Russia and Turkey are the major engines of ATM market expansion in Europe, with growth in much of the rest of the continent standing still, and several major markets contracting during 2013. These are some of the key findings of ATMs in Europe 2014: Hardware, Software and Services, a new report by strategic research and consulting firm RBR.
The number of ATMs installed in Europe grew by 2% in 2013, to 634,000. However, of the 33 markets surveyed, over half (17) contracted during the year – ten in western Europe and seven in CEE.
The overall picture is mixed, with markets at varying stages of maturity responding to different economic circumstances and customer needs.
Russia remains Europe’s largest ATM market, with more than 140,000 units. The number of ATMs in Russia grew by more than 8,000 during the year, with major state-owned banks aggressively expanding to meet customer demand, while the Turkish total rose by more than 5,000. In the rest of the continent, the total fell by nearly 3,000, but there is an east-west divide, with the CEE region performing more strongly than the WE region overall.
ATM installed base and annual growth in WE and CEE, 2013 
Source: ATMs in Europe 2014: Hardware, Software and Services (RBR)
Greek ATM market shrinks by 14%
The most spectacular declines have been in Greece, where the installed base shrank by 14% during 2013, and Spain, where the most machines (over 4,000) were removed. These countries’ economies continue to suffer, with the banking sectors of both seeing major reorganisation, leading to branch closures and the removal of ATMs.
Every country in the Nordic and Baltic regions saw ATM numbers fall too; in Scandinavia, mainly because of changing customer behaviour and a growing emphasis on cashless payments, and in the Baltics principally owing to the closure of several banks.
Not all bad news – some seemingly mature markets continue to grow
Some countries have bucked the trend. The UK and France are two of Europe’s most mature ATM markets, but both saw surprisingly strong growth. In the UK, where the installed base grew by 1,300 machines, the non-bank sector has continued to expand, while in France nearly 900 ATMs were added, primarily in post offices, as a way to reduce queues.
In eastern Europe, nearly 1,000 new machines were installed in Ukraine. The market there is similar to Russia, with state-owned banks aggressively expanding their distribution networks through ATM deployment, while fast growth was also recorded in neighbouring Belarus.
Deployers are upgrading their ATM fleets, even as expansion slows
Even in countries where the number of installed machines is falling, the ATM market remains dynamic. Many banks are upgrading from single-function cash dispensers to automated deposit ATMs and cash recyclers, and in some of the more mature western European markets, there are a large number of old ATMs in service which need to be replaced. This means that even in markets where the installed base is shrinking, the number of ATMs purchased remains high, and may even rise.
- The information in this press release draws on RBR’s new study ATMs in Europe 2014: Hardware, Software and Services. For more information visit www.rbrlondon.com/atms or contact Richard Cummings on +44 20 8831 7300 or richard.cummings@rbrlondon.com.