The global digital payment market is anticipated to reach USD 361.30 billion by 2030, expanding at a CAGR of 21.1% during the forecast period. The market’s growth can be attributed to the increasing number of non-cash transactions, alongside technological advancements within the fintech sector. Numerous fintech firms and banks are striving to enhance their digital services in order to align with evolving customer demands. For instance, in January 2021, Mogo Inc., a financial technology and digital payment company, announced the shareholder's approval for the acquisition of a digital payment company, Carta. This acquisition is expected to help the former company strengthen its market presence.
Biometric authentication in digital payments is expected to gain momentum in the coming years. It is a method used for authentication which involves the verification of biological characteristics related to particular person. The authentications include factors such as facial recognition, fingerprint scanning, heartrate analysis, and vein mapping. According to Payments Industry Intelligence, biometric authentication solutions are expected to be used to secure USD 2.5 trillion worth of mobile payment transactions by 2024.
The increase in the adoption of innovative technologies, such as assisted checkouts (ACOs) in the retail industry, is expected to push digital payment industry towards growth. In recent days, various companies have been making efforts to deploy assisted checkout systems in retail stores. For instance, in June 2020, Walmart, a popular retail company has recently announced that they were testing their assisted checkout retail stores at multiple locations in Arkansas and Fayetteville. The traditional cashier checkout lanes in these stores were replaced by self-checkout systems.
The COVID-19 pandemic and its impact on public life has favorably propelled the market towards unprecedented growth. The pandemic has led this industry to an increased number of mobile-based payment solutions and online sales, These factors have been recognized as the major driving forces behind increasing demand for digital payment solutions across the globe. According to the study conducted by Accenture, transactions worth $7 trillion are expected to shift from cash to card and digital payments by 2023.
In presence of events which are acting as a catalyst for growth, i.e. collaborative deals between top players, the market is most likely to witness significant growth. For instance, in December 2023, a collaboration between PayPal Holdings Inc. and SAP was unveiled, marking the introduction of an enhanced integration aimed at streamlining digital payments for SAP customers. This partnership entails the development of a digital payments plug-in designed for the PayPal Braintree platform, leveraging the capabilities of the SAP Business Technology Platform (SAP BTP). These initiatives are expected to drive the market’s growth.
Biometric authentication in digital payments is expected to gain momentum in the coming years. It is a method used for authentication which involves the verification of biological characteristics related to particular person. The authentications include factors such as facial recognition, fingerprint scanning, heartrate analysis, and vein mapping. According to Payments Industry Intelligence, biometric authentication solutions are expected to be used to secure USD 2.5 trillion worth of mobile payment transactions by 2024.
The increase in the adoption of innovative technologies, such as assisted checkouts (ACOs) in the retail industry, is expected to push digital payment industry towards growth. In recent days, various companies have been making efforts to deploy assisted checkout systems in retail stores. For instance, in June 2020, Walmart, a popular retail company has recently announced that they were testing their assisted checkout retail stores at multiple locations in Arkansas and Fayetteville. The traditional cashier checkout lanes in these stores were replaced by self-checkout systems.
The COVID-19 pandemic and its impact on public life has favorably propelled the market towards unprecedented growth. The pandemic has led this industry to an increased number of mobile-based payment solutions and online sales, These factors have been recognized as the major driving forces behind increasing demand for digital payment solutions across the globe. According to the study conducted by Accenture, transactions worth $7 trillion are expected to shift from cash to card and digital payments by 2023.
In presence of events which are acting as a catalyst for growth, i.e. collaborative deals between top players, the market is most likely to witness significant growth. For instance, in December 2023, a collaboration between PayPal Holdings Inc. and SAP was unveiled, marking the introduction of an enhanced integration aimed at streamlining digital payments for SAP customers. This partnership entails the development of a digital payments plug-in designed for the PayPal Braintree platform, leveraging the capabilities of the SAP Business Technology Platform (SAP BTP). These initiatives are expected to drive the market’s growth.
Digital Payment Market Report Highlights
- In terms of solution, the payment processing segment is expected to retain its dominance over the forecast period. The introduction of payment networks such as Mastercard, Visa, and Rupay in multiple countries is anticipated to contribute to the growth
- In terms of mode of payment, the point of sales segment dominated in 2023 and is expected to witness significant growth over the forecast period. The growing preference for digital wallets while paying for e-commerce transactions and online purchases is expected to drive the segment growth
- In terms of deployment, the on-premise segment dominated with the largest revenue share in 2023. On-premise deployment of digital payment solutions facilitates secured transactions, which is expected to bode well for this segment’s growth
- In terms of enterprise size, the large enterprises segment held the largest revenue share in 2023. Many large enterprises have adopted digital payment solutions to manage their payment transactions efficiently, improve the visibility of transactions, and enhance customer experience by reducing the time required to complete the payment
- In terms of end-use, the BFSI segment dominated the market in 2023. The continued digitalization of banks and other financial institutions is anticipated to drive this segment’s growth
- Asia-Pacific is anticipated to witness significant CAGR from 2024 to 2030. The increasing adoption of digital payment solutions in emerging economies such as China and India is expected to create growth opportunities in the region
- In presence of events which are acting as a catalyst for growth, i.e. collaborative deals between top market players, the market is most likely to reach the anticipated growth during the forecast period.
Table of Contents
Chapter 1. Digital Payment Market: Methodology and Scope
Chapter 2. Digital Payment Market: Executive Summary
Chapter 3. Digital Payment Market: Variables, Trends, and Scope
Chapter 4. Digital Payment Market: Solution Estimates & Trend Analysis
Chapter 5. Digital Payment Market: Mode of Payment Estimates & Trend Analysis
Chapter 6. Digital Payment Market: Deployment Estimates & Trend Analysis
Chapter 7. Digital Payment Market: Enterprise Size Estimates & Trend Analysis
Chapter 8. Digital Payment Market: End-use Estimates & Trend Analysis
Chapter 9. Digital Payment Market: Regional Estimates & Trend Analysis
Chapter 10. Competitive Landscape
List of Tables
List of Figures
Companies Mentioned
- Aliant Payments
- Aurus Inc.
- Adyen
- Financial Software & Systems Pvt. Ltd.
- PayPal Holdings Inc.
- Novatti Group Pty Ltd.
- ACI Worldwide, Inc.
- Global Payments Inc.
- Wirecard
- Authorize.Net
Methodology
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Table Information
Report Attribute | Details |
---|---|
No. of Pages | 130 |
Published | January 2024 |
Forecast Period | 2023 - 2030 |
Estimated Market Value ( USD | $ 96.07 Billion |
Forecasted Market Value ( USD | $ 361.3 Billion |
Compound Annual Growth Rate | 21.1% |
Regions Covered | Global |
No. of Companies Mentioned | 10 |