digital payment market

Digital Payment Market Share, Size, Trends, Industry Analysis Report, By End-Use (BFSI, Healthcare, IT & Telecom, Media & Entertainment, Retail & E-commerce, Transportation, Others); By Type; By Current; By Region; Segment Forecast, 2022 - 2030

  • Published Date: Mar 2022
  • Pages: 114
  • Format: PDF
  • Report ID: PM2347
  • Base Year: 2021
  • Historical Data: 2018 - 2020

Report Summary

The global digital payment market was valued at USD 88.50 billion in 2021 and is expected to grow at a CAGR of 15.7% during the forecast period. The rising prevalence of cash-less transactions and increasing government initiatives and support to meet the demand for liquidity and cash crunch are likely to accelerate the demand for the industry over the forecast period.

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The rising use of credit cards, debit cards, digital currencies, mobile wallets, net banking, point of sale, along with the increasing prevalence of mobile apps, is projected to increase the demand for online transactions over the forecast period. These mobile apps offer several promotional schemes on virtual transactions such as online shopping vouchers, cashback, discounts, in-shop offers, and many others to attract customers in order to increase the use of such cards and apps for online transactions.

The push in the development of online transaction networks came from the technology companies and the e-commerce giants. Today, Apple, Google, Facebook, Amazon, Samsung Pay, and Alipay are some of the top leaders in the world of virtual transactions. For instance, Alipay, one of the biggest Chinese online transaction platforms, registered 900 million domestic users to facilitate easy online transactions between buyers and sellers.

The COVID-19 pandemic has positively impacted the virtual transaction systems market. Worldwide lockdowns and stringent regulations imposed by the government across the globe led to the adoption of a digital transaction system in order to avoid cash transactions among people. Cashless transactions using virtual services helped society maintain social distance to avoid contact with infection or viruses.

In addition, the rising trend for online e-commerce also led to the greater demand for the digital payment market. Worldwide lockdown changed the shopping behavior of the people and had compelled the masses to embrace the online shopping system and buy groceries, medicines, personal care products, and other basic essential commodities online, that led to the increased usage of bank cards and mobile apps which also offers customers some great benefits.

Industry Dynamics

Growth Drivers
The growing demand for any time, anywhere transaction systems complemented with the use of smartphones, better internet connectivity, and non-physical interfaces are contributing to the increased demand for real-time transactions, which in turn, is expected to boost the digital payment market. Nowadays, customers are demanding a more convenient and hassle-free experience for their digital transaction needs. Superior, seamless user experience and better personalization is contributing to the higher demand for the industry across the globe.

Mobile wallet proliferation is one of the biggest contributors to the growth of the virtual transaction system industry. The popularity of e-wallets has grown over the years owing to easy convenience and several offers provided by online transaction apps. According to the Global Payments Report 2021, the number of consumers that adopted mobile wallets to make transactions online increased from over 900 million to 1.48 billion in fiscal 2020 during the pandemic. Also, 25.7% of all POS (Point of Sale) transactions were made using mobile wallets.

Report Segmentation

The market is primarily segmented based on solution, mode of payment, deployment, enterprise size, end-use, and region.

By Solution

By Mode of Payment

By Deployment

By Enterprise Size

By End-Use

By Region

  • Application Program Interface
  • Payment Gateway
  • Payment Processing
  • Security & Fraud Management
  • Transaction Risk Management
  • Others
  • Bank Cards
  • Digital Currencies
  • Digital Wallets
  • Net Banking
  • Point of Sales
  • Others
  • Cloud
  • On-premises
  • Large Enterprises
  • Small & Medium Enterprises
  • BFSI
  • Healthcare
  • IT & Telecom
  • Media & Entertainment
  • Retail & E-commerce
  • Transportation
  • Others
  • North America (U.S., Canada)
  • Europe (France, Germany, UK, Italy, Spain, Netherlands, Russia)
  • Asia Pacific (Japan, China, India, Malaysia, Indonesia, South Korea)
  • Latin America (Brazil, Mexico, Argentina)
  • Middle East & Africa (Saudi Arabia, UAE, Israel, South Africa)

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Insight by Mode of Payment

On the basis of mode of payment, the market is categorized into bank cards, digital currencies, digital wallets, net banking, point of sales, and others. The point-of-sale segment dominated the industry in 2021 due to its several benefits, such as quicker transactions, greater accuracy, expanded disbursement capabilities, faster services, better security, and many others.

Digital wallet is projected to witness a significant market over the forecast period. The increased usage of mobile phones, along with the ease of use and convenience, has led to the greater popularity of digital wallets among people, especially millennials, which is likely to boost the demand for the industry.

Insight by End-Use

On the basis of end-use, the market is further segmented into BFSI, healthcare, IT & telecom, media & entertainment, retail & e-commerce, transportation, and others. The Banking, Financial Services, and Insurance (BFSI) segment dominated the global digital transaction system market in 2021 and accounted for the largest revenue share.

With the introduction of digitization, banks have adopted the virtual transaction system owing to the several advantages it offers, such as increased efficiency of the delivery of products and services, wider reach of customers, improved quality of services, reduced operational and transactional costs, increased financial inclusion, etc.

Media & Entertainment is likely to witness a lucrative growth in the global market over the forecast period. The emergence and expansion of the OTT (Over the Top) platform among masses across the globe are driving the market demand primarily due to the convenience of use. OTT platforms have witnessed huge traffic over the past few years, wherein the Covid pandemic has played a crucial role in the rapid surge of online users.

Geographic Overview

North America dominated the global digital payment market in 2021 and witnessed the largest revenue share. The proliferation of rapid technological advancements and investments in virtual transaction offerings and capabilities is expected to drive the demand for the market in the region.

The rapid evolvement of digitalization over the years in the region is boosting the market demand. Netflix, one of the largest digital streaming platforms, is an American subscription streaming service and production company that provides a wide range of films and television series along with attractive subscription offers to customers spread across the globe.

Competitive Insight

Some of the major players operating in the global market include 2Checkout, ACI Worldwide, Adyen, Aliant Payments, Alipa, Applepay, Due, Dwolla, Fattmerchant, FIS, Fiserv, Global Payments, Intuit, Jpmorgan Chase, Paypal, Paysafe, Paytrace, PayU, Spreedly, Square, Stripe, Visa, Wex, and Worldline.

Digital Payment Market Report Scope

Report Attributes

Details

Market size value in 2021

USD 88.50 billion

Revenue forecast in 2030

USD 309.74 billion

CAGR

15.7% from 2022 - 2030

Base year

2021

Historical data

2018 - 2020

Forecast period

2022 - 2030

Quantitative units

Revenue in USD million/billion and CAGR from 2022 to 2030

Segments covered

By Solution, By Mode Of Payment, By Deployment, By Enterprise Size, By End-Use, By Region

Regional scope

North America, Europe, Asia Pacific, Latin America, Middle East & Africa

Key companies

2Checkout, ACI Worldwide, Adyen, Aliant Payments, Alipa, Applepay, Due, Dwolla, Fattmerchant, FIS, Fiserv, Global Payments, Intuit, Jpmorgan Chase, Paypal, Paysafe, Paytrace, PayU, Spreedly, Square, Stripe, Visa, Wex, and Worldline.

Key Take-Away
Polaris Market Research
Digital Payment Market Size Report, 2022 - 2030