Mobile Wallet Market Report and Forecast 2024-2032

Market Outlook

According to this report, the global mobile wallet market size reached a value of USD 160.1 billion in 2023. Aided by the increased integration of QR codes in mobile wallets for quick and seamless transactions, the market is projected to further grow at a CAGR of 18.3% between 2024 and 2032 to reach a value of USD 710.82 billion by 2032.

Mobile wallets, also known as digital wallets, are virtual wallets that store payment card information on a mobile device. They allow users to make payments through their smartphones, eliminating the need for physical cards. Mobile wallets also offer various features such as bill payments, money transfers, ticket bookings, and reward points management, making them highly convenient for consumers.

The rapid proliferation of smartphones and high-speed internet connectivity is driving the mobile wallet market growth. With the increasing penetration of smartphones, especially in emerging economies, and the growing access to the internet, consumers are increasingly adopting mobile wallets for their convenience and ease of use. Moreover, the rising awareness about the benefits of cashless transactions, such as enhanced security and reduced risk of theft, is further propelling the market growth.

The growing trend of digitalisation across various sectors is also contributing to the mobile wallet market share. Governments and financial institutions worldwide are promoting digital payments to reduce cash dependency and improve financial inclusion. This has led to the widespread adoption of mobile wallets for various transactions, including retail purchases, utility bill payments, and peer-to-peer money transfers.

In addition to the retail sector, the expanding applications of mobile wallets in other industries are playing a significant role in propelling the market development. In the transportation sector, mobile wallets are increasingly being used for fare payments in public transport systems, including buses, trains, and metro services. The integration of mobile wallets with transit systems offers a seamless and convenient payment experience for commuters, thereby driving the market growth.

The entertainment and hospitality industries are also leveraging mobile wallets to enhance customer experiences. Mobile wallets are being used for booking movie tickets, hotel reservations, and event tickets, offering a hassle-free and efficient payment process. Furthermore, the rising popularity of online food delivery services and e-commerce platforms is further augmenting the demand for mobile wallets, as they provide a quick and secure payment option for consumers.

As per the global mobile wallet market analysis, the increasing focus on enhancing security features is also driving the adoption of mobile wallets. Advanced security technologies, such as biometric authentication, tokenization, and encryption, are being integrated into mobile wallets to ensure the safety and security of transactions. These features help build consumer trust and confidence in using mobile wallets for their daily transactions, thereby boosting the market growth.

Moreover, the rising trend of contactless payments, accelerated by the COVID-19 pandemic, has further propelled the demand for mobile wallets. The need for minimizing physical contact and ensuring safe transactions has led to the widespread adoption of contactless payment methods, including mobile wallets. This shift in consumer behaviour towards contactless payments is expected to drive the mobile wallet market in the coming years.

The global mobile wallet market is poised for significant growth in the coming years, driven by the rising adoption of smartphones, the increasing preference for cashless transactions, and the growing trend of digitalization across various sectors. The integration of advanced security features and emerging technologies presents significant growth opportunities for market players. However, the market faces challenges such as security and privacy concerns and regulatory compliance issues. The key market players are focusing on technological advancements, strategic collaborations, and expansion in emerging markets to enhance their market presence and cater to the growing demand. The Asia Pacific region is expected to dominate the market, followed by North America and Europe.

Market Segmentation

The market can be divided based on type, technology, application, industry vertical and region.

Market Breakup by Type

• Proximity
• Remote Payment

Market Breakup by Technology

• Near Field Communication (NFC)
• Digital Only
• Optical/QR Code
• Text based/Short Message Service

Market Breakup by Application

• Personal
• Business

Market Breakup by Industry Vertical

• Retail and E-commerce
• Hospitality and Transportation
• Media and Entertainment
• Healthcare
• Energy and Utilities
• Telecommunication
• Others

Market Breakup by Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East and Africa

Competitive Landscape

The report looks into the market shares, plant turnarounds, capacities, investments, and mergers and acquisitions, among other major developments, of the leading companies operating in the global mobile wallet market. Some of the major players explored in the report are as follows:

• Paypal Holdings Inc.
• Alphabet Inc.
• American Express Company
• Alipay Singapore E-Commerce Private Limited
• J.P. Morgan Chase & Co.
• Vodafone Group Plc
• Samsung Electronics Co., Ltd.
• Apple, Inc.
• Amazon.com, Inc.
• One97 Communications Limited
• Others