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Data Center RFID Market Share

ID: MRFR//6653-HCR | 111 Pages | Author: Aarti Dhapte| April 2024

Market share positioning strategies in the Data Center RFID market involve various approaches aimed at establishing a strong presence and capturing a significant portion of the market. One fundamental strategy is differentiation, where companies focus on offering unique features or services that set them apart from competitors. This could include advanced RFID technologies tailored specifically for data center environments, such as enhanced security features, higher read accuracy, or better integration capabilities with existing systems. By differentiating their offerings, companies can attract customers looking for specialized solutions and establish themselves as leaders in the market segment.

Another key strategy is targeting specific market segments or niches within the Data Center RFID market. Rather than trying to appeal to the entire market, companies may choose to focus on particular industry verticals or types of data centers where their solutions can provide the most value. For example, a company might target financial institutions or healthcare organizations with compliance-driven RFID solutions designed to meet industry regulations. By concentrating their efforts on these segments, companies can better tailor their marketing messages and product features to meet the unique needs of customers, increasing their chances of success.

Additionally, companies may pursue a strategy of geographic expansion to increase their market share. This could involve entering new regions or countries where demand for Data Center RFID solutions is growing or where competition is less intense. By expanding their presence geographically, companies can tap into new customer bases and revenue streams, spreading their risk across multiple markets. However, this strategy requires careful planning and investment in local sales and support infrastructure to ensure success in unfamiliar territories.

Collaboration and partnerships can also play a crucial role in market share positioning strategies for Data Center RFID companies. By forming alliances with complementary technology providers or strategic partners, companies can leverage each other's strengths to create more comprehensive solutions and reach a broader customer base. For example, a Data Center RFID provider might partner with a leading hardware manufacturer to bundle their RFID technology with servers or networking equipment, offering customers a seamless integrated solution. Collaborations like these can help companies differentiate themselves in the market and win business from competitors.

Furthermore, pricing and value proposition are essential considerations in market share positioning. Companies must strike a balance between offering competitive pricing to attract customers while still delivering sufficient value to maintain profitability. This may involve implementing tiered pricing models based on the level of functionality or support offered, allowing customers to choose the option that best fits their needs and budget. Additionally, companies can create value-added services or support packages to differentiate their offerings and justify higher price points. By carefully managing pricing and value, companies can position themselves effectively in the market and capture market share from competitors.

Lastly, continuous innovation is critical for maintaining and expanding market share in the Data Center RFID market. Technology is constantly evolving, and companies must stay ahead of the curve by investing in research and development to improve their products and services continually. This could involve developing new RFID technologies with enhanced performance or introducing innovative features that address emerging customer needs. By staying innovative, companies can attract customers looking for cutting-edge solutions and solidify their position as market leaders in the Data Center RFID space.

Data Center RFID Market Synopsis

The data center RFID market is estimated to reach USD 9.2 billion by 2030, registering a CAGR of 27.50% during the forecast period of 2022–2030.

The growing amount of information and data from mobile devices, the Internet, and IoT devices increases the requirement of storage systems and data centers. Presently there are various data centers which are being operated and more to be developed in near future; this is due to increasing volume of information and data such as images, text, company assets files, and confidential documents, among others. RFID systems are used to manage various assets of data centers such as routers, servers, tape media, and related IT assets. Data center RFID is used to reduce the human efforts as it takes a lot of time for tracking the assets manually. Additionally, RFID also reduces the errors during the operations process such as identification of assets, locating and tracking. The increasing demand for data centers is a major factor driving the growth of the global data center RFID market. Moreover, data centers face several issues during failure that leads to the high losses that may cost approximately USD 93/second during the downtime of the data center. Therefore, to reduce these types of losses, data center RFID is used that reduces the downtime by locating the damaged part or system in the data center.

Data Center RFID Market Segmentation

By data center type, the data center RFID market has been segmented into enterprise data center, mid-sized data center, and large data center.

By solutions, the market has been segmented into readers, tags, antennas, software, and others.

By services, the data center RFID market has been segmented into professional services and integration services.

By vertical, the data center RFID market has been segmented into BFSI, government & defense, IT & telecom, healthcare, retail, and others.

By region, the market has been segmented into North America, Europe, Asia-Pacific, and the rest of the world.

Data Center RFID Market Regional Analysis

The global data center RFID market is estimated to grow at a significant rate during the forecast period from 2019 to 2024. The geographical analysis of data center RFID has been conducted for North America (the US, Canada, and Mexico), Europe (the UK, Germany, France, Spain, Italy, and the rest of Europe), Asia-Pacific (China, Japan, India, Singapore, and the rest of Asia-Pacific), and the rest of the world (the Middle East and Africa and South America).

North America held the largest market share in 2018 due to the presence of various key vendors such as Cisco System, Inc., Hewlett-Packard Inc., EMC Corporation, CyrusOne that deal in data centers. Moreover, the early adoption of data centers and data center RFID is a major factor driving the growth of the market in the region. Moreover, the increasing volumes of data generated from various industries, social networking platforms, and enterprises, among others in the region is a major factor for driving the data center market, which eventually drives the global data center RFID market.

Asia-Pacific is expected to be the fastest growing regional market during the forecast period;  the rapid adoption of new technology and digitalization in the region are boosting the demand for data centers, leading to the growth of the regional market. Additionally, the increasing number of users of social media platforms and large volumes of data generated by enterprises, especially in the BFSI industry vertical—which requires a secure storage system—are some of the factors driving market growth. In the coming years, the number of data centers is expected to increase significantly; therefore, to manage the assets of the data center, RFID is also required, which will drive the market in the region.

Data Center RFID Market Key players

MRFR recognizes the key players in the global data center RFID market as:

  • HP Inc. (US)

  • IBM Corporation (US)

  • Avery Dennison Corporation (US)

  • Impinj, Inc.(US)

  • RF Code Inc. (US)

  • Omni-ID, Ltd.(US)

  • Zebra Technologies Corporation (US)

  • Alien Technology Corporation(US)

  • Invengo Information Technology Co. (China) Ltd

  • GAO RFID Inc. (Canada)

The prominent players keep innovating and investing in research and development to present a cost-effective product portfolio. There has been recent mergers and acquisitions among the key players, a strategy the business entities leverage to strengthen their reach to the customers.

Intended Audience

  • BFSI

  • Application Developers

  • Investors and consultants

  • System Integrators

  • Government Organizations

  • Research/Consultancy firms

  • Technology solution providers

  • IT Solution Providers

  • Cloud Service Providers

  • Instant Messaging Vendors

  • Security Solution Providers

Data Center RFID Industry Developments

April 2023- An electronic locking swinghandle H3-EM with modular access control has been released by Southco, Inc., a leading developer of engineered access solutions.

According to the maker, the solution can be used in applications like customized data centre racks and allows manufacturers to satisfy a range of security requirements with just a single latch. Users can quickly upgrade to stronger security with the H3-EM Modular latch, according to claims that it is simple to integrate with current enclosures and security systems.

The H3-EM Modular, according to Southco, includes a number of access control choices, including RFID readers that can be flexibly integrated and interchanged to fulfill any security requirements. To ensure that mounting screws cannot be accessed when the door is closed, these devices are installed separately and secured from at the rear of the door panel.

The H3-EM modular latch can replace the existing lock easily for individuals seeking to upgrade, the business adds. The device, according to Southco, has the equivalent single hole mounting method as a conventional H3 swing handle latch, allowing dealers to swap out the old latches without having to replace the whole door.

Additionally, Southco highlights how its most recent innovation enables original equipment manufacturers (OEMs) to simply satisfy any customer's security requirements by utilizing just the Modular Electronic Locking swing handle, H3-EM.

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