| Report Attribute | Details |
|---|---|
| Market size in 2021 | US$ 7,499.32 Million |
| Market Size by 2028 | US$ 20,697.69 Million |
| Global CAGR (2022 - 2028) | 15.9% |
| Historical Data | 2019-2020 |
| Forecast period | 2022-2028 |
| Segments Covered |
By Type
|
| Regions and Countries Covered | Europe
|
| Market leaders and key company profiles |
The rapidly changing digital payment landscape is fueling the adoption of mobile banking channels and digital wallets. Stores are rapidly adopting digital payment applications such as PayPal, Samsung Pay, Apple Pay, and Google Pay to accept payments. Further, the proliferation of smartphones and increasing investments by internet service providers are propelling the use of digital wallets in Europe, and the Middle East and Africa. Growing cash transactions in countries in the Middle East is further leading to the promotion of mobile banking channels and digital wallets. The UAE has observed a boom in the number of mobile payment services in recent years. A mobile operator, Etisalat offers Etisalat Wallet, while Emirates NBD bank offers NBD Pay, a mobile contactless payment service based on near-field communication (NFC). The concentration of wealth in Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the UAE is a significant factor fueling the adoption of digital payments in these countries.
Growing number of partnerships and collaborations among the banks and e-commerce giants in the MEA is anticipated to provide significant growth opportunities for the payment gateway market players. In July 2020, Oman Air and BankDhofar partnered to launch an e-commerce payment gateway solution that enables customers of the airline to process their online bookings using debit cards. The customers also receive instant notifications about payment transactions. In September 2019 CCAvenue, the digital payment gateway platform of Infibeam Avenues, collaborated with Riyad Bank to provide digital payments in Saudi Arabia. CCAvenue.com is an established digital payment facilitator in India and the UAE. It is focusing on the expansion of its business in Saudi Arabia with an aim to spur the growth of the e-commerce sector in the Middle East and Africa. CCAvenue's payment platform will cater to the retail, petroleum, real estate, tourism, hospitality, finance, and education industries. In February 2020, Mashreq, a leading financial institution in the UAE, signed an agreement with NIUM, a leader in cross-border digital payments, to expand its QuickRemit service. The companies in the partnership aim at leveraging immediate payment capabilities to instantly facilitate the payments of their customer to Europe, Singapore, and the UK by using SEPA Instant Credit Transfer, FAST (Fast and Secure Transfer), and Faster Payment Services, respectively. Mashreq has also become the first bank in the UAE to offer instant credit facility to more than 30 countries with this new initiative. Another payments solutions provider, Network International partnered with TerraPay, a payments company, to propel the use of mobile wallets and other e-commerce channels across the UAE.
Based on Type, the payment gateway market is segmented into Online, POS/Traditional. The payment gateway market was dominated by the online segment in 2020.
With the surge in digital payment options, a large number of businesses and consumers are adopting real-time payment solutions. Therefore, market players such as Adyen and Amazoncom, Inc among others are focusing on the payment gateway infrastructure to enable these quick and effective payments. There is a growing requirement for a core infrastructure that supports a range of new banking and real-time payment services. Such infrastructure also offers benefits to the region’s economy by increasing liquidity and efficiency of payment systems. Central banks in the MEA are striving to facilitate convenient transactions for businesses and consumers. For instance, Bahrain launched an immediate payments service in 2015 which has recently witnessed significant growth with the significant surge in the volume of transactions made through its network. GhIPSS Instant Pay (GIP), Ghana's real-time payment solution, experienced a six-fold rise in year-on-year transaction volumes during the first half of 2020. Further, a surge in cross-border operations has augmented the demands for a smooth, inexpensive, and quick payment processes, which is bolstering the adoption of real-time payment systems.
The major companies in payment gateway market are Adyen; Amazoncom, Inc.; Apexx Fintech Limited; Bluesnap Inc.; Ecommpay; Mypos World Ltd; and Paytabs.
The major end users in payment gateway includes BFSI, Media and Entertainment, Consumer goods, Retail and E-commerce, Travel and Hospitality, and Others. In terms of market share, the market was dominated by the retail and ecommerce segment in 2020.