US Retail Point of Sale Terminals Market Size was estimated at 6.99 (USD Billion) in 2023. The US Retail Point of Sale Terminals Market Industry is expected to grow from 8(USD Billion) in 2024 to 36 (USD Billion) by 2035. The US Retail Point of Sale Terminals Market CAGR (growth rate) is expected to be around 14.652% during the forecast period (2025 - 2035).
The US Retail Point of Sale (POS) terminals market is experiencing several pivotal trends driven by evolving consumer behaviors and technological advancements. One of the key market drivers is the growing adoption of contactless payment methods. Consumers increasingly prefer speed and convenience when shopping, leading retailers to upgrade their POS systems to accommodate contactless and mobile payment options.
Additionally, the rise of e-commerce has pushed traditional retail stores to integrate omnichannel solutions into their POS terminals, allowing for a seamless shopping experience that connects online and offline channels. Opportunities to be explored in this market include the increasing demand for cloud-based POS systems, which offer enhanced flexibility and scalability for retailers.As small and medium-sized businesses seek to lower operational costs, the shift from traditional hardware to cloud solutions presents significant potential.
Moreover, the focus on data analytics within POS systems is growing, as retailers look to gain insights into consumer purchasing behavior to tailor marketing strategies and inventory management. In recent times, there has been a notable trend towards enhancing security features in POS terminals. With the rise in cyber threats and data breaches, retailers across the US are prioritizing secure payment processing to protect customer information. Compliance with regulations such as the Payment Card Industry Data Security Standard (PCI DSS) has become crucial for businesses aiming to establish trust with consumers.Overall, the US Retail POS terminals market is rapidly evolving as businesses adapt to new technologies and consumer preferences, fostering a dynamic landscape for retailers to thrive.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
The US Retail Point of Sale Terminals Market Industry is experiencing significant growth driven by the increasing demand for contactless payment solutions. The COVID-19 pandemic has accelerated the adoption of contactless transactions, as consumers seek safer and quicker ways to pay. According to a survey conducted by the Federal Reserve, about 54% of consumers in the US utilized contactless payments in 2022, reflecting a notable shift toward digital payment methods.
Major companies like Visa and Mastercard have also reported a 40% increase in contactless payment transactions over the last year, indicating a shift in consumer behavior toward touch-free payment solutions. This paradigm shift is expected to drive investments in innovative Point of Sale (POS) terminals, catering to consumer preferences, and supporting the projected market growth.
Technological advancements in POS systems are a key driver for the US Retail Point of Sale Terminals Market Industry. Modern POS terminals are equipped with advanced features such as Inventory Management, Customer Relationship Management, and integrated analytics, enhancing the overall retail experience. A report from the National Retail Federation indicates that 68% of retailers plan to upgrade their POS systems to incorporate more functionalities and cope with the rise in e-commerce.Companies like Square and Clover are continuously innovating their POS offerings with features that integrate seamlessly with other retail operations, thus encouraging more retailers to invest in next-generation systems.
The rise of small and medium enterprises (SMEs) in the US is significantly propelling the US Retail Point of Sale Terminals Market Industry. According to the Small Business Administration, there are over 30 million small businesses in the US, accounting for 99.9% of all US businesses, providing incremental demand for POS systems. SMEs are increasingly adopting affordable and user-friendly POS solutions to streamline their operations and enhance customer service.Companies like Shopify have tailored POS systems specifically for SMEs, enabling better inventory tracking and sales reporting, thereby addressing the unique needs of this sector and further contributing to market growth.
The US Retail Point of Sale Terminals Market is experiencing robust growth driven by technological advancements and changing consumer behaviors. Among its broad characteristics, the Product segment encompasses a diverse range of offerings including Mobile and Fixed terminals, which play pivotal roles in the retail landscape. With the increase in mobile payment solutions, Mobile terminals are becoming increasingly prominent, providing retailers with the flexibility to complete transactions anywhere, which significantly enhances customer engagement and convenience.
As consumers lean towards digital and contactless payment methods, Mobile terminals are crucial in meeting this demand, acting as vital tools for retailers looking to streamline their operations and offer improved service experiences. On the other hand, Fixed terminals are also significant as they form the backbone of traditional retail operations, providing stability with their robust functionalities. These terminals are designed for high-volume transactions and generally offer extensive features such as inventory management and detailed reporting, which are essential for retailers to analyze sales and manage stock effectively. The Fixed segment continues to dominate in environments where reliability and speed are critical, such as in large retail chains and supermarkets, thereby reinforcing its importance in the overall US Retail Point of Sale Terminals Market.
Trends such as the increasing adoption of cloud-based solutions and integrations with e-commerce platforms are further propelling innovation within both Mobile and Fixed terminal offerings. The market dynamics reveal a competitive landscape where advancements in softwareaided by improved hardwareare setting new benchmarks for operational efficiency and customer satisfaction. Additionally, evolving regulations around payment security are influencing the development of terminal technologies, thereby presenting opportunities for market players to innovate and differentiate their offerings. Overall, the Product segment is vital to the US Retail Point of Sale Terminals Market as retailers look to enhance both their operational capabilities and consumer interactions, ensuring that they adapt to both market demands and technological innovations.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
The Component segment of the US Retail Point of Sale Terminals Market includes essential parts that enhance the functionality and efficiency of point of sale systems in the retail sector. Hardware is critical, as it encompasses devices such as card readers and terminals that facilitate transactions, making them a significant contributor to operational workflows. Software plays a pivotal role by providing businesses with the necessary tools for inventory management, sales tracking, and customer relationship management, ultimately improving the overall shopping experience.
Services, including installation and maintenance, ensure seamless integration and longevity of the POS systems, which are vital for retailers seeking to maintain smooth operations and uptime. The growing reliance on digital transactions and the shift towards contactless payments have further underscored the importance of these components. As consumer behavior evolves, embracing technology becomes paramount, creating opportunities for advancements within the Component segment of the US Retail Point of Sale Terminals Market.
The Application segment of the US Retail Point of Sale Terminals Market plays a pivotal role in accommodating the evolving demands of various retail environments. Key areas within this segment include Department Stores, Supermarkets/Hypermarkets, Warehouse clubs, Discount Stores, Specialty Stores, and Others, each contributing to the overall market growth through unique operational needs. Department Stores often leverage sophisticated POS systems to manage extensive inventories and provide customer engagement solutions, reflecting the trend toward enhanced customer experience.Supermarkets and Hypermarkets dominate with a high volume of transactions and a need for seamless checkout processes, necessitating advanced POS capabilities for efficient management of perishable items and bulk purchases.
Warehouse clubs and Discount Stores drive growth by adopting cost-efficient POS solutions aimed at streamlining operations while maximizing margins, while Specialty Stores invest in tailored systems to enhance personalized service and sales tracking. This diversification in applications not only underscores the competitive dynamics within the US Retail Point of Sale Terminals Market but also highlights opportunities for technological innovations that align with the changing consumer behaviors.Retailers are increasingly adopting integrated solutions that combine payment processing with inventory management to gain insights into sales trends and optimize stock levels, which is essential in today's fast-paced retail environment.
The US Retail Point of Sale Terminals Market is characterized by a rapidly evolving competitive landscape, driven by technological advancements and shifting consumer behaviors. With the increasing adoption of contactless payment solutions and the integration of mobile wallets, the market has witnessed a notable transformation. Vendors are continuously innovating to provide more efficient, secure, and user-friendly terminals, catering to a diverse range of retail environments. The competitive dynamics are further influenced by strategic partnerships and collaborations among key players, enhancing their market reach and service offerings.
As companies seek to differentiate themselves, the focus remains on enhancing customer experiences while also adapting to regulatory changes and tackling cybersecurity challenges. Adyen has established a strong presence in the US Retail Point of Sale Terminals Market, recognized for its robust payment processing capabilities and integrated platform that supports various payment methods. The company's strength lies in its comprehensive approach, offering merchants a unified solution that combines in-store and online payments seamlessly.
This omnichannel strategy allows businesses to provide a consistent customer experience, which is vital in today's competitive landscape. Adyen's ability to adapt quickly to market demands, combined with its commitment to enhancing the merchant experience through data-driven insights, positions it as a formidable player in the sector. Moreover, its advanced technology infrastructure ensures reliability and security, making it an appealing choice for retailers looking to modernize their payment systems.PayPal also plays a significant role in the US Retail Point of Sale Terminals Market, providing a range of payment solutions that cater to both small and large retailers.
The company has developed an extensive portfolio of services that includes point-of-sale hardware, payment processing, and integration with e-commerce platforms, fostering a versatile approach. PayPal's strengths in the market are bolstered by its trusted brand recognition and a large user base, making it a preferred choice for merchants seeking to leverage established payment solutions. Additionally, the company's strategic mergers and acquisitions have enhanced its technological capabilities and market penetration, allowing it to compete effectively against other players. The integration of features such as PayPal's QR code payment system and the increasing support for contactless payments further strengthens its position in the retail landscape, appealing to consumers and businesses alike.
Recent developments in the US Retail Point of Sale Terminals Market highlight significant advancements and competitive dynamics among key players such as Adyen, PayPal, Toast, Diebold Nixdorf, Verifone, Square, PAX Technology, Zettle, Shopify, Lightspeed, NCR Corporation, Revel Systems, Ingenico Group, and Clover. The market is experiencing growth with an increasing focus on digital payment solutions and contactless transactions, partly driven by the COVID-19 pandemic. Notable mergers include Square's acquisition of Afterpay, announced in August 2021, which aimed to enhance its offerings through Buy Now, Pay Later services. Additionally, PayPal has made strides in expanding its merchant solutions, emphasizing the integration of diverse payment options.
The overall market valuation has significantly risen, attributed to the rising adoption of point of sale systems in retail and hospitality sectors. As of March 2023, the market is poised for further growth with technological innovations and increased online sales channels, fostering a competitive landscape where companies are striving to enhance user experiences and operational efficiency. The regulatory landscape continues to evolve as compliance standards for payment processing remain a focal point for businesses across the United States.
| Report Attribute/Metric Source: | Details |
| MARKET SIZE 2018 | 6.99 (USD Billion) |
| MARKET SIZE 2024 | 8.0 (USD Billion) |
| MARKET SIZE 2035 | 36.0 (USD Billion) |
| COMPOUND ANNUAL GROWTH RATE (CAGR) | 14.652% (2025 - 2035) |
| REPORT COVERAGE | Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| BASE YEAR | 2024 |
| MARKET FORECAST PERIOD | 2025 - 2035 |
| HISTORICAL DATA | 2019 - 2024 |
| MARKET FORECAST UNITS | USD Billion |
| KEY COMPANIES PROFILED | Adyen, PayPal, Toast, Diebold Nixdorf, Verifone, Square, PAX Technology, Zettle, Shopify, Lightspeed, NCR Corporation, Revel Systems, Ingenico Group, Clover |
| SEGMENTS COVERED | Product, Component, Application |
| KEY MARKET OPPORTUNITIES | Contactless payment integration, Mobile wallet adoption, Cloud-based POS solutions, AI-driven analytics features, Enhanced security measures |
| KEY MARKET DYNAMICS | Technological advancements, Increasing mobile payments, Growing e-commerce integration, Demand for contactless transactions, Focus on customer experience |
| COUNTRIES COVERED | US |
Frequently Asked Questions (FAQ) :
The US Retail Point of Sale Terminals Market is expected to be valued at 8.0 USD Billion in 2024.
By 2035, the US Retail Point of Sale Terminals Market is anticipated to reach a value of 36.0 USD Billion.
The expected CAGR for the US Retail Point of Sale Terminals Market from 2025 to 2035 is 14.652%.
In 2024, the market value for Mobile point of sale terminals is expected to be 3.2 USD Billion, while Fixed terminals will be valued at 4.8 USD Billion.
By 2035, the market value for Mobile point of sale terminals is projected to be 14.6 USD Billion and for Fixed terminals, it is expected to reach 21.4 USD Billion.
Key players in the market include Adyen, PayPal, Toast, Verifone, Square, and NCR Corporation, among others.
The growth of the market is driven by increasing digitization and the need for efficient transaction processing in retail.
Emerging trends such as mobile payment solutions and contactless transactions are significantly shaping the market.
Challenges in the market include data security concerns and the rapid pace of technological advancements.
Intense competition among key players leads to innovation and competitive pricing in the US Retail Point of Sale Terminals Market.
Leading companies partner with us for data-driven Insights.
Kindly complete the form below to receive a free sample of this Report
Analyst Explore the profile of garvit vyas, one of our esteemed authors at market research future, and access their expert research contributions in the field of market research and industry analysis
Get in Touch
© 2025 Market Research Future ® (Part of WantStats Reasearch And Media Pvt. Ltd.)
