The global smart payment system market is anticipated to grow at a significant CAGR of 16% during the forecast period. The increasing number of mobile phone users with high-speed internet connectivity is propelling the growth of the market. According to Pew Research Center, the share of consumers in the US that owns a smartphone was 85% in 2021, up from just 35% in the first survey on smartphone ownership conducted in 2011. Smartphone users are more likely to be under the age of 50, college graduates, earn $75,000 per year or more, and live in urban areas. Both men and women own smartphones in equal numbers. 

Impact of COVID-19 Pandemic on Global Smart Payment System Market

The COVID-19 pandemic has become one of the biggest threats to the global economy and financial markets. To contain the impact of the COVID-19 pandemic many countries across the globe have taken several measures, including a nationwide lockdown; limiting the movement of the entire population; shutting down public places and transport, and urging the public to stay indoors, maintain social distance, and work from home. The resulting economic disruption is huge and the short-term decline in activity for businesses, both large and small, is considerable. The smart payment system declines are seen in airlines, tourism, hospitality, hotels, entertainment, e-commerce (non-essentials), and restaurants, among other sectors. Further, cross-border payments, be they B2B or C2B, have significantly declined to owe to the temporary shutting down of borders further, resulting in restricted movement of goods. 

Segmental Outlook 

The global smart payment system market is segmented based on type and application. Based on the type, the market is bifurcated into internet payment and mobile payment. Based on the application, the market is augmented into retail, transportation, hospital, media & entertainment, and others. The above-mentioned segments can be customized as per the requirements. Among the application segment, the hospital segment is expected to hold a significant share in the market over the forecast period. Healthcare provider payment mechanisms can be used as powerful tools for promoting the development of health systems toward the achievement of health policy objectives. Furthermore, hospitals are digitally connecting with the rest of the ecosystem which will further fuel the smart payment system market. 

Global Smart Payment System Market Share by Type, 2021 (%)

The Mobile Payment Segment is Expected to hold the Significant Share in the Global Smart Payment System Market 

Among the type segment, the application segment is expected to hold a significant share in the market over the forecast period. The adoption of mobile payment solutions is increasing worldwide and is driving growth in non-cash transactions. Due to the COVID-19 pandemic, the use of contactless mobile payments has been on the boom. Due to the pandemic, the transactions caused by using debit, and credit cards decreased and mobile payments increased. 

Regional Outlooks

The global smart payment system market is further segmented based on geography including North America (the US, and Canada), Europe (Italy, Spain, Germany, France, and Others), Asia-Pacific (India, China, Japan, South Korea, and Others), and the Rest of the World (the Middle East & Africa, and Latin America). The market can be analyzed for a particular region or country level as per the requirement. Among all regions, the North American region is expected to hold a considerable market share in the market over the forecast period. The presence of well-developed infrastructure and key players across the US and Canada is propelling the growth of the smart payment system market over the forecast period. 

Global Smart Payment System Market Growth, by Region 2022-2028

The Asia-Pacific Region is Expected to Hold the Considerable Share in the Global System Smart Payment Market 

Among all regions, the Asia-Pacific is expected to be the fastest-growing region during the te forecast period. Mobile payments are now growing faster in the countries such as India and China, than in card payments as more consumers and businesses adopt digital payments due to the pandemic. Moreover, in India bank accounts as the in-app payment method and growing consumer preference to use the smartphone to pay are gaining popularity which is supporting the market directly. 

Market Players Outlook

The major companies serving the global smart payment system market include Apple Inc., Diebold Nixdorf, Inc., Dwolla Inc., Google Pay, Infineon Technologies AG, PayPal Holdings, Inc., PhonePe Pvt. Ltd., Tipalti Inc., Total System Services, Inc., and others. The market players are considerably contributing to the market growth by the adoption of various strategies including mergers and acquisitions, partnerships, collaborations, funding, and new product launches, to stay competitive in the market. For instance, in August 2021, in India, PM launched the digital payment solution e-RUPI, a cashless and contactless instrument for digital payment. Prime Minister stated that the eRUPI voucher is going to play a huge role in making Direct Benefit Transfer (DBT) more effective in digital transactions in the country and will give a new dimension to digital governance. e-RUPI is a digital voucher that a beneficiary gets on his phone in the form of an SMS or QR code. It is a pre-paid voucher, which he/she can go and redeem at any center that accepts it.

The Report Covers

• Market value data analysis of 2021 and forecast to 2028.
• Annualized market revenues ($ million) for each market segment.
• Country-wise analysis of major geographical regions.
• Key companies operating in the global smart payment system market. Based on the availability of data, information related to new product launches, and relevant news is also available in the report.
• Analysis of business strategies by identifying the key market segments positioned for strong growth in the future.
• Analysis of market-entry and market expansion strategies.
• Competitive strategies by identifying ‘who-stands-where’ in the market.