Market Size of Payment Processing Solutions Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | 10.20 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Payment Processing Solutions Market Analysis
The Payment Processing Solutions Market is expected to register a CAGR of approximately 10.2% during the forecast period (2021 - 2026). The global payments landscape is changing rapidly due to the increasing enterprises and consumer propensity towards digital transformation coupled with the high penetration rate of smartphones. The technological advancements in the smartphone industry, the evolution of digital payment methods, and the adoption of POS at retail terminals are fueling the market growth.
- The massive growth in E-commerce across industries is expected to increase the demand for payment processing solutions in these industries. Digital/Mobile payment methods help in faster and seamless checkouts and improve the online shopping conversion rates due to ease in payment methods. According to a study by Shopify, approximately 53% of online shoppers prefer credit cards as their preferred payment option.
- The global consumer inclination towards digital and mobile payment methods is increasing, as financial service providers are either offering their card solutions on smartphones or via third-party vendors. Also, various payment solutions providers are increasingly spreading their presence in developing economies to enhance their market presence and share by offering attractive benefits.
- For instance, in January 2020, FIS launched its online payment processing solution, Worldpay in 26 markets across Africa. The solution will enable companies and merchants to foster digital payments in their operations. The company will leverage technology from Flutterwave into the Worldpay platform.
- The adoption of digital payment methods is expected to accelerate post-COVID-19 pandemic and play a stronger role in the long term. Cash and other forms of physical payment solutions are being witnessed as a major potential carrier for the virus. Hence, governments and regulatory bodies are strongly discouraging its use. For instance, The National Payments Corporation of India is urging the usage of digital payments as a method to reduce further social contact to reduce the spreading of viruses via currency notes.
