FAIRFAX, VA – Oct. 25, 2018 – According to the new 2018 Market Opportunity Analysis Report (MOAR) focused on transportation, produced by the Audiovisual and Integrated Experience Association (AVIXA™), the majority of transportation companies with capital improvement plans will increase their spending over the coming years.
FAIRFAX, VA – Oct. 25, 2018 – According to the new 2018 Market Opportunity Analysis Report (MOAR) focused on transportation, produced by the Audiovisual and Integrated Experience Association (AVIXA™), the majority of transportation companies with capital improvement plans will increase their spending over the coming years. In line with construction data, transportation decision makers estimate 4.6 percent of their spending will go toward audiovisual (AV) solutions. The new report reveals that transportation companies are motivated to invest in AV technologies to improve efficiency and the overall travel experience.
MOAR: Transportation explores the perceptions of travelers to understand their needs while navigating a transportation hub and the role technology plays in enhancing their experience. The report also examines the viewpoint of the purchasers of AV solutions at transportation hubs and companies, as well as the pro-AV systems integrators that work in the market.
“The transportation market is a large contributor to the U.S. economy and workforce,” said Sean Wargo, Senior Director of Market Intelligence, AVIXA. “In 2017, domestic and international travelers spent $192 billion on mass transportation in the United States, according to the U.S. Travel Association. Air and rail travel continue to grow as consumers shift their spending from things to experiences. Overall, people are using more of their income to travel, and transportation companies plan to invest in facility renovations to increase both efficiency and customer satisfaction. In addition, technology upgrades will also serve to boost ancillary revenue streams.”
Transportation companies are experimenting with a variety of technological advances to improve overall operations. Better sharing of information across systems, more reliable Wi-Fi, larger video displays, directional audio, specialty kiosks that provide personalized communication, subliminal wayfinding by using color, and facial recognition are examples of the various technologies being applied.
According to MOAR: Transportation, travelers rely on public address announcements and digital signage the most for information pertaining to their trip and depend on wayfinding systems to help them traverse a space. Customer satisfaction with audio systems they encounter during their journey is low in comparison to the importance placed on audio systems. Travelers also want to stay connected digitally through on-demand audio and video content, videowalls, and interactive touch displays ― technologies with endless possibilities for customer engagement and brand advertising. As technology evolves and is adopted into day-to-day life, consumers want to take it with them throughout their trip.
Both transportation customers and providers of AV solutions agree one of the biggest challenges faced by transportation companies is the interoperability of AV and existing infrastructure. With space and budgetary restrictions, being able to work within the current layout is a major concern for many transportation hubs. Most transportation services are open 24/7, which means transportation companies need an AV partner who can minimize the installation downtime to ensure that systems operate smoothly with as little disruption to the flow of traffic as possible.
AV companies report they do a moderate amount of business within the transportation industry, mainly working with airports. They also work with subway terminals and railroad train stations, but to a much lesser degree. There are many strong partnerships, and slightly more transportation customers choose to work with an existing vendor, but nearly half still utilize competitive RFPs and are open to new suppliers. Over half of suppliers currently working with transportation companies anticipate their transportation revenue will increase, and nearly two-thirds of those not working with the transportation industry expect to do so within the next three years.
MOAR: Transportation is the fourth in a series of 2018 vertical market studies, with forthcoming reports on sports venues and education. The hospitality, retail and corporate reports were published earlier this year. The transportation report is available for purchase at avixa.org/transportation. AVIXA members are eligible for discounts.
About AVIXA
AVIXA™ is the Audiovisual and Integrated Experience Association, producer of InfoComm trade shows around the world, co-owner of Integrated Systems Europe, and the international trade association representing the audiovisual industry. Established in 1939, AVIXA has more than 5,400 members, including manufacturers, systems integrators, dealers and distributors, consultants, programmers, live events companies, technology managers, content producers, and multimedia professionals from more than 80 countries. AVIXA members create integrated AV experiences that deliver outcomes for end users. AVIXA is a hub for professional collaboration, information, and community, and the leading resource for AV standards, certification, training, market intelligence and thought leadership. Additional information is available at avixa.org.