Retail Edge Computing Market Trends

Retail Edge Computing Market Overview:

The Retail Edge Computing Market is expected to account for USD 4.35 Billion in 2022 and is expected to surpass USD 23.7 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 20.7% during the forecast period (2022-2032).

Real-time promotions, contactless checkout, inventory control, and fraud monitoring are all new avenues for retail are the key market drivers enhancing the market growth.

Figure 1: Retail Edge Computing Market Size, 2023-2032 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Retail Edge Computing Market Trends

Opening up new opportunities for retail possibility is driving the market growth

There are a wide range of use cases that merchants can take into consideration right now where edge computing can be deployed whenever the speed, volume, and privacy of data matter. Already, some fast-food chains and merchants are making investments to upgrade their mission-critical point-of-sale systems (POS) with edge capabilities in order to achieve higher uptime and reliability. According to retail professionals surveyed, edge-enabled, real-time video analytics are assisting retailers in enhancing security and making demand-based inventory selections that have decreased shrinkage by as much as 20%. Alerts that inform workers of potential security hot spots and items needing restocking or price reductions are produced via cloud analysis of data from hand-held RFID devices and video footage.

Additionally, brands are realizing the necessity of providing individualized, edge-powered in-store experiences that are on par with those provided online. A mobile app on the customer's device initiates real-time offers based on the customer's location in the store and their prior purchases using in-store Bluetooth beacons powered by edge servers. According to interviewees, these encounters increased market basket sizes by 20 to 50%.

According to interviews, cashier-less checkout made possible by computer vision, artificial intelligence (AI), and machine learning (ML) increased sales in convenience and grocery stores by 4% to 5%. consumers are tracked by sensors and cameras while they choose things, and transactions are instantly charged through apps on consumers' phones, resulting in a quick, touchless transaction. Retailers are seeing positive effects, including a 20 to 30% increase in store traffic, thanks to interactive experiences that let customers of home improvement stores view and test products like kitchen cabinetry, appliances, tile, and power tools using in-store AR/VR technology. Offering dynamic content on digital displays, such as movies, graphics, and animations, is how food and beverage firms are pushing the envelope to engage customers at the point of purchase. For instance, when digital signs were incorporated into social media ad campaigns, brands surveyed by McKinsey reported a 20% or higher boost in brand recognition. These advanced applications require an infrastructure that is digitally ready, quick, safe, easily scalable, and built to handle new use cases supported by next-generation technology. Thus, driving the Retail Edge Computing market revenue.

Retail Edge Computing Market Segment Insights

Retail Edge Computing Component Insights

The Retail Edge Computing Market segmentation, based on component, includes hardware, software, and services. Hardware segment dominated the global market in 2022. In the managed services sector, hardware demand is on the rise and is anticipated to hold the largest market share over the projection period. The amount of data generated by IoT and IIoT devices is rapidly growing along with the number of these devices. Enterprises are therefore implementing edge computing equipment to reduce the stress on the cloud and data centers in order to deal with the volume of data generated.

Retail Edge Computing Application Insights

The Retail Edge Computing Market segmentation, based on application, includes smart cities, industrial internet of things (IoT), remote monitoring, content delivery, augmented reality (AR), virtual reality (VR), and others. Industrial internet of things (IoT) segment dominated the Retail Edge Computing Market in 2022. In order for manufacturers to achieve the aim of digitizing their facilities, edge computing has been crucial. Device edge, a substantial stake in edge computing, is deployed in the manufacturing sector. The need for edge infrastructure is anticipated to grow as services become more complex and edge technology is made more widely available.

Retail Edge Computing Organization Size Insights

The Retail Edge Computing Market segmentation, based on organization size, includes large enterprises and SMEs. Large enterprises segment dominated the Retail Edge Computing Market in 2022. Production of loT-connected gadgets has increased on a global scale. Enterprises need edge solutions to process the generated data, speed up information delivery, and improve customer experience. The latency requirements for real-time processing and carrying out functions to keep the data more secure might not be met by a cloud solution.

Figure 2: Retail Edge Computing Market, by Organization Size, 2022 & 2032 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Retail Edge Computing Regional Insights

By region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. The North America Retail Edge Computing Market dominated this market in 2022 (45.80%). IIoT and edge computing convergence is creating ideal conditions for American manufacturers to transition to connected manufacturing. A number of businesses have also developed to provide platforms for creating edge-enabled products, which are projected to accelerate the growth of the local market. Further, the U.S. Retail Edge Computing market held the largest market share, and the Canada Retail Edge Computing market was the fastest growing market in the North America region.

Further, the major countries studied in the market report are The US, Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 3: RETAIL EDGE COMPUTING MARKET SHARE BY REGION 2022 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Europe Retail Edge Computing market accounted for the healthy market share in 2022. The increasing presence of major firms with headquarters in Europe has a significant impact on the local market. These players include, among many others, IBM, Intel, and Microsoft. By combining with and buying small businesses, these corporations have been carefully extending their geographic reach and clientele. Further, the German Retail Edge Computing market held the largest market share, and the U.K Retail Edge Computing market was the fastest growing market in the European region.

The Asia Pacific Retail Edge Computing market is expected to register significant growth from 2023 to 2032. This is due to the growing use of edge solutions in nations like China, India, and Japan. Government policies that assist IT infrastructure have also accelerated market expansion in the region. Moreover, China’s Retail Edge Computing market held the largest market share, and the Indian Retail Edge Computing market was the fastest growing market in the Asia-Pacific region.

Retail Edge Computing Key Market Players & Competitive Insights

Leading market players are investing heavily in research and development in order to expand their product lines, which will help the Retail Edge Computing market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, Retail Edge Computing Industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the global Retail Edge Computing Industry to benefit clients and increase the market Application. In recent years, the Retail Edge Computing Industry has offered some of the most significant advantages to medicine. Major players in the Retail Edge Computing market, including Cisco, AWS, Dell Technologies, Google, HPE, Huawei, IBM, Intel, Litmus Automation, Microsoft, Nokia, ADLINK, Axellio, Capgemini, ClearBlade, Digi International, Fastly, StackPath, Vapor IO, GE Digital, Moxa, Sierra Wireless, Juniper Networks, EdgeConnex, Belden, Saguna Networks, Edge Intelligence, Edgeworx, Sunlight.io, Mutable, Hivecell, Section, and EdgeIQ, are attempting to increase market demand by investing in research and development operations.

IT infrastructure services are provided by Amazon Web Services, a cloud-based web platform. The business offers a range of services, including cloud computing, compute, networking, storage and content delivery, databases, analytics, application services, deployment and administration, mobile services, and investments, on a scalable cloud computing platform. In doing so, it makes it possible for e-commerce firms to launch and grow their cloud businesses while increasing their online sales.

Google LLC (Google), an affiliate of Alphabet Inc., provides online search and advertising services. The company's primary business segments include advertising, search, platforms and operating systems, enterprise products, and hardware. These are just a few of the products and services it provides: Google Search, Google Chrome, Google Docs, Google Calendar, Google Photos, Google Meet, Google Drive, Google Finance, Google Play Books, Google News, Google Earth, Google Ad Manager, Google Play, AdMob, Google Maps, AdSense, Gmail, Google Groups, and YouTube. The business has operations in the Americas, Europe, Asia-Pacific, Middle East, and Africa. Google's main office is located in Mountain View, California, in the United States.

Key Companies in the Retail Edge Computing market include

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  Cisco

  
  


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  AWS

  
  


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  Dell Technologies

  
  


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  Google

  
  


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  HPE

  
  


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  Huawei

  
  


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  IBM

  
  


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  Intel

  
  


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  Litmus Automation

  
  


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  Microsoft

  
  


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  Nokia

  
  


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  ADLINK

  
  


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  Axellio

  
  


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  Capgemini

  
  


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  ClearBlade

  
  


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  Digi International

  
  


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  Fastly

  
  


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  StackPath

  
  


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  Vapor IO

  
  


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  GE Digital

  
  


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  Moxa

  
  


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  Sierra Wireless

  
  


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  Juniper Networks

  
  


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  EdgeConnex

  
  


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  Belden

  
  


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  Saguna Networks

  
  


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  Edge Intelligence

  
  


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  Edgeworx

  
  


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  Sunlight.io

  
  


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  Mutable

  
  


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  Hivecell

  
  


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  Section

  
  


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  EdgeIQ

  
  

Retail Edge Computing Industry Developments

February 2022: In order to expand its hybrid cloud consulting business and offer sophisticated expertise to support Communications Service Providers (CSPs), IBM bought Sentaca. The corporation hoped to restructure its operations and update its cloud platforms with this acquisition.

Retail Edge Computing Market Segmentation

Retail Edge Computing Component Outlook

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  Hardware

  
  


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  Software

  
  


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  Services

  
  

Retail Edge Computing Application Outlook

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  Smart Cities

  
  


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  Industrial Internet of Things (IoT)

  
  


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  Remote Monitoring

  
  


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  Content Delivery

  
  


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  Augmented Reality (AR)

  
  


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  Virtual Reality (VR)

  
  


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  Others

  
  

Retail Edge Computing Organization Size Outlook

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  Large Enterprises

  
  


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  SMEs

  
  

Retail Edge Computing Regional Outlook