The digital kiosk market is facing significant change. In late 1990s when digital music distribution services were introduced, digital kiosk services offered in music stores and convenience stores attracted a lot of attention. Currently, the main focus is on ticketing service and automatic teller machines (ATM) offered in convenience stores, while digital kiosk business is on a decline these days.

Seed Planning, Inc. conducted two consecutive surveys in June, 2001 and June, 2003 regarding the trends in the digital kiosk terminal market, along with user trends. A year and a half later, significant change is seen in this market. Seven Eleven Japan, a major retail chain in this country, is migrating from their traditional multi-functional business model to a combined services between content distribution and digital camera printing order reception services. On the other hand, digital music distribution, which had initially been considered one of the most promising services. has been less successful. In fact, a significant rise is seen in revenues generated from ticketing services as well as transaction services offered in convenience stores.

The latest report is the third issue of the digital kiosk series, containing analysis of the market and product trends, and manufacturers’ strategies for digital kiosk terminals focusing on hardware/content. Predictions are also given for the future of digital kiosk.