Image Recognition in CPG Market: Global Size, Share, Trends, Growth and Forecast, 2022-2032
Image Recognition in CPG Market: Overview and Definition
Image recognition in CPG (Consumer Packaged Goods) refers to the use of computer vision technology to recognize and analyze images of consumer packaged goods. This technology involves the use of machine learning algorithms to identify and classify objects within images, including the products themselves, product packaging, and even consumer behavior.
In the CPG industry, image recognition technology can be used for a variety of applications, including product identification, packaging analysis, shelf and store monitoring, and consumer behavior analysis. For example, a CPG company may use image recognition technology to monitor store shelves and track product inventory levels, ensuring that products are always in stock and displayed correctly.
Another common use case is the analysis of consumer behavior through the use of image recognition on in-store cameras. This technology can help companies understand how consumers interact with products and identify areas for improvement in their marketing and merchandising strategies.
The global image recognition in CPG market is driven by the increasing adoption of advanced technologies in the CPG industry, coupled with the rising demand for better consumer insights and analytics. The growth of e-commerce and online shopping is also driving the demand for image recognition technology, as companies look for ways to optimize their online shopping experiences and provide more personalized product recommendations.
However, the high cost of implementing image recognition technology and concerns over data privacy and security may limit the growth of the market in the coming years.
According to reports, by the mid of this decade, 85% of customer interactions in retail will be controlled by AI. An emerging technology in the form of Image Recognition is on the rise in the global scenario.
Image Recognition basically is the process of analyzing an input image and predicting its category from a set of categories. Alongside, Object Detection is the process of not only identifying but locating the SKU in an image. Image Localization is typically achieved by drawing a bounding box around the object in an image.
This advanced technology is rapidly changing how CPG brands market products online as well as how they manage inventory in stores; by offering functions such as finding products, gauging emotions, unmanned shopping, inventory analysis and many others. It helps in the purchase decision of the consumers by providing them with adequate information and ensures an increased ability of the brands to connect with their customers.
Also, image recognition in CPG enables updating extensive photo libraries of all products and maintaining the database for easy navigation by both humans and machines.
Though, still at its nascent stage, this technology is advancing in an up hilling fashion and is anticipated to rise substantially in the upcoming years.
The growth of this market is attributed towards major relying factors including; the changing landscape of CPG owing to the increased adoption of omni-channel media, retail fragmentation, growing urbanization and growing interest in health and wellness etc, the increasing need for efficient and profitable retail execution processes with adherence to compliance standards, the growing number of technological advancements in image recognition in CPG market across the globe, the growing demand for efficient and profitable retail coupled with the growing demand for image recognition capabilities worldwide etc.
Moreover, the accelerating demand for cloud-powered image recognition solutions for aiding CPG representatives along with the major cloud companies such as AWS, Microsoft, and Google heavily investing in enhancing their image recognition in the CPG market offerings to optimize in-store and online retail execution, the market is witnessing massive surge and fueling the market growth even more during this time of the COVID-19 pandemic.
Furthermore, increasing developments of advanced products and services by market players in this domain such as Snapchat’s parent company Snap’s program which will allow users to take pictures of items in the real world and then direct them to browse similar items online, Walmart’s software capable of gauging a customer’s emotional state through the use of image recognition by scanning consumer’s faces for signs of frustration or dissatisfaction and JD.com and real estate developer China Overseas Land & Investment Ltd (COLI) development of a new store concept across China which would entirely eliminate the need for sales staff at all; will further augment the demand and growth of this technology tremendously over the next few years.
However, high installation cost of image recognition services and current complexities involved in implementing such programs restrain the growth of this market.
IMAGE RECOGNITION IN CPG MARKET SEGMENTATION:
By Deployment Type:
By End User Type:
- Inventory analysis
- Product and Shelf Monitoring Analysis
- Auditing Product Placement
- Product Placement Trend Analysis
- Assessing Compliance and Competition
- Category Analysis
- Gauging emotions
- North America
- Asia Pacific
- Latin America
- Middle East & Africa
The North American region is the largest regional market for Image Recognition in CPG and is expected to maintain its dominance in the market in the next few years owing to the progressive nature of the region towards adoption of latest technologies and innovations, the increase in merging of artificial intelligence with image recognition and augmented reality in the major economies of the region, the increasing adoption of the technology across the region, the increasing presence of major market players in the region, growing demand for image recognition in the CPG sector to improve product placements and assist in object identification etc. The major contributors in the region are the U.S and Canada.
The Asia-Pacific region is the fastest growing regional market for image recognition in CPG and is expected to bolster tremendous growth in the upcoming years as a result of the presence of some major countries such as India and China in the region which are looking to adopt this technology for best and efficient practices and the growing number of bases of key market players in the region as a result of huge market potential of the increasing population in the region along with other associated factors that have an influence on this market.
FEW KEY PLAYERS IN IMAGE RECOGNITION IN CPG MARKET:
- Ricoh Innovations
- LTU Tech
- Other Players
- In July 2019, Trax, a leading global provider of computer vision and analytics solutions for retail, announced its acquisition of Planorama, Europe's top supplier of image recognition services for retail execution and merchandising for Consumer-Packaged Goods (CPG) companies.
- In April 2020, StayinFront, a leading global provider of mobile retail execution, POS data analytics and digital image recognition solutions for the Consumer Goods industry announced that it is partnering with MCA (Merchandising Consultants Associates), a leading sales, merchandising and data collection company headquartered in Woodbridge, ON, Canada.
- In October 2020, Trax, a leading global provider of computer vision solutions and analytics for retail, officially launched its Retail Watch store monitoring and intelligence solution in China. The Retail Watch is said to combine Trax's proprietary computer vision and machine learning technologies with its Internet of Things-enabled shelf-edge and ceiling cameras and autonomous robots to provide retailers with ‘eyes in the store'. This automated, real-time visibility of products is said to help retailers optimize in-store data collection and operations.
Timeline Considered for Analysis:
- 2019: Base Year
- 2020 to 2025: Forecast Period
Research Scope and Deliverables
Overview & Executive Summary
Market Drivers, Trends, Challenges and Opportunities
Market Size and Forecast Projections
Macroeconomic Indicators of Various Countries Impacting the Growth of the Market
Extensive Coverage of Industry Players including Recent Product Launches and Market Activities
Porter’s Five Force Analysis
Market Segmentation Analysis:
Industry report analyzes the global image recognition in CPG market by the following segments:
- Deployment Type
- End User Type
Customization: We also offers customization’s in the industry report as per the company’s specific needs.
Key Questions Answered in the Global Image Recognition in CPG Industry Report
- What is the overall market size in 2019? What will be the market growth during the forecast period i.e. 2020-2025?
- Which region would have high demand for product in the upcoming years?
- What are the factors driving the growth of the market?
- Which sub-market will make the most significant contribution to the market?
- What are the market opportunities for existing and entry-level players?
- What are various long-term and short-term strategies adopted by the market players?