The Payment Gateways market is expected to reach US$ 27.90 Billion in 2023 to US$ 128.47 Billion by 2032, with a CAGR of 18.49% from 2024 to 2032. Some of the drivers driving the market are the growing acceptance of digital payments, the increasing popularity of online shopping, the development of e-commerce platforms, the widespread usage of smartphones, and the internationalization of cross-border e-commerce.
They accept a number of payment options, such as bank transfers, digital wallets, and credit and debit cards. Their smooth integration with e-commerce systems facilitates online payment acceptance and effective transaction management for enterprises. They also offer features that improve the whole payment experience for users and businesses, like fraud detection, mobile payments, and recurring billing.
Additionally, governments everywhere are working to encourage internet access in rural areas. In order to deliver fast broadband connections in the rural sections of the country, the British government invested USD 5.9 billion in 2020. Thanks to the USD 606.3 million in expenditures made by the government in 2020 for the shared rural mobile phone network project, 95% of the nation's rural areas were anticipated to gain 4G connectivity in the upcoming years.
Subscription-based services like membership programs, software subscriptions, and streaming platforms are becoming more and more popular, which has increased demand for payment gateways that can manage subscriptions and recurring payments. Payment gateways are used by companies that provide subscription services to automatically accept recurring payments on a regular basis, guaranteeing a simple and easy customer experience. These companies' needs are met and the market is expanded by payment gateways that include strong subscription management capabilities, such as adjustable billing cycles, trial periods, and simple subscription cancellation. Effective management of recurring payments gives organizations a consistent and predictable revenue stream while streamlining the payment process for customers.
Based on Oberlo's analysis, the retail industry in the United States is predicted to grow at a rate of 2.3% in 2021 and 4.1% in 2022. The expanding significance of payment gateways in facilitating safe and effective transactions across the retail ecosystem is highlighted by this upward trend in retail sales. The increasing adoption of digital payment methods by customers is expected to drive up demand for reliable and strong payment gateway solutions, hence stimulating market expansion in North America.
For example, to facilitate efficient digital payments, the Reserve Bank of India (RBI) has regulated gateways like Bharat Bill Pay, Paytm, and Mobikwik.
In September 2022, with an emphasis on the e-commerce, retail, travel, cryptocurrency, and financial services sectors, British payments company Paysafe partnered with Spreedly, a payments orchestration platform, to assist merchants with their international payments across the UK and Europe. Transactions could be made through Paysafe's payment gateway.
In August 2022, The Reserve Bank of India (RBI) granted the financial services platform Mswipe Technologies an in-principal Payment Aggregator (PA) license. Mswipe will be able to create an internal online payment gateway with this approval.
2. Non-hosted
2. Small & Medium Enterprises
2. Media & Entertainment
3. Retail & E-commerce
4. Travel & Hospitality
5. Others
2. Key Person
3. Recent Developments & Strategies
4. Product Portfolio & Product Launch in Last 1 Year
5. Revenue
2. Amazon Pay (Amazon.com, Inc.)
3. Stripe, Inc.
4. PayU Group
5. Adyen
6. BitPay Inc.
7. JPMorgan Chase & Co.
8. Braintree
9. Wepay, Inc.
Global Payment Gateways Overview
Modern e-commerce cannot function without payment gateways, which enable convenient and safe online transactions between clients and companies. Payment gateways facilitate digital payment authorization, processing, and settlement by functioning as a virtual point-of-sale system. They are essential to maintaining the safety of transactions made online. Sensitive client data, including credit card numbers, is encrypted to prevent unwanted access. Gateways encourage clients to make purchases online by instilling trust and confidence through secure payment processing. These gateways act as go-betweens for financial institutions, merchants, and customers. They move money from the customer's account to the merchant's and securely send transaction data for authorization to the acquiring bank or payment processor.They accept a number of payment options, such as bank transfers, digital wallets, and credit and debit cards. Their smooth integration with e-commerce systems facilitates online payment acceptance and effective transaction management for enterprises. They also offer features that improve the whole payment experience for users and businesses, like fraud detection, mobile payments, and recurring billing.
Additionally, governments everywhere are working to encourage internet access in rural areas. In order to deliver fast broadband connections in the rural sections of the country, the British government invested USD 5.9 billion in 2020. Thanks to the USD 606.3 million in expenditures made by the government in 2020 for the shared rural mobile phone network project, 95% of the nation's rural areas were anticipated to gain 4G connectivity in the upcoming years.
Growth Drivers for the Payment Gateways Market
Demand for subscription management and recurring billing is rising.Subscription-based services like membership programs, software subscriptions, and streaming platforms are becoming more and more popular, which has increased demand for payment gateways that can manage subscriptions and recurring payments. Payment gateways are used by companies that provide subscription services to automatically accept recurring payments on a regular basis, guaranteeing a simple and easy customer experience. These companies' needs are met and the market is expanded by payment gateways that include strong subscription management capabilities, such as adjustable billing cycles, trial periods, and simple subscription cancellation. Effective management of recurring payments gives organizations a consistent and predictable revenue stream while streamlining the payment process for customers.
Growing acceptance of digital wallets and other payment options
Payment gateways that provide smooth integration with digital wallets and other payment methods are driving the global market. These methods are becoming more and more popular. With only a few clicks or taps, users may make purchases using digital wallets like PayPal, Apple Pay, and Google Pay, which offer quick and safe payment choices. By accommodating the needs of a larger audience, payment gateways that allow virtual wallets and alternative payment methods help merchants grow their client base. Payment gateways improve the checkout process, lower cart abandonment rates, and increase customer loyalty by providing a variety of payment methods.Payment Gateways Market Overview by Regions
All things considered, the global market for payment gateways is growing everywhere, driven by changes in consumer behavior, governmental support, and technology improvements. In the upcoming years, the market is anticipated to increase significantly as the usage of digital payments continues to rise. An overview of the market by region is given below:North America Payment Gateways Market
United States
The growth of digital payments and e-commerce is driving a sharp increase in the U.S. payment gateway market. Demand for secure payment processing is driven by consumers' growing preference for contactless transactions and online shopping. To improve security, major players are utilizing cutting-edge technology like blockchain and artificial intelligence. The market is also affected by changes in regulations and an emphasis on cybersecurity. The popularity of digital wallets and mobile payment solutions also greatly boosts growth and establishes the United States as an industry leader.Based on Oberlo's analysis, the retail industry in the United States is predicted to grow at a rate of 2.3% in 2021 and 4.1% in 2022. The expanding significance of payment gateways in facilitating safe and effective transactions across the retail ecosystem is highlighted by this upward trend in retail sales. The increasing adoption of digital payment methods by customers is expected to drive up demand for reliable and strong payment gateway solutions, hence stimulating market expansion in North America.
Europe Payment Gateways Market
Germany
The German payment gateways market is seeing substantial expansion, driven by the increased adoption of e-commerce and digital payment solutions. Customers are looking for safe and effective ways to pay for their purchases online, which has increased demand for sophisticated gateways. Key players are combining technologies like AI and machine learning to boost transaction security and customer experience. Regulatory frameworks supporting digital payments and a heavy emphasis on data protection also impact the industry landscape. Additionally, the growing popularity of mobile payment solutions further drives market expansion, putting Germany as a prominent participant in the European payment gateways sector.Asia Pacific Payment Gateways Market
India
The Indian payment gateways market is quickly developing, fuelled by the growth in e-commerce and digital transactions. Consumer desire for safe, effective payment options is being driven by rising smartphone adoption and increased internet connectivity. Key players are implementing technologies like AI and machine learning to boost security and user experience. Government initiatives supporting digital payments and financial inclusion further promote industry growth. As mobile wallets gain popularity, India is becoming as a prominent player in the global payment gateways market.For example, to facilitate efficient digital payments, the Reserve Bank of India (RBI) has regulated gateways like Bharat Bill Pay, Paytm, and Mobikwik.
Middle East & Africa Payment Gateways Market
Saudi Arabia
The swift growth of e-commerce and the transition to digital transactions are propelling the Saudi Arabian payment gateways industry. Increasing smartphone prevalence and internet availability are prompting consumers to choose secure and convenient payment alternatives. Key companies in the market are embracing innovative technologies, such as AI and blockchain, to boost transaction security and customer experience. The market is significantly shaped by government programs that support financial inclusion and the adoption of digital payments. Saudi Arabia is establishing itself as a major participant in the Middle Eastern payment gateway market as cashless transactions become more popular.Payment Gateways Company Analysis
The major participants in the Payment Gateways market includes PayPal Holdings, Inc., Amazon Pay (Amazon.com, Inc.), Stripe, Inc., PayU Group, Adyen, BitPay Inc., JPMorgan Chase & Co., Braintree, Wepay, Inc.Payment Gateways Infection Company News
In November 2022, the leading B2B and B2C companies' payment orchestration platform, BlueSnap, has extended its collaboration with the leading eCommerce firm, objectsource, to help European online retailers improve Magento integration for the dynamic EU market.In September 2022, with an emphasis on the e-commerce, retail, travel, cryptocurrency, and financial services sectors, British payments company Paysafe partnered with Spreedly, a payments orchestration platform, to assist merchants with their international payments across the UK and Europe. Transactions could be made through Paysafe's payment gateway.
In August 2022, The Reserve Bank of India (RBI) granted the financial services platform Mswipe Technologies an in-principal Payment Aggregator (PA) license. Mswipe will be able to create an internal online payment gateway with this approval.
Type - Industry is divided into 2 viewpoints:
1. Hosted2. Non-hosted
Enterprise - Industry is divided into 2 viewpoints:
1. Large Enterprises2. Small & Medium Enterprises
End User - Industry is divided into 5 viewpoints:
1. BFSI2. Media & Entertainment
3. Retail & E-commerce
4. Travel & Hospitality
5. Others
Countries - Industry is divided into 25 viewpoints:
North America
- United States
- Canada
Europe
- France
- Germany
- Italy
- Spain
- United Kingdom
- Belgium
- Netherlands
- Turkey
Asia Pacific
- China
- Japan
- India
- Australia
- South Korea
- Thailand
- Malaysia
- Indonesia
- New Zealand
Latin America
- Brazil
- Mexico
- Argentina
Middle East & Africa
- South Africa
- Saudi Arabia
- United Arab Emirates
All companies have been covered with 5 Viewpoints
1. Overviews2. Key Person
3. Recent Developments & Strategies
4. Product Portfolio & Product Launch in Last 1 Year
5. Revenue
Company Analysis
1. PayPal Holdings, Inc.2. Amazon Pay (Amazon.com, Inc.)
3. Stripe, Inc.
4. PayU Group
5. Adyen
6. BitPay Inc.
7. JPMorgan Chase & Co.
8. Braintree
9. Wepay, Inc.
Table of Contents
1. Introduction2. Research Methodology3. Executive Summary5. Global Payment Gateways Market
4. Market Dynamics
6. Market Share Analysis
7. Type
8. Enterprise
9. End User
10. Countries
11. Porters Five Forces
12. SWOT Analysis
13. Key Players Analysis
Companies Mentioned
- PayPal Holdings, Inc.
- Amazon Pay (Amazon.com, Inc.)
- Stripe, Inc.
- PayU Group
- Adyen
- BitPay Inc.
- JPMorgan Chase & Co.
- Braintree
- Wepay, Inc.
Methodology
In this report, for analyzing the future trends for the studied market during the forecast period, the publisher has incorporated rigorous statistical and econometric methods, further scrutinized by secondary, primary sources and by in-house experts, supported through their extensive data intelligence repository. The market is studied holistically from both demand and supply-side perspectives. This is carried out to analyze both end-user and producer behavior patterns, in the review period, which affects price, demand and consumption trends. As the study demands to analyze the long-term nature of the market, the identification of factors influencing the market is based on the fundamentality of the study market.
Through secondary and primary researches, which largely include interviews with industry participants, reliable statistics, and regional intelligence, are identified and are transformed to quantitative data through data extraction, and further applied for inferential purposes. The publisher's in-house industry experts play an instrumental role in designing analytic tools and models, tailored to the requirements of a particular industry segment. These analytical tools and models sanitize the data & statistics and enhance the accuracy of their recommendations and advice.
Primary Research
The primary purpose of this phase is to extract qualitative information regarding the market from the key industry leaders. The primary research efforts include reaching out to participants through mail, tele-conversations, referrals, professional networks, and face-to-face interactions. The publisher also established professional corporate relations with various companies that allow us greater flexibility for reaching out to industry participants and commentators for interviews and discussions, fulfilling the following functions:
- Validates and improves the data quality and strengthens research proceeds
- Further develop the analyst team’s market understanding and expertise
- Supplies authentic information about market size, share, growth, and forecast
The researcher's primary research interview and discussion panels are typically composed of the most experienced industry members. These participants include, however, are not limited to:
- Chief executives and VPs of leading corporations specific to the industry
- Product and sales managers or country heads; channel partners and top level distributors; banking, investment, and valuation experts
- Key opinion leaders (KOLs)
Secondary Research
The publisher refers to a broad array of industry sources for their secondary research, which typically includes, however, is not limited to:
- Company SEC filings, annual reports, company websites, broker & financial reports, and investor presentations for competitive scenario and shape of the industry
- Patent and regulatory databases for understanding of technical & legal developments
- Scientific and technical writings for product information and related preemptions
- Regional government and statistical databases for macro analysis
- Authentic new articles, webcasts, and other related releases for market evaluation
- Internal and external proprietary databases, key market indicators, and relevant press releases for market estimates and forecasts
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Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 100 |
| Published | November 2024 |
| Forecast Period | 2023 - 2032 |
| Estimated Market Value ( USD | $ 27.9 Billion |
| Forecasted Market Value ( USD | $ 128.47 Billion |
| Compound Annual Growth Rate | 18.4% |
| Regions Covered | Global |
| No. of Companies Mentioned | 9 |
