Currency Sorter Market Research, 2032
The global currency sorter market was valued at $7.8 billion in 2022, and is projected to reach $18.1 billion by 2032, growing at a CAGR of 8.9% from 2023 to 2032.
A currency sorter machine is a specialized tool used by businesses and financial organizations to handle and sort paper money automatically. It makes use of cutting-edge technologies, like optical sensors and magnetic ink detection, to count, authenticate, and sort banknotes according to a variety of parameters, including denomination and fitness swiftly and precisely. Note-sorting devices increase the overall security of cash-handling procedures while also increasing operational efficiency and lowering errors. By accelerating procedures that would typically be done by hand, they serve a critical role in modernizing cash management systems and promoting efficient financial operations.
The global currency sorter market growth is influenced by several factors, including growth associated with commercial banks & retail industry, increase in demand for automated cash handling products, surge in demand for technologically advanced self-service machines, increased application areas, and inclination of consumers toward digital transaction solutions. However, rise in use of virtual money is expected to impact the currency sorter market growth. Furthermore, several governments are committed to promoting the introduction of a cashless society. Increase in adoption of smartphone applications for digital transactions hampers the market growth. However, developing economies of Asia-Pacific and LAMEA possess high potential for expansion of retail industry, which is expected to drive the growth of currency sorter market during the forecast period.
Segment Review
The currency sorter market is segmented on the basis of product type, sorter machine size, end user, and region. On the basis of product type, the market is divided into currency sorter & counter, coin sorter & counter, and currency counterfeit detector. By sorter machine size, the market is divided into small size, middle size, and large size. On the basis of end user, the market is segmented into banks & financial institutions, retailers, and others. On the basis of region, it is analyzed across North America, Europe, Asia-Pacific, Latin America, Middle East, and Africa.
By product type, the global currency sorter market share was led by the note sorter and counter segment in 2022 and is projected to maintain its dominance during the forecast period, owing to the integration of advanced sensor technologies, including infrared sensors and spectral imaging, to enhance the precision of discrimination. However, the currency counterfeit detector segment is expected to grow at the highest rate during the forecast period, owing to the integration of AI and ML algorithms into bank currency sorters, enabling them to adapt to change in patterns in currency features and counteract increasingly sophisticated counterfeiting techniques, which boosts the global currency sorter market.
Region-wise, the global currency sorter market size was dominated by North America in 2022 and is expected to retain its position during the forecast period. This is attributed to increase in preference for digital transactions, driven by the convenience and safety associated with contactless payments, which has influenced the demand for note-sorting solutions. However, Asia-Pacific is expected to witness significant growth during the forecast period, owing to increase in the adoption of digital payment methods that coexists with the demand for currency sorters, as businesses and financial institutions seek comprehensive solutions to manage both physical and digital currency sorter market.
The key players that operate in the global currency sorter market are Julong, Arihant Maxsell Technologies Private Limited, Toshiba International Corporation, Aditya Systems & Solutions, Jetex Infotech Pvt. Ltd., KISAN ELECTRONICS, Beijing Grace Ratecolor Technology Co., Ltd., Giesecke+Devrient GmbH, Godrej Group, and GRGBanking. These players have adopted various strategies to increase their market penetration and strengthen their position in the currency sorter industry.
Market Landscape and Trends
The currency sorter market is witnessing growth, driven by rise in demand for automation in financial institutions, commercial businesses, and retail environments. Currency sorters automate the process of money counter and sorter, banknote sorter, and verifying banknotes, leading to improved efficiency and accuracy in cash handling. Moreover, currency sorters are incorporating advanced technologies to enhance their capabilities, which includes the integration of image processing, magnetic ink detection, ultraviolet (UV) and infrared (IR) sensors, and other features to ensure accurate and reliable currency sorting. These technologies contribute to the prevention of counterfeit currency circulation. Furthermore, the trend of integrating currency sorters with cash recycling systems is gaining traction. This integration allows for a closed-loop cash management process, where the same banknotes sorted by the currency sorter can be used for cash withdrawals and deposits, reducing the need for manual cash handling.
Competition Analysis
Recent Partnerships in the Global Currency Sorter Market
On September 25, 2020, Giesecke+Devrient partnered with Netcetera with an aim from both companies to use synergies in companies' portfolio, and also to strengthen Netcetera innovative power and tap international growth potential.
Recent Collaboration in the Global Currency sorter Market
On October 14, 2020, Glory collaborated with Kinective to enhance their operational efficiency and security through the implementation of GLR-100 of Glory, incorporating cash recycling. This technology enhances productivity, efficiency, and job satisfaction, saving up to 50% in manual banknote counting time. This enables banks to prioritize customer service and cross-selling.
Recent acquisitions in the Global currency sorter Market
On June 14, 2022, Giesecke+Devrient (G+D) acquired payment and identity solutions business of Valid U.S. With this acquisition, G+D has accelerated growth in the U.S., one of the largest payment and identity markets across the globe. G+D customers benefited from the enlarged business size in the face of persistent industry-wide supply chain challenges.
Top Impacting Factors
Rise in Cash Transactions
The currency sorter market continues to grow as a result of increase in cash transactions, as financial institutions and enterprises look for effective ways to handle the growth in amount of actual currency. Although there is a global trend toward digital payments, cash transactions are still common in many businesses. Therefore, using innovative technologies to expedite cash handling procedures is necessary. Furthermore, t currency sorters solve the problems of manual sorting and provide improved speed, accuracy, and counterfeit detection capabilities. Businesses that deal with large amounts of cash, such as banks and retailers, understand how crucial it is to automate cash handling to boost productivity and lower the possibility of mistakes. For instance, in July 2022, The Reserve Bank of India (RBI) mandated banks to test their note sorting machines for accuracy and consistency every quarter to ensure currency notes conform to the prescribed parameters. Moreover, currency sorters contribute to better customer service by expediting transactions and minimizing wait times. Thus, rise in cash transactions has fueled the growth of the currency sorter market.
Growth in Retail and Banking Industry
Retailers dealing with diverse customer transactions benefit from currency sorters, as they streamline the cash management process, reducing manual errors and enhancing operational efficiency. Similarly, banks, at the forefront of financial transactions, require advanced technologies to cope with rise in volume of banknotes. The demand for efficient cash-handling solutions has become increasingly imperative as these sectors expand globally. Furthermore, currency sorters play a pivotal role in automating the sorting and counting of cash, ensuring accuracy and compliance with regulatory standards. The integration of note sorting systems in banking operations has not only expedited cash processing but also strengthened security measures, particularly with advanced counterfeit detection features. Thus, the growth in retail and banking industry boosts the growth of currency sorter market.
Restraints
Transition toward Cashless Transactions
Businesses and financial institutions, influenced by the convenience and speed of digital transactions, may be less inclined to invest in note sorting technology as the demand for cash-related services decreases. The use of physical currency has gradually diminished as digital payment methods continue to gain widespread acceptance. This shift challenges the traditional role of currency sorters, which are primarily designed to handle and process cash. Furthermore, decrease in reliance on cash, especially in technologically advanced regions, can result in a reduced market for currency sorters, impacting their adoption and sales. In addition, the overall trend toward a cashless society may lead to reallocation of resources and investments away from cash-handling solutions.
High Initial Costs
Businesses, especially smaller enterprises, may find the upfront investment required for advanced cash handling solutions to be prohibitive. The capital expenditure involved in purchasing currency sorters, along with potential additional costs for installation and training, is anticipated to pose a significant financial burden. This financial barrier may deter some organizations from adopting note sorting technology, particularly those operating on tight budgets. Moreover, the return on investment for currency sorters may not be immediately evident, making it challenging for businesses to justify the initial costs. The reluctance to incur substantial upfront expenses may lead some businesses to opt for traditional, albeit more labor-intensive, cash-handling methods.
Opportunities
Technological Advancements
Technological advancements serve as a significant opportunity for the currency sorter market, driving innovation and market growth. Continuous progress in note sorting technology, including improvements in speed, accuracy, and counterfeit detection capabilities, positions currency sorters as advance solutions for efficient cash handling. Enhanced features, such as advanced sensors and imaging systems, contribute to a higher level of precision in counting and sorting banknotes.
The integration of ML algorithms and AI further augments the capabilities of currency sorters, allowing them to adapt to evolving patterns in currency use and thwart sophisticated counterfeit attempts. Moreover, providing businesses with state-of-the-art equipment and in addressing emerging challenges, such as the need for multi-currency support and enhanced security features offer growth opportunities. Currency sorter manufacturers have the opportunity to create solutions that not only streamline current cash handling processes but also anticipate and meet the future demands for an ever-changing financial landscape as technology evolves. The continuous pursuit of technological excellence positions the currency sorter market to play a pivotal role in the ongoing transformation of cash management practices, offering businesses advanced tools to optimize efficiency and accuracy in handling physical currency.
Key Benefits For Stakeholders
This report provides a quantitative analysis of the market segments, current trends, estimations, and dynamics of the global currency sorter market analysis from 2023 to 2032 to identify the prevailing global currency sorter market opportunities.
The market research is offered along with information related to key drivers, restraints, and opportunities.
Porter's five forces analysis highlights the potency of buyers and suppliers to enable stakeholders make profit-oriented business decisions and strengthen their supplier-buyer network.
In-depth analysis of the global currency sorter market segmentation assists to determine the prevailing currency sorter market opportunity.
Major countries in each region are mapped according to their revenue contribution to the global currency sorter market outlook.
Market player positioning facilitates benchmarking and provides a clear understanding of the present position of the currency sorter market players.
The report includes the analysis of the regional as well as global currency sorter market trends, key players, market segments, application areas, market growth strategies, and currency sorter market forecast.
Currency Sorter Market Report Highlights
| Aspects | Details |
 Market Size By 2032 | USD 18.1 billion |
 Growth Rate | CAGR of 8.9% |
 Forecast period | 2022 - 2032 |
 Report Pages | 260 |
 By Product Type |
|
 By Sorter Machine Size |
|
 By End User |
|
 By Region |
|
 Key Market Players | kisan electronics co. ltd, Toshiba International Corporation, Julong, Godrej Group, GRGBanking, Arihant Maxsell Technologies Private Limited, Jetex Infotech Pvt. Ltd., Beijing Grace Ratecolor Technology Co., Ltd., Giesecke+Devrient GmbH, Aditya Systems & Solutions |
Analyst Review
Currency sorters form an integral part of automated cash-handling solutions. This device enables error-free cash management, which allows it to become one of the most popular industry solutions globally. Furthermore, the unprecedented growth in the banking & retail market predominantly drives the growth of the currency sorter market. Moreover, increase in need to implement advanced sorting solutions in the cash-intensive ecosystem fuels the market growth. The global currency sorter market is expected to witness significant growth in Asia-Pacific and LAMEA during the forecast period, owing to rise in demand for technologically advanced products in countries such as India, China, and Japan.
Increase in adoption of currency sorters in the retail industry due to the presence of cash-intensive environment fuels the demand for small-size currency sorters. The market is influenced by rise in demand for technologically advanced products, increase in demand for automated cash-handling products, surge in demand for technologically advanced self-service machines, and high growth potential for note sorters in commercial bank and retail industry. However, increase in penetration of digital transaction solutions limits the market growth.
India is the most attractive market in Asia-Pacific, and is estimated to increase at a significant rate, owing to surge in development across end-use sectors and increase in adoption of advanced technology to develop innovative products. For instance, according to the India Brand Equity Foundation, the retail industry in India is expected to achieve $1.6 trillion by 2026.
Key players in the currency sorter market are focused on enhancing their existing product portfolio. This is anticipated to increase product penetration and enable key providers to establish themselves in the emerging markets. In addition, initiatives by commercial banks are expected to propel the market growth. For instance, in May 2019, Siam Commercial Bank announced to implement machines that facilitate the deposition of notes into their bank accounts.
Rising demand for cash processing automation and integration of counterfeit detection are the upcoming trends of Currency Sorter Market in the world.
Cash processing automation and currency sorter & counter are the leading application of Currency Sorter Market.
North America is the largest regional market for Currency Sorter.
The global currency sorter market was valued at $ 7,828.57 million in 2022 and is estimated to reach $ 18,094.01 million by 2032, exhibiting a CAGR of 8.9% from 2023 to 2032.
The key players that operate in the global currency sorter market are Julong, Arihant Maxsell Technologies Private Limited, Toshiba International Corporation, Aditya Systems & Solutions, Jetex Infotech Pvt. Ltd., KISAN ELECTRONICS, Beijing Grace Ratecolor Technology Co., Ltd., Giesecke+Devrient GmbH, Godrej Group, and GRGBanking. These players have adopted various strategies to increase their market penetration and strengthen their position in the industry.
Loading Table Of Content...
Loading Research Methodology...
