In recent years, great emphasis has been laid on addressing the importance of road safety. The World Bank Group has championed road safety in low- and middle-income countries for more than three decades. Road safety systems and solutions are designed to prevent fatalities and serious injuries arising from accidents, and natural as well as unnatural disasters.
The road safety market has been segmented on the basis of service, solution, and geography.
On the basis of service, the market has been segmented into professional and managed services. The professional services segment is expected to hold the largest market share, owing to the increasing adoption of road safety solutions and high demand for associated services.
On the basis of solution, the road safety market has been segmented into red light, speed, bus lane & section enforcement, ALPR/ANPR, incident detection & response. Among these, the bus lane & section enforcement segment is expected to register the highest CAGR during the forecast period, due to the ability of these solutions to detect obstacles such as stopped vehicles, traffic slowdown, congestion, wrong-way vehicle entry, pedestrian movement, loss of visibility on roads, and debris.
By geography, the road safety market has been segmented into North America, Europe, Asia Pacific, and LAMEA.
North America is projected to dominate the market in terms of market share in the road safety market during the forecast period (–2025). Technological adoption in North America is generally high when compared with other regions around the globe; even in terms of road safety technology, the region is pegged to be an early adopter. In addition, leading road safety solution providers such as American Traffic Solutions, Motorola, FLIR Systems, Cubic Corporation, and Conduent are also concentrated in this region. Implementation and enforcement of legislation are also key in improving road user behaviour and decreasing road traffic casualties in North America.
Europe is expected to be the second largest shareholder in the road safety market during the forecast period, owing to the adoption of new legislation in the region to regulate vehicle safety and in-vehicle technology. These road safety regulations represent the most direct and effective measures that governments in Europe have implemented to further reduce road deaths and injuries. Furthermore, technologies such as Intelligent Speed Assistance (ISA) and seat belt reminder systems in passenger seats are already available in the Europe market. The European Transport Council Conclusions on Road Safety also supports the EC recommendation for mandating Automated Emergency Braking (AEB), which can detect vulnerable road users.
Asia Pacific is expected to grow at the highest CAGR in the road safety market during the forecast period, due to rapid urbanization and the development of smart cities in the region. In India, the number of personal vehicles is exceptionally high and the number is growing at an alarming rate, due to the lack of public transportation infrastructure; therefore, the region faces high traffic risks. Vehicle parc, human population, and enforcement of road safety regulations are some of the factors driving the growth of the road safety market in Asia Pacific.
The LAMEA region is anticipated to register a healthy growth rate, due to economic development and rising awareness among the population regarding road accidents. Speeding, reckless driving, distracted drivers and not using seatbelts continue to be the key concerns for law enforcement authorities across the Middle East.
Some of the major players operating in the road safety market include Thales (France), Jenoptik (Germany), American Traffic Solutions (U.S.), Siemens (Germany), Traffic Management Technologies (South Africa), Motorola (U.S.), Flir Systems (U.S.), Cubic Corporation (U.S.), Conduent (U.S.) and Alcatel-Lucen (France).
Key players in the road safety market are relying on new product developments, mergers & acquisitions and partnerships to strengthen their foothold in the marketplace. They have introduced products such as video surveillance, real-time traffic flow systems and communication systems to maximize road safety.
In March 2018, FLIR System launched a new thermal traffic sensor, FLIR ThermiCam V2X, to communicate and share information in a system that aims to improve road safety and efficiency. It is designed as a crash-avoidance system as it utilizes communication between nearby vehicles and traffic infrastructure to alert drivers about possibly hazardous situations.
Road Safety Market