Although still in its infancy stage, the Asia Pacific active tags market holds considerable potential for growth. As this technology provides a platform toward seamless visibility of resources across the enterprise, more and more end users are beginning to adopt active tag technology in order to improve overall efficiency and increase overall security and safety of resources.
New analysis from Frost & Sullivan (automaticidentificationandsecurity.frost.com), Asia Pacific Active Tags Market, finds that the market earned revenues of over $23.1 million in 2006 and estimates this to reach over $906.0 million in 2013.
Some of the verticals seeing active deployments include healthcare, manufacturing and logistics, transportation, and emerging markets such as personnel tracking and measurement of various environmental elements such as temperature and humidity.
"Active RFID systems are drawing greater interest from end-users due to their ability to provide greater visibility in location tracking compared to other existing methods," notes Frost & Sullivan Research Associate Richard Sebastian. "Enterprises are increasingly beginning to realize that better resource management, which may include tracking of raw materials, work in progress (WIP), high valued assets or personnel is the key to greater efficiency and active tag technology is just the means toward achieving this."
Moreover, the adoption of active RFID, especially in closed loop systems, has shown a relatively quick realization of ROI for potential adopters, when compared to passive-based systems. While some end users begin to reap the ROI from six months onwards, most adopters begin seeing the ROI 12 to 24 months post deployment.
Governments acrss the Asia Pacific are also playing an important role in ensuring stronger adoption of active tag technology and considering the number of high-valued mobile assets under the various ministries, this sector holds lucratve opportunites for market participants.
However, the high cost of these systems remains a major barrier to their greater adoption, especially among the small and medium enterprises (SMEs).
"In addition to the price of readers and installation of additional access points, enterprises will also need to consider other expenditure such as software, system integration, and business process reengineering (BPR) costs," says Sebastian. "Furthermore, enterprises are most likely to need upgrading of the networks and storage to cope with the volume of data captured by the RFID system."
Going forward, the overall cost of RFID solutions are likely to drop at a rate of 5 to 20 percent annually, but it may still be a while before end users, especially from the SME category, are able to afford this technology. In the mean time, active RFID vendors including tag manufacturers could form strategic partnerships with financial institutions and government ministries to provide some form of financial assistance to enterprises keen on embarking on this technology.
If you are interested in a virtual brochure, which provides manufacturers, end users, and other industry participants with an overview of the Asia Pacific Active Tags Market, then send an email to Donna Jeremiah, Corporate Communications, at djeremiah[.]frost.com, with your full name, company name, title, telephone number, fax number, and email address. Upon receipt of the above information, an overview will be sent to you by email.
Asia Pacific Active Tags Market, is part of the Automatic Identification & Security Growth Partnership Service program, which also includes research in the following markets: RFID and Security. All research services included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants. Interviews with the press are available.
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