North America Keyless Vehicle Access Control System Market

North America Keyless Vehicle Access Control System Market Outlook (2022 to 2032)

The North America keyless vehicle access control system market revenue by the end of 2021 was US$ 515.9 Million. The market is expected to reach US$ 1,575.7 Million by 2032, as it is estimated to grow at a CAGR of 10.8% from 2022 to 2032.

The keyless vehicle access control system is a new-generation vehicle access control system that uses a remote control system or wearable device to lock and unlock the vehicle. Automotive end-users can lock and unlock their vehicle from a distance by sending specifically programmed signals.

The keyless vehicle access control system uses pre-defined programming to enhance vehicle security, primarily developed by the automotive OEM. As keyless vehicle access controls are one of the key components of modern vehicle security, the demand for automotive keyless entry systems is directly impacted by vehicle production as well as sales activities around the world.

The North America keyless vehicle access control system market holds 30% of the global keyless vehicle access market.

2017 to 2021 North America Keyless Vehicle Access Control System Demand Outlook Compared to 2022 to 2032 Forecast

The North American keyless vehicle access control system market is estimated to grow at a CAGR of 10.8% for the forecast period.

The most important benefit of the keyless vehicle access control system is the convenience it brings to the user. Drivers can unlock as well as lock the car doors with little effort, allowing them to get in and out of the vehicle faster.

The development of keyless vehicle access controls has allowed users to lock or unlock their car doors simply by putting the key in their pockets. Drivers also find the system very useful in emergencies and in bad weather outdoors when quick vehicle access is essential, making the keyless vehicle access control system a breeze, an ideal system for the driver.

The main OEMs offering keyless vehicle access controls include Acura, Audi, BMW, Mercedes-Benz, KIA, and Volvo. The immobilization function of the keyless vehicle access control system prevents unauthorized access as well as activation of the ignition system, increasing vehicle security. Thus, keyless vehicle access controls are driving growth opportunities in the global market during the forecast period.

Increasing Focus on Strict Regulations and Growing Development

Increasing regulatory policies focusing on vehicle safety are expected to drive the growth of the keyless vehicle access control system market. The imposition of strict regulations globally will support the growth rate of the market. In addition, keyless vehicle access controls offer various benefits, as they offer great convenience and improve vehicle security.

The growing emphasis on comfort and convenience, coupled with the demand for highly secure vehicles, will support the growth of the market. Growing demand for connected, autonomous and semi-autonomous cars and smartphone integration will see increase demand, which will further expand the future growth of the keyless vehicle access control system market.

Sudip Saha

Principal Consultant

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Country wise insights

Growth in the Adoption of Key-less Vehicle Access Control Systems in the USA

The market for keyless car access controls is dominated by the USA. Due to its favorable technological infrastructure, greater participation by the region's top automotive businesses, and the presence of key players, such as Lear Corporation (the USA), Atmel Corporation (the USA), and growing purchasing power parity (PPP) of the populace, the USA dominates the key-less car access control system industry and now holds a monopoly on the market. Increased internet usage and a surge in smartphone users have inundated the automotive industry, fuelling additional market expansion.

The demand for keyless vehicle access control systems in the USA is anticipated to increase over the upcoming years since the keyless vehicle access control system industry is expanding at a quick rate and can be seen as an emerging solution with several advantages that simply cannot be disregarded any longer. It anticipates that a new generation of cutting-edge technology will benefit from being boosted by sophisticated and contemporary technology to perform more tasks than before through the use of AI-driven analytics, superior sensor technology, and other components.

Development in Automation Industry Driving Key-less Vehicle Access Control System Canada

Due to the increased technological usage in the automotive industry, it is projected that the keyless vehicle access control system market will expand at a significant rate in Canada. The market has grown as a result of increased sales of both premium and affordable cars over time. Additionally, the growing propensity to use high-tech features has fuelled the market's expansion.

Canada is thought to be the fastest-growing keyless vehicle access control system market due to its propensity towards digitalization, highly developed automotive sector, and higher penetration of luxury vehicles. Luxury companies like Ford and Toyota are present there. The target customer base has also been different in nations where demand for keyless car access control systems is in a growth phase compared to countries at a maturity phase due to Canada's rapid urbanization.

Category wise Insights

Why Remote Keyless Entry Segment Has the Larger Market Share?

Based on type, the keyless vehicle access control system market is split into two: remote keyless entry systems and passive keyless entry systems. In which the remote keyless entry segment held the largest market share, having or owing to its best access control, high accessibility, support, and improved security. It is highly recommended by end users and installed in various cars, such as economical cars, luxury cars, and others, due to its low cost and improved functionality over traditional keys.

On the other hand, Passive keyless entry is highly advanced technology and uses the Ultra-Wide Brand that enables security-critical vehicular control system applications. They are used mainly for luxury vehicles by the original manufacturers.

Due to these factors, remote keyless entry systems had a larger market share of 54.8%.

Why does the Rising Purchase Rate of Passenger Cars Boost Demand for the Keyless Vehicle Access Control System Market?

On the basis of vehicle type, automotive companies develop keyless entry systems for the market. This segmented drive is into commercial vehicles and passenger vehicles. The passenger car segment captured the highest market share, and it is expected to expand and dominate the passenger car market.

The passenger car segment is expected to remain the largest market segment in the forecasting period due to the reason of having the highest demand for security vehicles and better comfort. That’s the reason for increasing car production. Due to the hi-tech technology of the market, commercial vehicles will spark expansion in the category.

How Preference Towards Luxury Vehicles is Driving the OEM Segment Rising?

On the basis of end users, the keyless vehicle access control system market is divided into aftermarket and original equipment manufacturers (OEMs). The OEM segment captured the largest market share by virtue of the preference for luxury vehicles and the rising production of these vehicles by different automotive companies.

Likewise, the development of companies and rising research, for example, companies to provide the most hi-tech facilities and security to end customers. For this reason, this market segment is rising. The Original Equipment Manufacturer (OEM) segment has great development potential due to the rising number of car thefts that are occurring around the world.

For these reasons, the OEM segment held the largest market share of 59.8% for the forecast period.

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Competitive Landscape

Certain companies which provide North American keyless vehicle access control systems are vehicle companies or companies which offer electronic solutions and services. Certain companies are also software companies trying to enable digital keys for smartphones. This could attract smartphone and application developers to this market.

• In May 2021, Google and BMW formed a strategic partnership to develop smartphones into car keys, a feature for Android 12. The digital car keys were made available for certain Pixel devices and Samsung Galaxy smartphones.
• In October 2020, Canada-based company Geotab Inc. developed a keyless access system that could be used by car-sharing operators. The keyless access system was developed for companies looking forward to developing contactless key transfers because of the COVID-19 pandemic.

Scope of report

North America Keyless Vehicle Access Control System by Category

By Product Type:

• Remote Keyless Entry (RKE) Systems
• Passive Keyless Entry (PKE) Systems

By Vehicle Type:

• Passenger Cars
• LCV
• HCV

By Sales Channel:

• OEM
• Aftermarket

By Country:

• USA
• Canada