Saudi Arabia Contactless Payments Market

Saudi Arabia Contactless Payments Market Size and Share: 

The Saudi Arabia contactless payments market size is projected to exhibit a growth rate (CAGR) of 12.6% during 2025-2033. The growing smartphone usage, increased internet penetration, rising consumer preference for cashless transactions, strong government support for digital payments, popularity of NFC-enabled devices, and increasing adoption of digital wallets by younger demographics is contributing to the Saudi Arabia contactless payments market growth.

Saudi Arabia Contactless Payments Market Trends:

Expansion of NFC-Enabled Devices

The principal reason for the expansion of the Saudi Arabia contactless payments market is the pervasiveness of Near Field Communication (NFC)-enabled devices. With smartphones improving and NFC technology becoming cheaper, consumers and businesses alike are welcoming this payment system with ease. Most mobile handsets currently feature NFC capability, allowing consumers to tap-and-go when shopping at retail stores, dining at restaurants, and riding transportation. The growth is further driven by retail and banking sectors that are actively promoting the infrastructure behind NFC transactions. Financial institutions and local banks, along with international technology suppliers, launch NFC-enabled cards and promote the transition away from the conventional modes of payment. The trend promotes convenience and aligns with Saudi Arabia's vision toward a cashless society, in keeping with the Vision 2030 goals for diversification of the economy and enhancing digitalization.

Increased Government Initiatives Supporting Digital Payments

Saudi Arabia's government is taking a proactive part in encouraging digital payments as part of its Vision 2030 strategy. The effort to move toward modern financial transactions and cut the use of cash has prompted various initiatives, including the launch of Mada, the national electronic payment network for the country. Government-supported schemes promote the adoption of cashless payment methods by businesses and consumers, including contactless ones. These initiatives involve subsidies and incentives for companies to place contactless payment terminals, along with public campaigns to create awareness about digital transaction advantages. Moreover, the Saudi Arabian Monetary Authority (SAMA) promotes fintech innovations, enabling new products and services that improve contactless payment experiences. Such government intervention plays a critical role in building a culture of digital payments and in propelling the Saudi Arabia contactless payments market share.

Rising Consumer Demand for Convenient, Fast and Secure Transactions

In Saudi Arabia, consumers are majorly leaning toward safe and convenient payment options. Automated checkouts via contactless payments are preferred by an increasing number of consumers wishing for the fast pace of urban settings. The hype for cashless methods is more promoted among them due to hygiene issues, particularly now, after going through the coronavirus pandemic. Consumers also appreciate the new security of contactless payments when physical handing over of cards or cash is not involved. Banks and retailers, also act upon this trend by advertising their contactless facilities and establishing a sense of reliability and safety among consumers. The push that demands easy, quick, and safe ways of payment is positively influencing the Saudi Arabia contactless payments market outlook, as corporates are looking into suitable payment methods juxtaposed with changing expectations.

Saudi Arabia Contactless Payments Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the regional level for 2025-2033. Our report has categorized the market based on type, and application.

Type Insights:

• Smartphone Based Payments
• Card Based Payments
  • Credit Cards
  • Debit Cards
  • Others

The report has provided a detailed breakup and analysis of the market based on the type. This includes smartphone based payments, and card based payments (credit cards, debit cards, and others).

Application Insights:

• Retail
  • Consumer Electronics
  • Fashion & Garments
  • Others
• Transportation
• Healthcare
• Hospitality
• Others

The report has provided a detailed breakup and analysis of the market based on the application. This includes retail (consumer electronics, fashion & garments, and others), transportation, healthcare, hospitality, and others.

Regional Insights:

• Northern and Central Region
• Western Region
• Eastern Region
• Southern Region

The report has also provided a comprehensive analysis of all the major regional markets, which include Northern and Central Region, Western Region, Eastern Region, and Southern Region.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

Saudi Arabia Contactless Payments Market News:

• In February 2024, Loop, a digital payments technology firm licensed by the Saudi Central Bank, partnered with Mastercard to launch credit card and payment solutions in Saudi Arabia. Utilizing Mastercard’s expertise, Loop aims to enhance its offerings and introduce innovative financial solutions, boosting financial inclusion across the country. This collaboration targets a wide audience, including individual consumers, small- to medium-sized businesses (SMBs), and FinTech companies.

Saudi Arabia Contactless Payments Market Report Coverage:

Key Questions Answered in This Report:

• How has the SAUDI ARABIA contactless payments market performed so far and how will it perform in the coming years?
• What is the breakup of the Saudi Arabia contactless payments market on the basis of type?
• What is the breakup of the Saudi Arabia contactless payments market on the basis of application?
• What is the breakup of the Saudi Arabia contactless payments market on the basis of region?
• What are the various stages in the value chain of the Saudi Arabia contactless payments market? 
• What are the key driving factors and challenges in the Saudi Arabia contactless payments market?
• What is the structure of the Saudi Arabia contactless payments market and who are the key players?
• What is the degree of competition in the Saudi Arabia contactless payments market? 

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the Saudi Arabia contactless payments market from 2019-2033.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the Saudi Arabia contactless payments market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the Saudi Arabia contactless payments industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.