MICR (magnetic ink character recognition) is a technology used to verify the legitimacy or originality of paper documents, especially checks. Special ink, which is sensitive to magnetic fields, is used in the printing of certain characters on the original documents. Information can be encoded in the magnetic characters.
MICR or Magnetic Ink Character Recognition is a standard electronic process that reads sensitive documents like checks using high speed magnetic equipment and MICR toner. MICR toner is read by these sensitive machines especially when it is arranged in a specific syntax or pattern like the information found on a check. The bank routing number, account number, and check number are written using MICR printing process to ensure individual security as well as bank security.
The Magnetic Ink Character Recognition (MICR) Printer industry was 133.91 million USD in 2017 and is projected to reach USD 94.91 million USD by 2025, at a CAGR (Compounded Annual Growth Rate) of -4.21% between 2017 and 2025. The market is driven by various end-user industries, such as Banking and Financial, Retail, Healthcare, Government and so on. The industry is high concentration, the key brand include HP (TROY), Lexmark (Source Technologies), Xerox, Ricoh, Canon (Oce), IBM and so on.
The quality of MICR printing as well as the line and the character placement are required ingredients in check recognition. A CMC-7 font or E-13B font is used and the special ink formula in MICR toners is magnetically charged so the reader-sorter equipment can recognize each character’s unique shape. These unique characters are modern day fingerprints that help prevent fraudulent practices that impact the economy in one way or another.
Rapid industrialization has led to increased disposable income and is a major factor for the growth of the Magnetic Ink Character Recognition (MICR) Printer market in Asia Pacific, especially in China. A critical factor for growth in China is availability of raw materials at lower prices coupled with the presence of large number of suppliers and producers. The Chinese economy maintains a high speed growth which has been stimulated by the consecutive increases of industrial output, imports & exports, consumer consumption and capital investment for over two decades.
Banks use MICR technology to print information such as cheque amount, account number, bank code and cheque number. The MICR technology has advantages such as high security, low deciphering error rate and high compatibility with existing computing systems. These advantages help in expediting the processing of documents.
Magnetic Ink Character Recognition (MICR) Printer market is primarily driven by the increasing number of branches of banks and financial institution across the globe. Additionally, the rising demand for further optimizing the cheque processing speed is fueling the growth of the market. Moreover, the ability of MICR Printer to verify the authenticity of financial documents is encouraging the financial institutes to opt for MICR Printer. However, the growth of MICR Printer market is hindered with the reduction in use of cheques due to increasing demand for online money transaction across the globe. Although checks are still the leading form of non-cash payment in the US, the Federal Reserve documents a steady decline in market share to electronic payments. Between 2003 and 2006, checks dropped from 48% to 33% of all non-cash payments, and this scenario is playing out in most regions of the world.
The high cost of MICR Printer is also challenging the growth of the market, as other modes of transactions are proving to me more economical and user-friendly. In addition to this, the systems designed for reading and printing MICR characters accept very less characters. As a result, the scope for the use of MICR Printer is restricted.
The Global Magnetic Ink Character Recognition (MICR) Printer Market Research Report 2018 report released by QYResearch provides a basic overview of the Magnetic Ink Character Recognition (MICR) Printer industry, including definition, classification, application and industrial chain structure. Discuss development policies and plans as well as manufacturing processes and cost structures.
The report then focuses on major industry players in Global, including company profiles, product images and specifications, sales, market share, and contact information. More importantly, the Magnetic Ink Character Recognition (MICR) Printer industry development trends and marketing channels were analyzed. Providing the main statistical data on the current status of the industry is a valuable guide and direction for companies and individuals interested in the market.
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