Radio Frequency Identification (RFID) tags are used to identify and track items that are tagged. RFID tags have a small chip attached to an antenna that can send and receive radio waves to track and identify objects. They are widely used across industries like retail, manufacturing, healthcare and transportation. The growing adoption of RFID tags across various industries in the U.S. is expected to drive the growth of the RFID tags market in the country.
RFID tags offer advantages like improved inventory management, enhanced supply chain visibility, simplified tracking of assets and enhanced security. They eliminate the need for manual scanning of barcodes and help automate processes. With industries looking to streamline operations and supply chains with advanced technologies, the demand for RFID tags is increasing. The healthcare sector widely uses RFID tags to track medical equipment, patients and medicines. Manufacturing facilities deploy RFID tags to track shipments and components through the production process. Retail outlets use RFID tags to prevent theft and improve inventory management. The transportation sector also utilizes RFID tags to identify cargo, vehicles and other transport assets.
The global U.S. RFID Tags Market is estimated to be valued at US$ 887.15 Mn in 2023 and is expected to exhibit a CAGR of 9.1% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
The growing adoption of IoT technologies across various industries is one of the key trends driving the growth of the U.S. RFID tags market. IoT connectivity enables RFID tags to collect and transmit real-time data about assets which helps optimize operations. Furthermore, the integration of RFID tags with blockchain is gaining traction. Blockchain offers tamper-proof tracking of RFID tagged items throughout the supply chain. This boosts transparency. Product manufacturers are also focusing on developing active RFID tags with increased memory, longer lifespan and enhanced capabilities. Such product advancements are supporting the increased adoption of RFID tags in various applications.
Porter’s Analysis
Threat of new entrants: Low barriers to entry due to rising demand and evolving RFID technologies. However, established players hold strong market share and brand recognition giving them an advantage.
Bargaining power of buyers: Large buyers such as retailers wield significant influence over prices and can demand customized solutions. However, need for compliance and data accuracy limits bargaining power.
Bargaining power of suppliers: A few major players supply RFID chips and components globally. However, easy availability of raw materials and presence of local suppliers balances supplier power.
Threat of new substitutes: Alternatives like barcodes offer lower costs but lack performance. RFID provides real-time tracking and supply chain visibility that substitutes cannot match.
Competitive rivalry: Intense competition among major players to gain market share and expand their product portfolios. Companies compete on technologies, service quality, and price.
Key Takeaways
The U.S. RFID Tags Market Size is expected to witness high growth over the forecast period. The retail sector accounts for the largest share of the market due to rising adoption of RFID tags for inventory management and supply chain visibility. Mandates by the FDA and other regulations are also driving increased RFID deployment across industries. The global U.S. RFID Tags Market is estimated to be valued at US$ 887.15 Mn in 2023 and is expected to exhibit a CAGR of 9.1% over the forecast period 2023 to 2030.
Regional analysis: The Midwest region holds the largest share due to presence of major retailers and manufacturing enterprises. States like Illinois, Ohio and Michigan are major markets. The Western U.S is also a fast growing region supported by ports, logistics hubs and technology companies driving innovation. Retailers on the West Coast are early adopters of advanced RFID use cases.
Key players: Key players operating in the U.S. RFID Tags market are RF Code Inc., HID The U.S. Corporation, AMS AG, Omni- ID Ltd., Impinj Inc., NXP Semiconductors N.V. RF Code and Impinj lead the market, providing a wide selection of passive and active tags. They are focusing on the retail and healthcare sectors and introducing new technologies like chipless tags and AI-enabled solutions.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
