Wilcox warned that while NFC mobile user trial results, such as O2 in London and BART in San Francisco, have been encouraging, market traction will be determined by the availability of NFC phones and the speed of installation of NFC readers.

Key findings from the report include: –Total gross mobile ticketing transaction value will reach $92 billion by 2013. –The Far East & China region, together with Western Europe and North America will represent in excess of 80% of this global gross transaction value by 2013. –Mobile ticketing must make life easier for users. In this respect, NFC, with its convenience, is a crucial development. –NFC will reach its tipping point over the 2011 to 2013 period. [end] 

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