The market for biometric POS terminals is expected to expand considerably, with an industry size of USD 11.1 billion in 2025 and an expected value of USD 36.8 billion by 2035. This growth is fueled by a CAGR of 12.7% between 2025 and 2035, indicating the growing use of biometric authentication in retail and financial transactions.
Sales are driven primarily by increasing security needs and smooth transactions. Biometric terminals provide increased security through the elimination of fraud threats posed by shared PINs and passwords.
Biometric technology, including fingerprint scanning and facial recognition, is being increasingly used in retail, banking, and hospitality industries because it enables faster processing of transactions and improved customer convenience. Other factors driving growth include government policy initiatives to use digital payment systems.
Nonetheless, there are some drawbacks, such as the high cost of implementation and privacy issues with the storage of biometric information. Most firms, especially small and medium-sized ones, are slow to implement these systems because of the initial hardware and software integration cost.
Apart from that, data privacy laws and potential data breaches pose threats that may slow industry growth. These are countered with strong encryption technologies and compliance with cross-border data privacy laws.
The opportunities for biometric POS terminals keep increasing with advancements in AI-based authentication technologies. The adoption of multimodal biometrics that utilizes more than one mode of authentication will ensure higher security and dependability.
The rise in demand for cloud-based biometric solutions also offers companies cost-effectiveness and scalability, enabling broader adoption across industries. Industries in Asia-Pacific and Latin America provide attractive prospects as digital payment infrastructures grow in these areas.
Main industry trends involve the increasing uptake of contactless biometric technologies as a response to increased demand for touchless and hygienic transactions. Also evident is increasing collaboration between banks and other financial institutions with biometric technology providers to ensure greater innovation and mass installations.
Mobile-based biometric POS authentication expansion is also revolutionizing payment experiences, allowing for effortless transactions between platforms. With increasing consumer needs for secure and easy payment modes, the biometric POS terminal market is also set to experience significant enhancements.
Market Metrics
| Metric | Value |
|---|---|
| Industry Size (2025E) | USD 11.1 billion |
| Industry Value (2035F) | USD 36.8 billion |
| CAGR (2025 to 2035) | 12.7% |
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The biometric POS (Point-of-Sale) Terminals Market is witnessing rapid growth owing to the growing demand for secure, frictionless, and contactless payment solutions. Retail and BFSI (Banking, Financial Services, and Insurance) industries are the key drivers, embedding fingerprint and facial recognition technologies to improve payment authentication and eliminate risks of fraud.
The healthcare and hospitality sectors are embracing biometric POS terminals to automate check-ins, improve customer satisfaction, and facilitate secure patient billing. Biometric POS is being implemented in transport by integrating it into ticketing and payment systems for public transport, offering a hassle-free traveling experience. Government agencies are also utilizing biometric POS for identity verification and welfare subsidy schemes.
Among its key buying influences are multimodal biometric identification (fingerprint, facial, iris), conformance to data protection laws (GDPR, PCI DSS), integration into existing POS architecture, and artificial intelligence-driven anti-fraud measures. With growing AI and ML accuracy and responsiveness in biometrics, the industry is poised for broader application across high-security and high-traffic transactional landscapes.
During 2020 to 2024, the industry grew at a high rate, based on the increasing need for secure and contactless payments and fraud security in the retail and financial segments. Ingenico, NEC Corporation, Fujitsu, and Suprema developed fingerprint, facial recognition, and palm vein-based verification POS terminals for more secure payments.
The COVID-19 pandemic triggered increased adoption of contactless and biometric payments, lowering the usage of PIN and physical cards. Retailers and banks employed biometric authentication to combat identity theft and regulatory compliance.
The high cost of installation, privacy issues, and incompatibility with existing payment infrastructure were the off-putting factors. Apart from these restraints, there was a mass deployment in retail, banking, and hotel sectors where secure and tamper-evident transactions were essential.
From 2025 to 2035, there will be a revolution through AI-driven multimodal biometrics, blockchain-supported transaction security, and sophisticated encryption technologies. Utilization of iris and behavioral biometrics will even enhance the level of accuracy of authentication, reducing spoofing attacks.
AI-powered fraud detection tools will offer instant risk assessment to avert illegal access and malicious transactions. With biometric PoS and decentralized digital identities combined, physical cards will no longer be required. The payment platform will be end-to-end digital and secure.
Improvements in 5G and edge computing will allow for super-fast processing of biometric transactions, with near-zero latency and a better user experience. By 2035, biometric PoS solutions will be deeply embedded in smart city payment ecosystems, AI-based retail analytics, and decentralized finance (DeFi) platforms, changing the face of transactions around the world.
Comparative Market Shift Analysis from 2020 to 2024 vs. 2025 to 2035
| 2020 to 2024 | 2025 to 2035 |
|---|---|
| Need for safe, contactless transactions and anti-fraud. Higher uptake caused by COVID-19 and compliance. | Artificial intelligence-powered multimodal biometrics and blockchain-secured safe transactions. Expansion of decentralized digital identity solutions. |
| Fingerprint, facial, and palm vein authentication. Comb ination with legacy POS terminals for better security. | Iris and behavioral biometrics with AI-powered fraud prevention. Decentralized identity proofing eradicates physical cards. |
| Expensive deployment, concerns over data privacy, and backward compatibility with existing systems. Distrust in biometric data storage for security reasons. | Guaranteeing smooth global take-up and regulatory acceptance. Counteracting potential security risks from cyberattacks in AI-based biometric payments. |
| Switch from PIN payments to biometric verification. Retail, banking, and hospitality sector expansion. | All-digital, biometric-secured payment environments with blockchain. Smart city, AI-retail, and DeFi platform expansion. |
| Retailers, banks, and hospitality industries are embracing biometric PoS for fraud prevention and compliance. Sluggish uptake owing to privacy concerns. | Widespread adoption in smart infrastructure and AI-powered digital finance. Biometric authentication is the dominant form of transaction security. |
The biometric POS terminals industry is prone to the threat of cyber-attacks because of the high sensitivity of biometric information. The result of a security violation would be identity theft and financial crime, damaging trust among customers. Firms have to incur the expense of advanced encryption, multi-factor authentication, and secure cloud storage to protect biometric information against cyber threats.
Compliance risks represent another large concern. Each geographical location has specific requirements for storing and processing biometric information, such as GDPR for the EU and CCPA for California. A non-compliant setup will expose an entity to judicial consequences and limitations on access to the industry. Companies need to adopt effective compliance programs and regular auditing to remain attuned to such dynamics.
The cost of biometric POS adoption is comparatively high. Small retailers may not be able to invest in hardware upgrades, software integration, and upkeep costs. Providing scalable solutions, flexible financing plans, and subscription models can drive more adoption based on varying business sizes. User adoption and trust concerns can further affect the marketplace. Users are unwilling to provide fingerprints, face, or iris scans as they prioritize privacy.
Consumer education, transparency of data, and opt-in authentication choices allow for trust and higher adoption. System reliability and performance threats are severe, as biometric authentication must work in a broad set of conditions and be fast and precise. False rejection or acceptance due to insufficient lighting, skin quality or type, or sensor malfunction will affect the user experience.
| Country | CAGR (%) |
|---|---|
| USA | 13.2% |
| UK | 11.5% |
| France | 10.8% |
| Germany | 12.0% |
| Italy | 9.5% |
| South Korea | 14.0% |
| Japan | 13.0% |
| China | 15.5% |
| Australia | 10.2% |
| New Zealand | 9.8% |
The USA will grow at a robust CAGR of 13.2% over the 2025 to 2035 period. Strong use of digital payment tools and rigorous regulatory adherence to secure financial dealings are the prime reasons for growth. Increased use of biometric authentication solutions by retail, hotel, and economic sectors further drives growth.
Major banking organizations are investing gigantic amounts in biometric security to combat fraud, positioning America as the largest contributor in the global marketplace.
The UK is expected to grow at a CAGR of 11.5% during the forecast period. The industry is supported by the country's faster movement toward a cashless economy and stringent cybersecurity laws.
The UK retail and banking industries are at the forefront of the implementation of biometric technology, with security and convenience for the customers being of prime concern. In addition, growing contactless payment requirements and the rise of fintech companies employing biometric verification are propelling growth.
France is expected to expand at a CAGR of 10.8% in the years 2025 to 2035. The robust banking system in France and increasing focus on secure transactions have led to a steady rise in biometric payment solutions. Increased government efforts towards digital identity verification and financial security regulations further help in the expansion.
Retailers and service providers are increasingly embracing fingerprint and face-recognition-based PoS terminals to enhance transaction security and reduce fraud.
Germany is anticipated to witness a CAGR of 12.0% during 2025 to 2035. Germany's strong banking infrastructure, complemented by greater emphasis on data protection and cybersecurity regulations, is fueling growth.
Greater uptake of biometric authentication among German retail and banking companies to improve user experience and secure transactions is driving growth. Apart from that, the rise in the number of fintech companies and the focus that they are giving on alternative payment methods is fueling the sales.
Italy is likely to grow at a CAGR of 9.5% in the forecast period. While in the past lagging other European countries in embracing digital payment technology, the recent past has witnessed movement toward the application of biometric authentication across the retail and banking sectors.
Government campaigns aimed at stimulating digital payments and financial fraud prevention are also driving adoption. Increasing consumer and merchant awareness of biometric security features is also significantly driving growth.
South Korea is projected to experience significant growth with a CAGR of 14.0% between 2025 and 2035. The country's strong technology infrastructure and high penetration of smartphones have facilitated the broad acceptance of biometric payment systems.
South Korean banks and retailers are making heavy investments in facial recognition and fingerprint-based PoS systems to enhance the security and efficiency of transactions. Government support for smart city initiatives and digital transformation plans is also fueling growth.
Japan is also expected to grow at a CAGR of 13.0% over the forecast period. The country has been at the forefront of technology advancements in the past, and its banking industry is also rapidly adopting biometric verification to improve transaction security further.
The growth of online shopping, in combination with enhanced consumer demand for cashless payments, is stimulating the demand for biometric PoS terminals. Japan's growing population of aged people is also helping to bring about the adoption of fingerprint and facial recognition solutions for convenient and secure transactions.
China is expected to witness the strongest growth, with a 15.5% CAGR over the 2025 to 2035 forecast period. The country's intense focus on electronic payments, as well as government-backed initiatives to enhance economic security, is propelling the industry to accelerate at a lightning-fast rate.
Top-tier Chinese tech companies and banks are making huge investments in biometric payment solutions, particularly facial recognition-driven technology. The explosive surge in mobile payment platforms and QR code-based transactions is also fuelling the need for biometric authentication in PoS terminals.
Australia is anticipated to register a CAGR of 10.2% during the forecast period. The increasing reliance on contactless payments and digital transactions in Australia is driving the demand for biometric authentication in PoS terminals. Financial institutions and retailers in Australia are implementing fingerprint and facial recognition technologies to enhance payment security. Governmental initiatives to strengthen data privacy and economic security are also driving the growth.
New Zealand is anticipated to grow at a 9.8% CAGR from 2025 to 2035. Although the country has a smaller industry size compared to other countries, higher acceptance of cashless payment methods is fueling demand for biometric authentication.
Banks and retailers are gradually installing biometric PoS terminals for enhanced security and convenience. Government policy facilitating electronic transactions, as well as cyber security, is another key driver of growth.
By 2025, fingerprint scanner technology will dominate the industry, accounting for 69% of the share; palm vein scanner technology will follow with 31%.
Fingerprint scanner-based POS terminals provide a secure and contactless payment system and have gained significant traction in sectors such as retail, banking, and hospitality, becoming the leading choice for POS terminals. Ingenico, Verifone, and PAX Technology are some of the companies that are developing biometric security solutions in POS systems to increase security, prevent fraud, and allow smooth transactions.
Fingerprint scanning is preferred as a biometric method because it is much more accurate, has a relatively good price-performance ratio, and has fast identification speed, making it ideal for very high-volume retail centers. Furthermore, the government's initiative to promote the use of biometrics in payment systems using Aadhaar in countries like India and China is among the many factors contributing to the growth.
On the contrary, palm vein scanner technology accounts for a share of 31%, whereby most of the applications are found in high-security environments such as hospitals, banks, and enterprise transactions. The big names in this technology, therefore, include Fujitsu, Hitachi, and NEC Corporation, as they have made palm vein authentication the most promising. This is useful for industries where fingerprints may not be effective due to high exposure to dirt, grease, or moisture.
Thus, in 2025, fingerprint scanner technology will hold an estimated 69% share of the Biometric POS Terminals Market, while palm-vein scanner technology will hold the remaining 31%.
Fingerprint scanner-based POS terminals are fast becoming the preferred payment mode across sectors like retail, banking, and hospitality, and these terminals offer an entirely secure and contactless payment mechanism. Biometric-based authentication for POS terminals means new avenues of increase in the security landscape, fraud reduction, and transaction comfort for Ingenico, Verifone, PAX Technology, etc.
Just like in criminal investigation and forensic applications, fingerprint scanning is the most common biometric modality suggested and used because of its accurate match rate, relative performance price, and rapid identification speed, which is suitable for high-volume retail setups. Growth is also being fueled by government initiatives to increase biometric payment options in India (Aadhaar-based payments) and China.
On the contrary, palm vein scanner technology is emerging, currently holding a 31% share, mainly in high-security environments such as healthcare, banking, and enterprise transactions.
Companies like Fujitsu, Hitachi, and NEC Corporation are leading the way in the development of contactless palm vein authentication systems, deemed to be even more secure and hygienic than fingerprint scanners. This kind of implementation is useful in industries where fingerprints may not be reliable because of excessive dirt, grease, or moisture exposure.
With the boost of innovations in artificial intelligence related to fraud detection, contactless authentication, and so forth, its power to enable a safe, speedy, and dependable biometric payment experience is facilitating digital payments around the world, and the movement is further galvanizing.
The biometric PoS terminal market is on the verge of rapid evolution owing to the ever-growing demand for secure, seamless, and cashless transactions. Ludors increase biometric-based authentications, including fingerprint scanning, facial recognition, and iris recognition, reactively to ever-present concerns surrounding frauds, compliance-related industry regulations, and largely improving user experience.
Retail, hospitality, banking, and healthcare industries are implementing biometric PoS solutions to make transactions secure and reduce reliance on PINs or passwords.
The competitive landscape of the biometric PoS terminals market, on the one hand, is being developed by leaders in payment technologies, their counterpart manufacturers of biometric sensors, and fintech companies.
On the other hand, the major players such as IDEMIA, Ingenico, and NEC Corporation are very much in the act with their own AI-integrated biometrically enabled payment terminals, and numerous disruptive fintech startups and local players are offering cheap smartphone-based biometric payment solutions.
Current industry trends include an increased use of AI for fraud detection, the rise of contactless biometric authentication, and the implementation of biometric PoS solutions in developing regions where mobile-first payment ecosystems are expanding. Increasingly stringent data privacy regulations will put compliance with such standards as GDPR, PSD2, and PCI DSS into the harbors of critical differentiation for the vendors.
Market Share Analysis by Company
| Company Name | Estimated Market Share (%) |
|---|---|
| IDEMIA | 20-25% |
| Ingenico (Worldline) | 18-22% |
| NEC Corporation | 15-18% |
| Fujitsu Ltd. | 10-14% |
| Suprema Inc. | 8-12% |
| Other Players (Combined) | 15-20% |
| Company Name | Key Offerings & Market Focus |
|---|---|
| IDEMIA | Leading provider of biometric payment cards, facial recognition PoS, and secure authentication solutions for financial services and retail sectors. |
| Ingenico (Worldline) | Focuses on integrated biometric payment terminals with fingerprint scanning and AI-driven fraud detection. Strong presence in Europe and North America. |
| NEC Corporation | It specializes in facial recognition-based PoS solutions and is widely adopted in smart retail, transportation, and banking. |
| Fujitsu Ltd. | Develops palm vein authentication technology for secure payments and ATM transactions, gaining traction in Asia-Pacif ic markets. |
| Suprema Inc. | A key player in biometric security solutions, offering fingerprint-based PoS authentication for payment terminals and access control systems. |
Key Company Insights
IDEMIA (20-25%)
As a key leader, IDEMIA provides biometric payment cards, facial recognition, and fingerprint-based authentication solutions. The company is expanding its partnerships with banks and fintech firms to promote contactless biometric payments, particularly in Europe and North America.
Ingenico (Worldline) (18-22%)
Ingenico, now part of Worldline, is a leading provider of biometric PoS terminals with integrated AI security features. Its latest solutions support fingerprint authentication for in-store and mobile payment applications, addressing fraud prevention and compliance with PSD2 regulations.
NEC Corporation (15-18%)
NEC is a pioneer in facial recognition payment technology, with deployments in self-checkout systems, smart vending machines, and transit-based payments. Its biometric PoS solutions are widely adopted in Japan and the USA.
Fujitsu Ltd. (10-14%)
Fujitsu focuses on palm vein authentication for payment terminals and ATMs, gaining momentum in cashless payment ecosystems in Asia-Pacific. Its technology is recognized for high accuracy and contactless operation, making it a strong alternative to fingerprint scanning.
Suprema Inc. (8-12%)
Suprema specializes in fingerprint authentication for payment terminals and access control. The company is expanding in Latin America, the Middle East, and Asiaby offering affordable biometric PoS solutions for small businesses and merchants.
Other Key Players (15-20% Combined)
The market is expected to reach USD 11.1 billion in 2025.
The market is projected to grow to USD 36.8 billion by 2035.
China is expected to experience significant growth, with a CAGR of 15.5% during the forecast period.
The Fingerprint Scanner Technology segment is one of the most popular categories.
Leading companies include IDEMIA, Ingenico (Worldline), NEC Corporation, Fujitsu Ltd., Suprema Inc., Verifone, PAX Technology, Fingerprint Cards AB, Zwipe, and Thales Group.
The segmentation is into Fingerprint Scanners and Palm Vein Scanners.
The segmentation is into Restaurants, Retail, Logistics, Medical & Healthcare, Financial Services, and Others.
The report covers North America, Latin America, Western Europe, Eastern Europe, South Asia & Pacific, East Asia, and the Middle East & Africa.
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Biometric PoS Terminals Market
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