Executive Summary

The global eye tracking market is projected to grow at a CAGR of over 25% during the forecast period (2021-2026). The key factors driving this growth include the increasing use of eye tracking technology in the healthcare and automotive industries, the growing demand for personalized user experiences, and the rising adoption of virtual and augmented reality technology.

Important Note: The companies listed in the image above are for reference only. The final study will cover 18–20 key players in this market, and the list can be adjusted based on our client’s requirements.

Key Market Insights

• The global eye tracking market is expected to reach USD 1.75 billion by 2026, up from USD 0.52 billion in 2020.
• The healthcare sector is the largest end-user of eye tracking technology, accounting for over 30% of the market share. Eye tracking is used in healthcare to diagnose and monitor various neurological disorders and to track the progress of rehabilitation.
• The North American region dominates the eye tracking market, accounting for over 40% of the market share. This is attributed to the presence of major players in the region and the high adoption rate of eye tracking technology in various industries.

Market Drivers

1. Growing Adoption of Eye Tracking in Healthcare

The healthcare sector is the largest end-user of eye tracking technology. The technology is used to diagnose and monitor various neurological disorders, such as Parkinson’s disease, multiple sclerosis, and autism spectrum disorder. It is also used to track the progress of rehabilitation in patients with traumatic brain injuries and to improve surgical outcomes. The growing demand for non-invasive diagnostic techniques and personalized treatments is expected to drive the adoption of eye tracking technology in healthcare.

2. Increasing Use of Eye Tracking in Automotive Industry

Eye tracking technology is used in the automotive industry to monitor driver behavior and improve driver safety. It is used to detect drowsiness, distraction, and other risky driving behaviors. The technology is also used to personalize the in-car experience and improve the overall user experience. The increasing focus on driver safety and the rising adoption of connected cars are expected to drive the demand for eye tracking technology in the automotive industry.

3. Rising Adoption of Virtual and Augmented Reality Technology

Eye-tracking technology is widely used in virtual and augmented reality applications to provide a more immersive and interactive experience. It is used to track eye movements and provide a more natural and intuitive user interface. The increasing adoption of virtual and augmented reality technology in various industries, including gaming, healthcare, and education, is expected to drive the demand for eye tracking technology.

Market Restraints

1. High Cost of Eye Tracking Technology

Eye tracking technology is relatively expensive, which can limit its adoption in certain industries. The high cost of hardware and software, as well as the need for specialized expertise to implement and analyze eye tracking data, can be a barrier to entry for smaller companies and organizations.

2. Limited Awareness and Education

The eye tracking market is still relatively new and not well-known among many industries. There is a lack of awareness and education about the benefits of eye tracking technology and how it can be used to improve business outcomes. This can limit the adoption of eye tracking technology in certain industries.

Market Opportunities

1. Growing Demand for Personalized User Experience

The increasing demand for personalized user experiences in various industries, including advertising, gaming, and e-commerce, is expected to drive the demand for eye tracking technology. Eye tracking can be used to analyze user behavior and provide personalized recommendations, leading to increased engagement and customer satisfaction.

2. Advancements in Eye Tracking Technology

There are ongoing advancements in eye tracking technology, including improvements in accuracy, speed, and ease of use. The development of portable and wearable eye tracking devices is expected to expand the use of eye tracking technology in various industries, including sports, entertainment, and retail.

Market Dynamics

The eye tracking market is driven by various factors, including technological advancements, increasing demand for personalized user experiences, and growing adoption in various industries. However, the market also faces challenges, such as the high cost of eye tracking technology and limited awareness and education. Overall, the market is expected to grow at a significant rate in the coming years, driven by the increasing use of eye tracking technology in healthcare, automotive, and virtual and augmented reality applications.

Regional Analysis

The North American region dominates the eye tracking market, accounting for over 40% of the market share. This is attributed to the presence of major players in the region and the high adoption rate of eye tracking technology in various industries. The Asia-Pacific region is expected to grow at the fastest rate during the forecast period, driven by the growing demand for eye tracking technology in emerging economies, such as China and India.

Competitive Landscape

Leading Companies in the Eye Tracking Market:

1. Tobii AB
2. SensoMotoric Instruments GmbH (SMI)
3. EyeTech Digital Systems, Inc.
4. Seeing Machines Ltd.
5. LC Technology International, Inc.
6. Ergoneers GmbH
7. Pupil Labs GmbH
8. EyeTracking, Inc.
9. iMotions A/S
10. Smart Eye AB

Please note: This is a preliminary list; the final study will feature 18–20 leading companies in this market. The selection of companies in the final report can be customized based on our client’s specific requirements.

Segmentation

The eye tracking market can be segmented based on the following:

By Type:

• Remote Eye Tracking
• Mobile Eye Tracking
• Desktop Eye Tracking

By Application:

• Healthcare
• Automotive
• Advertising and Marketing
• Gaming
• Human-Computer Interaction
• Research and Academics
• Others

Category-wise Insights

1. Healthcare

The healthcare sector is the largest end-user of eye tracking technology. Eye tracking is used to diagnose and monitor various neurological disorders, such as Parkinson’s disease, multiple sclerosis, and autism spectrum disorder. It is also used to track the progress of rehabilitation in patients with traumatic brain injuries and to improve surgical outcomes.

2. Automotive

Eye tracking technology is used in the automotive industry to monitor driver behavior and improve driver safety. It is used to detect drowsiness, distraction, and other risky driving behaviors. The technology is also used to personalize the in-car experience and improve the overall user experience.

3. Advertising and Marketing

Eye tracking technology is used in advertising and marketing to analyze consumer behavior and improve the effectiveness of marketing campaigns. It is used to track visual attention and provide insights into consumer preferences and decision-making processes.

4. Gaming

Eye tracking technology is used in gaming to provide a more immersive and interactive experience. It is used to track eye movements and provide a more natural and intuitive user interface.

Key Benefits for Industry Participants and Stakeholders

1. Improved User Experience

Eye tracking technology can be used to improve user experience in various applications, including gaming, automotive, and virtual and augmented reality. By tracking eye movements and analyzing visual attention, eye tracking technology can provide a more natural and intuitive user interface, leading to increased engagement and satisfaction.

2. Enhanced Marketing Effectiveness

Eye tracking technology can be used to analyze consumer behavior and improve the effectiveness of marketing campaigns. By tracking visual attention and providing insights into consumer preferences and decision-making processes, eye tracking technology can help marketers develop more targeted and effective campaigns.

3. Improved Healthcare Outcomes

Eye tracking technology can be used to diagnose and monitor various neurological disorders, track the progress of rehabilitation in patients with traumatic brain injuries, and improve surgical outcomes. By providing non-invasive diagnostic techniques and personalized treatments, eye tracking technology can help improve healthcare outcomes.

SWOT Analysis

Strengths:

• Eye tracking technology provides valuable insights into consumer behavior and user experience, leading to improved business outcomes.
• Eye tracking technology is widely used in healthcare, automotive, and virtual and augmented reality applications, driving demand for the technology.
• Major players in the eye tracking market are focusing on product innovation and strategic partnerships to expand their market share and strengthen their position in the market.

Weaknesses:

• Eye tracking technology is relatively expensive, which can limit its adoption in certain industries.
• There is a lack of awareness and education about the benefits of eye tracking technology, which can limit its adoption in certain industries.

Opportunities:

• The growing demand for personalized user experiences in various industries, including advertising, gaming, and e-commerce, is expected to drive the demand for eye tracking technology.
• Advancements in eye tracking technology, including improvements in accuracy, speed, and ease of use, are expected to expand the use of eye tracking technology in various industries.

Threats:

• The eye tracking market is highly competitive, with several major players dominating the market.
• The eye tracking market is still relatively new and not well-known among many industries, which can limit its adoption.

Market Key Trends

1. Growing Adoption in Healthcare

Eye tracking technology is widely used in the healthcare sector to diagnose and monitor various neurological disorders and to improve healthcare outcomes. The growing demand for non-invasive diagnostic techniques and personalized treatments is expected to drive the adoption of eye tracking technology in healthcare.

2. Increasing Use in Automotive Industry

Eye tracking technology is used in the automotive industry to monitor driver behavior and improve driver safety. The increasing focus on driver safety and the rising adoption of connected cars are expected to drive the demand for eye tracking technology in the automotive industry.

3. Rising Adoption in Virtual and Augmented Reality Applications

Eye tracking technology is widely used in virtual and augmented reality applications to provide a more immersive and interactive experience. The increasing adoption of virtual and augmented reality technology in various industries, including gaming, healthcare, and education, is expected to drive the demand for eye tracking technology.

Covid-19 Impact

The Covid-19 pandemic has had a mixed impact on the eye tracking market. While the pandemic has led to disruptions in supply chains and reduced demand from certain industries, such as advertising and marketing, it has also led to increased demand from other industries, such as healthcare and education. The pandemic has accelerated the adoption of telemedicine and remote learning, driving the demand for eye tracking technology.

Key Industry Developments

1. Tobii AB Launches New Eye Tracking Technology

In May 2020, Tobii AB, a major player in the eye tracking market, launched its new eye tracking technology, Tobii Spotlight Technology. The technology is designed to provide a more natural and immersive user experience in virtual and augmented reality applications.

2. Seeing Machines Ltd. Forms Partnership with Qualcomm

In October 2020, Seeing Machines Ltd., a major player in the eye tracking market, formed a partnership with Qualcomm to develop advanced eye tracking technology for use in the automotive industry. The partnership aims to improve driver safety and provide a more personalized in-car experience.

Analyst Suggestions

Analysts suggest that the eye tracking market is expected to grow at a significant rate in the coming years, driven by the increasing use of eye tracking technology in healthcare, automotive, and virtual and augmented reality applications. To capitalize on this growth, companies should focus on product innovation, strategic partnerships, and mergers and acquisitions to expand their market share and strengthen their position in the market.

Future Outlook

The future outlook for the eye tracking market is positive, with the market expected to grow at a significant rate in the coming years. The increasing demand for personalized user experiences, advancements in eye tracking technology, and growing adoption in various industries are expected to drive the growth of the market. The healthcare sector is expected to remain the largest end-user of eye tracking technology, while the automotive and virtual and augmented reality industries are expected to see significant growth in the adoption of eye tracking technology.

Conclusion

The eye tracking market is a rapidly growing market with significant potential for growth in the coming years. Eye tracking technology provides valuable insights into consumer behavior and user experience, leading to improved business outcomes.

The market is driven by various factors, including technological advancements, increasing demand for personalized user experiences, and growing adoption in various industries. While the market faces challenges, such as the high cost of eye tracking technology and limited awareness and education, the future outlook for the market is positive. Companies that focus on product innovation, strategic partnerships, and mergers and acquisitions are expected to capitalize on the growth of the market and strengthen their position in the industry.