Credit Card payments market to double, forecasted to reach $327.6bn by 2031, research reveals
By Puja Sharma
“Credit Card Payments Market” in terms of revenue was estimated to be worth $162.58 billion in 2023 and is poised to reach $327.68 billion by 2031, growing at a CAGR of 9.35% from 2023 to 2031 according to a new report by InsightAce Analytic.
The use of a credit card sized in place of cash or checks to pay for products and services is known as credit card payment. Customers can use a credit card to make transactions without instantly disclosing their bank account information. Customers who wish to avoid carrying large amounts of cash and have to wait days to receive their monies favor this payment method. Furthermore, because more and more businesses are using electronic banking, the market for credit card payment systems has been growing significantly over the past few years. Due to growing demand from eCommerce enterprises and other organizations implementing this means of payment to enhance their consumer base, this trend is anticipated to continue over the projection period.
Additionally, the market for credit card payments is growing due to the numerous businesses offering significant points, rewards, and cashback to their customers in developing nations to enhance their market share. However, high prices connected with these alternatives and a consumer’s need for knowledge about the advantages of utilizing credit cards limit market growth throughout the projection period.
Key factors influencing the global Credit Card Payments Market are:
- Changing consumer behavior and preferences are major drivers
- Advances in payment technologies, including contactless payments, tokenization, and biometric authentication, are driving the market
- Growing e-commerce activities and digitization will drive the market
The following are the primary obstacles to the Credit Card Payments Market’s expansion:
- Security concerns and fraud risk to restrict market growth.
- Lack of universal acceptance to limit market growth
Future expansion opportunities for the global Credit Card Payments Market include:
- Increasing popularity of contactless payments and mobile wallets presents an opportunity for credit card issuers and processors to enhance their offerings
- Enhanced security measures present a significant opportunity.
- Innovation in payment infrastructure to boost market growth
The credit card payments market is undergoing dynamic transformations driven by technological advancements, changing consumer preferences, and global economic shifts. With the rise of contactless payments, mobile wallets, and digital transactions, the market is experiencing increased innovation to enhance security, convenience, and efficiency.
Key Developments:
- In January 2024, Barclays relaunched its Cambridge Eagle Lab with a renewed focus on helping high-growth climate tech startups connect, grow, and scale.
- In March 2022, FinTech unicorn RazorPay uncovered that it had paid an undisclosed whole to procure IZealiant Advances, a best startup that provides banks installment innovation arrangements. The securing of Azealia will help Razor Pay’s division of keeping money arrangements develop and empower it to create cutting-edge installment management and account innovation for related banks.
- In September 2021, Wizi was obtained by M2P, an Indian supplier of advanced framework, for a $5 million exchange charge. With this merger, the businesses will manage the credit card industry and have an advantage over their clients. An Indian company called Wizz offers credit cards.
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November 08, 2024