Facial recognition refers to a biometric security system that is based upon identifying a person from a digital image or video frame. Unlike the conventional security systems such as fingerprints and iris recognition, facial recognition system works on the facial features of human beings. The facial recognition technology conducts identification based on various facial features such as cheek bones, distance between eyes, and eye-brows. This technology does not require any physical contact of the subject for identification. Additionally, the facial recognition technology can be deployed in the existing surveillance systems. Thus, it can be used in public places for monitoring and identification purposes.

The most significant factor fueling the facial recognition market growth is the rising expenditure over surveillance systems worldwide. Due to rising terror threats, surveillance systems are mandatorily installed at public places. These facial recognition systems are deployed in combination with the surveillance systems. Thus, rising expenditure over security and surveillance systems is expected to boost the facial recognition market in the coming years. Nevertheless, the facial recognition systems market is majorly hindered due to privacy concerns such as misuse of personal information and data cloning. Also, these systems are less accurate and reliable as compared to the fingerprint and iris recognition. Nevertheless, with ongoing advancements in the facial recognition algorithms, the market is expected to witness significant growth in the coming years.

The report titled “Global Facial Recognition Market- Growth, Share, Opportunities and Competitive Analysis, 2015 – 2023” offers strategic insights into the global facial recognition market along with the market size and estimates for the duration 2013 to 2023. The said research study covers in-depth analysis of multiple market segments based on types, end-users and cross-sectional study across different geographies. The study covers the comparative analysis of different segments for the years 2014 & 2023. The report also provides a prolific view on market dynamics such as market drivers, restraints and opportunities.

In order to help strategic decision makers, the report also includes competitive profiling of the leading facial recognition system vendors, their SCOT (Strength, Challenges, Opportunities and Weaknesses) analysis, market positioning and key developments. Some of the major players profiled in the report are NEC Corporation, Cognitec Systems Pty Ltd., Morpho S.A.S. (Safran Group), Aware, Inc., Ayonix, Inc., Cross Match Technologies, Inc., Animetrics, Inc., FaceFirst, Inc. (Airborne Biometrics Group Inc.), ZK Software, Inc., 3M Cogent, Inc., Aurora Computer Services Ltd. and others. Other in-depth analysis provided in the report includes:

• Current and future market trends to justify the forthcoming attractive markets within the security systems industry
• Market fuelers, market impediments, and their impact on the market growth
• In-depth competitive environment analysis
• Trailing 2-Year market size data (2013 – 2014)
• SRC (Segment-Region-Country) Analysis

Overall, the research study provides a holistic view of the global facial recognition systems market, offering market size and estimates for the period from 2015 to 2023, keeping in mind the above mentioned factors.

In 2014, the global facial recognition market was dominated by the 2D facial recognition solution with market share of over fifty percent of the total market revenue. The 2D facial recognition solutions are the basic type of algorithms. Since these are among the first facial recognition solutions, these solutions enjoy high adoption as compared to 3D and facial analytics solutions. Additionally, these solutions are low cost which makes them preferable over other facial recognition solutions. As a result, the 2D facial recognition segment is expected to retain its dominant position in the market throughout the forecast period.

The facial analytics segment is expected to register the highest growth rate in the market in the coming years. These solutions are majorly used across the retail industry. The prime motive behind using these solutions is to analyze the consumer behavior so as to enhance their sales strategy. The retail industry is expected to witness strong adoption of facial recognition solutions (primarily facial analytics) in the coming years. Consequently, the facial analytics segment is projected to witness high penetration rate in the coming years. The 3D facial recognition segment is estimated to witness strong growth in the coming years. This is majorly due to better accuracy and reliability offered by these solutions over 2D facial recognition.

As of 2014, the global facial recognition market was dominated by the government & defense segment. The segment comprises various government organizations and applications including homeland security, defense sector, public surveillance and others. The segment accounted for a market share, in terms of revenue, of more than forty percent of the total market. The prime function of the facial recognition system is to serve the home land security and law enforcement departments for identifying suspects.

The BFSI segment accounts for the second largest share, in terms of revenue, of the global market. BFSI are among the most vulnerable organizations for fraudulent activities. Thus, these systems are installed along with the surveillance systems in order to keep a track on the suspects.

Further, the retail industry is expected emerge as the highest growing segment in the facial recognition market. Facial recognition is used for analyzing consumer behavior. Facial analytics solutions are used in the retail industry in order to determine and analyze various consumer parameters such as the age, facial expressions and gender of the consumers. This helps the retailers targeting the consumers for marketing suitable products. As a result, the retail industry is expected to undergo strong penetration of facial recognition solutions during the forecast period. 

In 2014, the global facial recognition market was dominated by the North America region contributing to more than one third of the total market revenue. The market here is mainly backed by the government & defense segment. Due to high expenditure upon security systems in the region, the market is estimated to continue showing strong growth in the coming years.

Facial recognition solutions are already being used by the law enforcement department of the U.S. since a significant period of time. Additionally, various companies such as Facebook, Inc. and Google, Inc. are already working on facial recognition algorithms. Thus, the market here is expected to remain dominant, in terms of revenue, in the global market.

Asia Pacific is expected to emerge as the fastest growing market for facial recognition solutions during the forecast period. The growth is majorly expected from Japan, China, South Korea and India. However, the overall market growth across different geographies is hindered majorly due to privacy concerns over public use and limited accuracy of facial recognition.

Historical & Forecast Period

This study report represents analysis of each segment from 2022 to 2032 considering 2023 as the base year. Compounded Annual Growth Rate (CAGR) for each of the respective segments estimated for the forecast period of 2024 to 2032.

The current report comprises of quantitative market estimations for each micro market for every geographical region and qualitative market analysis such as micro and macro environment analysis, market trends, competitive intelligence, segment analysis, porters five force model, top winning strategies, top investment markets, emerging trends and technological analysis, case studies, strategic conclusions and recommendations and other key market insights.

Research Methodology

The complete research study was conducted in three phases, namely: secondary research, primary research, and expert panel review. key data point that enables the estimation of Facial Recognition market are as follows:

• Research and development budgets of manufacturers and government spending
• Revenues of key companies in the market segment
• Number of end users and consumption volume, price and value.
• Geographical revenues generate by countries considered in the report
• Micro and macro environment factors that are currently influencing the Facial Recognition market and their expected impact during the forecast period.

Market forecast was performed through proprietary software that analyzes various qualitative and quantitative factors. Growth rate and CAGR were estimated through intensive secondary and primary research. Data triangulation across various data points provides accuracy across various analyzed market segments in the report. Application of both top down and bottom-up approach for validation of market estimation assures logical, methodical and mathematical consistency of the quantitative data.

Key questions answered in this report

• What are the key micro and macro environmental factors that are impacting the growth of Facial Recognition market?
• What are the key investment pockets with respect to product segments and geographies currently and during the forecast period?
• Estimated forecast and market projections up to 2032.
• Which segment accounts for the fastest CAGR during the forecast period?
• Which market segment holds a larger market share and why?
• Are low and middle-income economies investing in the Facial Recognition market?
• Which is the largest regional market for Facial Recognition market?
• What are the market trends and dynamics in emerging markets such as Asia Pacific, Latin America, and Middle East & Africa?
• Which are the key trends driving Facial Recognition market growth?
• Who are the key competitors and what are their key strategies to enhance their market presence in the Facial Recognition market worldwide?