Global Electronic Toll Collection Market Insights Forecasts to 2033

• The Global Electronic Toll Collection Market Size was Valued at USD 9.78 Billion in 2023.
• The Market Size is Growing at a CAGR of 7.71% from 2023 to 2033.
• The Worldwide Electronic Toll Collection Market Size is expected to reach USD 20.56 Billion by 2033.
• Asia Pacific is expected to grow the fastest during the forecast period.

The Global Electronic Toll Collection Market Size is expected to reach USD 20.56 Billion by 2033, at a CAGR of 7.71% during the forecast period 2023 to 2033.

Drivers do not need to stop or take any action to enable users of electronic toll collection (ETC) systems to be charged. Without requiring cars to stop, the system debits registered car owners' accounts or recognizes the license plate for future billing. ETC lanes save drivers time while increasing traffic flow efficiency and speed. The ETC system was created to electronically deduct the toll from the user's bank account. The road contractor's toll management system stores the transaction entries on its bank server. Therefore, incidents such as losing toll fee receipts can be prevented to lessen the likelihood of facing severe penalties. The RTO portal registration status of the vehicle can also be ascertained and verified by this system, which also alerts local highway police to the unlawful movement of unofficial vehicles. For instance, the NHAI is planning to implement GPS-based toll collection systems to replace existing toll plazas. Phase I testing will begin on a few selected highways, with a national rollout of the technology anticipated by March 2024. The system tracks the movements of vehicles, computes toll fees based on distance, and automatically deducts payments from associated accounts using GPS devices or ANPR cameras. In addition, increasingly, automated toll collection systems are being adopted mainly due to the growing use of cutting-edge technologies like the Internet of Things and GPS/GNS-based toll collection systems in connected vehicles. Global market demand will be driven by this growing adoption.

Report Coverage

This research report categorizes the market for global electronic toll collection market based on various segments and regions forecasts revenue growth and analyzes trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the global electronic toll collection market. Recent market developments and competitive strategies such as expansion, product launch, and development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the global electronic toll collection market.

Driving Factors

Roadway safety is improved, and the risk of accidents is decreased when vehicles that feature ETC systems can pass through toll points at highway speeds without requiring manual intervention. A report released in December 2023 by the World Health Organization (WHO) estimates that road traffic accidents claim the lives of approximately 1.2 million people annually and cost nations 3% of their GDP. This compels governments all over the world to update their transportation infrastructure, which includes putting ETC systems in place to increase traffic safety. In addition, cutting-edge technologies including RFID, IoT, and AI are being merged with ETC systems as transportation systems grow increasingly digital and networked. These developments optimize traffic flow, lower operating costs for toll operators, and provide smooth, contactless toll collection for drivers. The widespread adoption of electronic toll collection solutions is being aided by this alignment with current transportation trends, which is increasing market revenue.

Restraining Factors      

Some electronic tolling technologies utilize different systems and equipment. For instance, consumers can be connected to various computer systems, but equipment from one manufacturer cannot read RFID tags from another manufacturer. When two tags are attached to the same car, interference problems could arise. This factor hampers the growth of the market for electronic toll collection.

Market Segmentation

By Type Insights

The transponders/tag-based tolling systems segment dominates the market with the largest revenue share over the forecast period.

Based on the type, the global electronic toll collection market is segmented into transponders/tag-based tolling systems, and others. Among these, the transponders/tag-based tolling systems segment is dominating the market with the largest revenue share over the forecast period. Offering an organized and efficient tolling experience. These systems make use of RFID-equipped in-car transponders or tags, which allow for automatic toll deduction as cars pass through toll booths. Hands-free transactions are convenient for drivers, lowering traffic and increasing the overall efficiency of the road network. Because transponder-based systems are easy to use, accurate, and enable quick toll processing, they are the system of choice for both toll operators and drivers, which has led to their widespread adoption.

By Technology Insights

The RFID segment is witnessing significant CAGR growth over the forecast period.

Based on the technology, the global electronic toll collection market is segmented into RFID, DSRC, GPS/GNSS, and video analytics. Among these, the RFID segment is witnessing significant growth over the forecast period. RFID technology provides a touchless and effective method of collecting tolls, in line with the growing need for easy and touchless payment options. Since governments and toll authorities around the world are concentrating on improving road infrastructure and encouraging cashless transactions, RFID is the preferred option due to its adaptability and dependability.

By Toll Charging Insights

The distance-based dominates the market with the largest revenue share over the forecast period.

Based on toll charging, the global electronic toll collection market is segmented into distance-based, point-based, time-based, and perimeter-based. Among these, the distance-based segment is dominating the market with the largest revenue share over the forecast period. using technology to calculate tolls by a car's distance driven. By matching costs to actual road usage, this approach guarantees a more equitable and accurate toll assessment. Transportation authorities are beginning to favour distance-based tolling due to its effectiveness in reflecting the impact on infrastructure and promoting environmentally friendly travel habits. It offers a fair and transparent tolling model that appeals to drivers and toll operators alike, greatly increasing the market share overall.

By Application Insights

The urban areas segment is expected to hold the largest share of the global electronic toll collection market during the forecast period.

Based on the application, the global electronic toll collection market is classified into highways and urban areas. Among these, the urban areas segment is expected to hold the largest share of the electronic toll collection market during the forecast period. ETC reduces traffic jams, enhances traffic flow, and does away with the need to stop, especially during rush hours. Because of all these advantages, it's appealing to city officials who want to effectively manage increasing traffic volumes. Furthermore, ETC provides a flexible and scalable solution that can handle growing traffic volumes without requiring the addition of new physical infrastructure. Additionally, it makes commuting easier, which raises the standard of living in urban areas.

Regional Insights

North America dominates the market with the largest market share over the forecast period.

North America is dominating the market with the largest market share over the forecast period. The ETC, is based on cutting-edge technology, and growing funding for contemporary roads. The road and transportation industry in North America is experiencing significant expansion during the forecast period due to the swift adoption of modern technologies. Between 2000 and 2020, the United States spent more than USD 550 billion building highway networks through urbanized areas. Nonetheless, more than 100 urbanized areas have seen a rise in traffic congestion that is significantly greater than population growth.

Asia Pacific is expected to grow the fastest during the forecast period. The area is well-served by a sizable population, an extensive network of roads, and a supportive regulatory framework. The government's initiatives to introduce and promote the use of electronic toll collection systems, the region's rapid urbanization, which calls for improved road networks and infrastructure, and the high adoption rate of these systems in developing countries like South Korea, Australia, Malaysia, and India are some of the factors driving growth opportunities for the electronic toll collection market.
 

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the global electronic toll collection market along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborative analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Market Players

• Abertis
• Sanef
• Q-Free ASA
• Raytheon Company
• Siemens AG
• Neology Inc.
• Perceptics LLC
• Thales Group
• Transcore
• Atlantia S.p.A
• Conduent Inc.
• GeoToll
• International Road Dynamics Inc.
• Cubic Corporation
• Denso Corporation
• EFKON GMBH
• Kapsch TrafficCom AG
• Others

Key Market Developments

• On January 2024, The Humber Bridge Board (HBB) (UK), the organization in charge of overseeing and maintaining the bridge, and Neology have an agreement in place. The contract states that Neoloy will give the HBB roadside systems, back-office systems, website, and mobile app solutions, as well as end-to-end tolling capabilities.

• In December 2023, Kapsch TrafficCom AG was awarded a contract to provide customer service for the e-TOLL system at 100 distribution points across Poland. Numerous support services were covered by the contract, such as data registration for customers, information provision, payment acceptance, user account charging, and onboard equipment provision.

• In May 2024, The King Fahd Causeway Authority (KFCA), a government agency in charge of managing the King Fahd Causeway (a vital transportation link connecting Bahrain and Saudi Arabia), has launched new e-payment services to help travellers cross Saudi and Bahraini toll gates more efficiently.

Market Segment

This study forecasts revenue at global, regional, and country levels from 2020 to 2033. Spherical Insights has segmented the Global Electronic Toll Collection Market based on the below-mentioned segments:

Electronic Toll Collection Market, Type Analysis

• Transponders/Tag-Based Tolling Systems
• Others

Electronic Toll Collection Market, Technology Analysis

• RFID
• DSRC
• GPS/GNSS
• Video analytics

Electronic Toll Collection Market, Toll Charging Analysis

• Distance Based
• Point Based
• Time Based
• Perimeter Based

Electronic Toll Collection Market, Application Analysis

• Highways
• Urban Areas

Electronic Toll Collection Market, Regional Analysis

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • Uk
  • France
  • Italy
  • Spain
  • Russia
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Rest of Asia Pacific
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Middle East & Africa
  • UAE
  • Saudi Arabia
  • Qatar
  • South Africa
  • Rest of Middle East & Africa