The global digital payment market size is projected to reach USD 93 billion by 2025.
The growing use of mobile devices and smartphones, along with high internet penetration, is likely to fuel the market growth in the next five years. Easy accessibility and user-friendly digital payment applications are further projected to drive the growth of the industry. Additionally, various governments throughout the globe are taking initiatives to endorse cashless transactions. For example, the Government of India introduced the Digital India initiative, which emphases encouraging cashless transactions and digital payment processes in the nation.
The advancement of global digitalization has influenced the digital payment services market substantially. The internet facilitates merchants to deliver their services within the digital payment market space. The rising need to facilitate improved customer support at the POS terminals is projected to drive the industry growth within the forecast period. The rising number of e-commerce players, various developments within the mobile payment technology, and rising use of mobile wallets for performing transactions are contributing to the industry growth.
Based on the payment methods, the market is classified into Point of Sale (POS) devices, net banking, digital eWallets, mobile banking, and cryptocurrencies. The POS devices segment held the largest market share in 2018, due to various advantages such as ease of use, high efficiency, and increased precision. POS terminals promptly accept several transactions via EMV chip cards, contactless payments, and mobile wallets that include Android Pay, Apple Pay, and Samsung Pay. The POS terminals rationalize the accounting procedures, thus making it simple for merchants to track past transaction records. The digital wallet payments are anticipated to grow at a considerable rate from 2019 to 2025. The emergence of e-commerce and online purchases is likely to augment the growth of digital wallets in the next few years.
On the geographical front, North America dominated the global digital payment market in 2019 and is expected to do so over the forecast period 2019 – 2025. Since the region is home for various industry players, North America is likely to possess the largest market share in the coming five years. Canada has experienced substantial growth, particularly due to vigorous government investments in technology that support digital payment solutions.
As of 2019, the market for digital payment providers is fragmented with the presence of established global and domestic players across the globe. Moreover, the established companies are coming up with upgraded digital payment technologies that provide digital and automation solutions.
Segment Overview of Global Digital Payment Market
Payment Method Overview, 2018-2025 (USD Billion)
· POS Devices
· Net Banking
· Digital eWallets
· Mobile Banking
· Crypto Currencies
Organization Type Overview, 2018-2025 (USD Billion)
· Large Enterprises
Application Type Overview, 2018-2025 (USD Billion)
· Telecom & IT
· Retail & e-Commerce
Regional Overview, 2018-2025 (USD Billion)
· North America
o Rest of Europe
· Asia Pacific
o Rest of APAC
· South America
o Rest of South America
· Middle East and Africa