Digital Payment Market

Market Overview 2023-2028:

The global digital payment market is expected to exhibit a growth rate (CAGR) of 16.4% during 2023-2028.

Digital payment is the transfer of money from one account to another using digital devices, such as mobile phones, point of sales (POS), and computers, via the internet. It is easy and convenient as digital payment reduces dependency on cash and increases the speed of transactions. It provides high transparency and security by enhancing traceability and accountability while reducing money theft. It enhances financial inclusion by increasing access to various financial services, such as savings accounts and credit and insurance products. As it is processed by secure gateways, digital payment is widely used in the media and entertainment, retail, automotive, healthcare, transportation, and education industries worldwide.

Digital Payment Market Trends:

At present, there is a rise in the demand for real-time payments among the masses for immediate funds availability, settlement finality, instant confirmation, and integrated information flows. This, along with the growing adoption of mobile wallets due to better security, flexibility, and convenience, represents one of the key factors driving the market. Besides this, e-commerce companies are focusing on developing point-of-sale (POS) systems for handling online and in-store transactions. This, coupled with the burgeoning e-commerce industry, is contributing to the growth of the market. In addition, the growing adoption of the 5G network enables consumers to make payments and buy products online effectively. In line with this, enhanced 5G connectivity helps digital payment service providers implement fraud prevention measures, which is positively influencing the market. Moreover, digital payments are used in the government sector to cover multiple citizen-to-government (C2G) and government-to-citizen (G2C) payments, which is propelling the growth of the market. Additionally, the increasing utilization of digital payments by large enterprises to manage their payment transactions and enhance customer experience is bolstering the growth of the market.

Key Market Segmentation:

IMARC Group provides an analysis of the key trends in each sub-segment of the global digital payment market report, along with forecasts at the global, regional and country level from 2023-2028. Our report has categorized the market based on component, payment mode, deployment type, and end use industry.

Breakup by Component:

• Solutions
  • Application Program Interface
  • Payment Gateway
  • Payment Processing
  • Payment Security and Fraud Management
  • Transaction Risk Management     
  • Others
• Services
  • Professional Services
  • Managed Services

Solutions dominate the market due to the increasing preference for online shopping across the globe.

Breakup by Payment Mode:

• Bank Cards
• Digital Currencies
• Digital Wallets
• Net Banking
• Others

Digital wallets account for the largest market share as it is a secure channel for transferring money and making payments.

Breakup by Deployment Type:

• Cloud-based
• On-premises

At present, on-premises exhibit a clear dominance in the market due to rising incidents of financial fraud in various organizations around the world.

Breakup by End Use Industry:

• BFSI
• Healthcare
• IT and Telecom
• Media and Entertainment
• Retail and E-commerce
• Transportation
• Others

Digital payment finds extensive application in the BFSI sector for making cross-border and domestic transactions.

Breakup by Region:

• North America
  • United States
  • Canada
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Indonesia
  • Others
• Europe
  • Germany
  • France
  • United Kingdom
  • Italy
  • Spain
  • Russia
  • Others
• Latin America
  • Brazil
  • Mexico
  • Others
• Middle East and Africa

North America enjoys the leading position in the market due to the convenience, reliability, and security offered by digital payments.

Competitive Landscape:

The report has also analysed the competitive landscape of the market with some of the key players being ACI Worldwide Inc., Adyen N.V., Aliant Payment Systems Inc., Amazon.com Inc., American Express Company, Apple Inc., Fiserv Inc., Mastercard Incorporated, Novetti Group Limited, Paypal Holdings Inc., Stripe Inc., Total System Services Inc., Visa Inc. and Wirecard AG.

Report Coverage: