Global Smart Luggage Market By Technology (Connectivity, Sim Card and USB Charging), By Connectivity (Wi-Fi, GPS, RFID and Bluetooth), By Application (Real-Time Tracking, Proximity Sensors, Remote Locking, Digital Scaling and Others), By Region, By Company, Competition, Forecast & Opportunities, 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 3.22 Billion
CAGR (2026-2031)	14.43%
Fastest Growing Segment	Real-Time Tracking
Largest Market	North America
Market Size (2031)	USD 7.23 Billion

Market Overview

The Global Smart Luggage Market will grow from USD 3.22 Billion in 2025 to USD 7.23 Billion by 2031 at a 14.43% CAGR. The Global Smart Luggage Market is defined by travel bags integrated with electronic features such as GPS tracking, digital locks, and built-in power banks designed to enhance travel convenience. A primary driver supporting this market is the robust recovery of the tourism sector, which increases the demand for secure and functional travel accessories. According to the International Air Transport Association, in 2024, global passenger demand measured in revenue passenger kilometers increased by 10.4 percent compared to the previous year. This rising traveler mobility directly correlates with increased investments in technology-enabled luggage to mitigate transit inefficiencies.

A significant challenge that could impede market expansion involves stringent airline regulations regarding lithium-ion batteries. Carriers enforce strict safety protocols that often require the removal of power sources from checked bags, creating confusion and inconvenience that may deter potential buyers. Manufacturers face the ongoing difficulty of designing products that strictly adhere to these aviation safety standards without compromising the utility of the device. Failure to address these compliance issues effectively could limit broader adoption among casual travelers concerned about luggage rejection at airport checkpoints.

Key Market Drivers

The post-pandemic resurgence of global leisure and business travel acts as a foundational catalyst for the smart luggage sector. As international borders stabilized and mobility restrictions vanished, the immediate spike in passenger volume necessitated reliable travel gear, prioritizing technologically enhanced suitcases. This revitalization provides a wider customer base for smart features such as biometric locking and automated following capabilities. According to UN Tourism, May 2024, in the 'World Tourism Barometer', international tourism recovered 97 percent of pre-pandemic levels in the first quarter of 2024. Such a rapid return to high-frequency travel compels manufacturers to innovate, ensuring their products meet the rigorous demands of modern transit while offering functional benefits that traditional luggage lacks to frequent flyers.

Concurrently, the rising consumer demand for real-time tracking drives the integration of Internet of Things technologies into baggage. The persistent issue of mishandled luggage at airports encourages travelers to invest in bags equipped with GPS and Bluetooth capabilities to maintain visibility over their belongings. This anxiety regarding lost items directly influences purchasing decisions, prioritizing luggage that offers autonomous location reporting. According to SITA, June 2024, in the 'Baggage IT Insights 2024', the rate of mishandled bags held steady at 6.9 bags per 1000 passengers in 2023, underscoring the necessity for independent tracking solutions. This demand for premium, tech-integrated gear is evident in financial performance; according to Samsonite International S.A., in 2024, net sales increased by 5.8 percent during the first half of the year, reflecting sustained interest in high-quality travel goods.

Download Free Sample Report

Key Market Challenges

The stringent airline regulations regarding lithium-ion batteries pose a formidable obstacle to the Global Smart Luggage Market by creating a friction point that directly undermines the product's core value proposition of convenience. When carriers mandate the removal of power sources from checked luggage to comply with safety protocols, the integrated technology is effectively stripped from the bag during transit, rendering the premium features useless when they are needed most. This compliance requirement introduces a layer of complexity and anxiety for travelers, who fear their expensive luggage may be rejected at check-in or flagged for dangerous goods violations, thereby discouraging mass adoption among casual consumers who prioritize hassle-free travel.

Market growth is further stifled as these rigorous safety checks contribute significantly to transit disruptions, reinforcing consumer hesitation regarding "smart" bags that might trigger alarms. According to SITA, in 2024, security issues and ticketing errors accounted for 17 percent of all mishandled baggage incidents globally. This statistic highlights the tangible risk of luggage being detained due to scrutiny over compliance with protocols such as those governing batteries. Consequently, the potential for travel disruption limits the market's ability to expand beyond a niche demographic of tech-enthusiasts who are willing to navigate these regulatory complexities.

Key Market Trends

The Transition to Recycled and Eco-Friendly Smart Materials is fundamentally reshaping the market as manufacturers align with global sustainability goals. Environmentally conscious consumers are increasingly demanding durable travel gear made from post-consumer waste, prompting brands to replace virgin plastics with advanced recycled polycarbonates. This shift represents a strategic overhaul in supply chains to reduce carbon footprints while maintaining the structural integrity required for housing electronic components. According to Samsonite International S.A., March 2025, in the '2024 Annual Results Announcement', the share of net sales from products incorporating recycled materials increased to approximately 40 percent in 2024, reflecting this critical pivot in consumer preference.

The Development of Integrated Digital Weighing Scales in Handles has emerged as a vital trend responding to the escalating costs of air travel. With carriers enforcing stricter weight limits to maximize ancillary revenue, travelers are prioritizing luggage that provides immediate verification of baggage compliance. These built-in scales allow users to monitor weight via a digital display, eliminating the risk of unexpected penalties at check-in counters. This utility is driven by financial necessity; according to the Bureau of Transportation Statistics, May 2025, in the '2024 Annual Airline Financial Data', U.S. airlines collected a record 7.27 billion dollars in checked baggage fees during the previous year, underscoring the financial incentives driving the adoption of self-weighing technology.

Segmental Insights

The real-time tracking segment currently represents the most rapidly expanding category within the global smart luggage market. This accelerated growth is primarily driven by heightened consumer demand for baggage security and the increasing prevalence of mishandled luggage during international transit. Furthermore, the adoption of this technology aligns with guidelines from the International Air Transport Association regarding mandatory baggage tracking at major journey points. As travelers prioritize the ability to monitor personal belongings through integrated mobile applications, manufacturers are increasing production of GPS-enabled units to address passenger concerns regarding loss or theft.

Regional Insights

North America holds the dominant position in the global smart luggage market, driven by high disposable income and widespread technology adoption among frequent travelers. The region benefits from the strong presence of key industry players that actively develop compliant travel solutions. Additionally, strict adherence to safety guidelines set by the Transportation Security Administration regarding lithium-ion batteries has standardized product features. Manufacturers focus on producing luggage with removable batteries to meet these regulatory requirements, which enhances consumer trust and facilitates steady market expansion throughout the United States and Canada.

Recent Developments

• In April 2025, Ink Innovation, a provider of travel technology and passenger handling solutions, entered into a partnership with BAGTAG to incorporate electronic bag tags into its ecosystem. This collaboration integrated BAGTAG's platform with Ink's departure control and check-in systems, allowing airlines to offer a fully digital baggage experience. The initiative supports Ink's "ZERO" concept, which aims to create a paperless and touchpoint-light airport environment by enabling passengers to manage their luggage independently before arrival. By embedding this smart tagging technology, the companies aim to enhance operational efficiency for carriers and provide a smoother, more autonomous travel experience for passengers.
• In August 2024, BAGTAG announced a strategic partnership with Sabre Corporation, a global travel technology provider, to integrate its digital baggage solutions into the SabreSonic passenger service system. This collaboration enabled airlines using Sabre’s platform to easily implement electronic bag tag capabilities, facilitating a more seamless and efficient baggage handling process. The integration allows travelers to tag their luggage remotely using a smartphone, significantly reducing the need for paper tags and minimizing time spent in airport queues. This partnership represents a significant step towards digitizing baggage operations and improving the overall passenger journey across the aviation industry.
• In July 2024, Arista Vault, an India-based smart luggage company, introduced its advanced "JARVIZ" suitcase during a launch event in New Delhi. This new product features cutting-edge artificial intelligence capabilities, including a "Follow Me" mode that allows the luggage to autonomously trail the user and a "Ride On" mode that transforms the suitcase into a transportable scooter. The JARVIZ is designed to redefine travel convenience with integrated technologies such as a biometric finger-lock mechanism and a built-in power bank for charging devices. The launch highlighted the company's focus on combining luxury with high-tech utility for modern travelers.
• In February 2024, BAGTAG, a leader in electronic bag tag solutions, launched its first airline-branded web shop in collaboration with Alaska Airlines. This strategic initiative allowed the carrier’s passengers to purchase electronic bag tags directly through a dedicated online platform, streamlining the acquisition of smart luggage accessories. The launch aimed to accelerate the adoption of digital baggage tagging by making the technology more accessible to travelers, thereby enhancing the check-in experience. By utilizing these electronic tags, passengers can check in their luggage from home and skip traditional airport kiosks, reducing paper waste and airport processing times.

Key Market Players

• Barracuda, Inc.
• Samsonite IP Holdings S.à r.l.
• Horizn Studios GmbH
• TraxPack LLC
• Modobag
• Delsey S.A.
• Planet Traveler USA
• Away Com Inc.
• Néit Products Ltd
• RIMOWA GmbH & Co Distribution KG

By Technology	By Connectivity	By Application	By Region
Connectivity Sim Card and USB Charging	Wi-Fi GPS RFID and Bluetooth	Real-Time Tracking Proximity Sensors Remote Locking Digital Scaling and Others	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Smart Luggage Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Smart Luggage Market, By Technology:

• Connectivity
• Sim Card and USB Charging

• Smart Luggage Market, By Connectivity:

• Wi-Fi
• GPS
• RFID and Bluetooth

• Smart Luggage Market, By Application:

• Real-Time Tracking
• Proximity Sensors
• Remote Locking
• Digital Scaling and Others

• Smart Luggage Market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE