mPOS Market By Application (Financial Institutions, Third-party Payment Institutions) By Solution (Hardware, Services) and Region - Global Forecast 2026
27th October 2018
- find_in_page Our Research Methodology is based on the following main points:
- Data Collections and Interpretation
- Data Validation
- Final Projections and Conclusion
The global mPOS market is estimated to value at around US$ 26 Bn in 2018, and is expected to register a CAGR of 18.8%. The report offers in-depth insights, revenue details, and other vital information regarding the global mPOS market and the various trends, drivers, restraints, opportunities, and threats in the target market till 2023. The report also offers insightful and detailed information regarding the various key players operating in the global mPOS market, and their financials, apart from strategies, acquisitions & mergers, and market footprint. The global mPOS market is segmented on the basis of application, solution, and region.
This report is based on synthesis, analysis, and interpretation of information gathered regarding the target market from various sources. Our researchers have analyzed the information and data and gained insights using a mix of primary and secondary research efforts with the primary objective to provide a holistic view of the market. In addition, an in-house study has been made of the global economic conditions and other economic indicators and factors to assess their respective impact on the market historically, as well as the current impact in order to make informed forecasts about the scenarios in future.
An mPOS or mobile POS is a portable point of sale (POS) on a smartphone or tablet that functions as a register. mPOS or mobile point-of-sale terminals are a replacement for traditional cash registers and point-of-sale devices.
Global mPOS Market Dynamics:
Increasing use of EuroPay, MasterCard, and Visa (EMV) cards among consumers as a cashless and e-commerce transaction option in both developed and developing countries across the globe is a major factor driving growth of the global mPOS market to a significant extent currently. mPOS terminals eliminate potential human error and enables conducting transactions faster in retail outlets, as well as helps to maintain accurate records of daily transactions, volume sales, and product stock.
mPOS terminals reduce paperwork as these units can generate accurate reports and store large volumes of data about stock and customers/consumers in real time and electronically. In addition, mPOS devices help to access updates of sales and purchase records on hourly, weekly, and monthly basis. The mPOS terminals help to improve Customer Relationship Management (CRM) as they enable easy access to data and help to track records of single or multiple customers, thereby making returns or exchanges of products timely and efficiently.
However, availability of various modes of digital payment options such as mobile wallet, digital payment apps, Internet banking, Unified Payment Interface (UPI) services, etc. may hamper growth of the global mPOS market over the forecast period. In addition, these smartphone applications are freely available on the Internet, which increases its preference and usage among consumers.
Development of preinstalled security system (software) in mPOS devices to ensure more secure data security and alleviate concerns related to theft or fraud is expect create high potential revenue opportunities for players in the target market.
Market analysis by application:
On the basis of application segmentation, the third-party payment institutions segment is estimated to contribute significant revenue share and is expected to maintain its dominance over the forecast period. The third-party payment institutions segment is expected to register highest CAGR of over 18%. This growth can be attributed to increasing application of mPOS terminals in various third party payment institutions such as restaurants, hotels, grocery stores, supermarkets, hypermarkets, convenience stores, and for various B-to-B payments.
Market analysis by solution:
On the basis of solution segmentation, the services segment is expected to contribute significant revenue share of the market, and is estimated to maintain its dominance over the forecast period. The hardware segment is projected to register highest CAGR over 19% over the forecast period. This growth of hardware segment can be attributed to increasing technological advancements and development of innovative products by major manufacturers operating in the global mPOS market in the next few years.
Analysis by Region:
The market in North America accounted for significant revenue share in the global mPOS market in 2017. Financial institutions (FIs) are rapidly shifting towards offering mPOS solutions to their small-to-medium-sized business (SMB) customers. Financial institutions are aware that there is a time-limited opportunity to become a leader in enabling seamless payments for the SMB market, owing to increasing competition from both traditional firms and technology providers. Increasing government spending on mPOS system infrastructure in order to facilitate financial transactions are among some of the major factors driving growth of the mPOS market in the region. In addition, adoption of mPOS solutions at fuel outlets, gas stations, and convenience stores is another factor supporting growth of the target market.
The market in Europe is expected to account for third-largest revenue share in the global market, and is projected to register highest CAGR over the forecast period. Adoption of cashless transaction policies by governments of various countries in Europe has resulted into increasing use of mPOS among individual as a safe mode for transactions. In addition, growing e-commerce market resulting in increasing adoption of mPOS, terminals among vendors for easy mode of payment are among other major factors driving growth of the mPOS market in this region. Growing tourism in countries such as Switzerland, France, Ireland, etc., and rising adoption of mPOS terminals in hotels and convenience stores is another factor expected to support growth of the target market in countries in this region.
Asia Pacific market is estimated to account for second-largest revenue share in the global market and is expected to register second-highest CAGR in terms of revenue over the forecast period. Government approach with help of banks towards fostering non-cash payment mode and deployment of mPOS solution in rural areas in order to improve rural payment services are other key factors expected to drive growth of the global mPOS market.
Moreover, Government initiatives towards digitalization and payments via digital mode through various applications such as Alipay and WeChat, and mobile wallet is further expected to drive growth of the mPOS market.
In 2016, the Indian government adopted the demonetization policy in order to begin the shift towards a cashless economy. This has resulted in increasing use of mPOS solutions for financial transactions. In addition, increasing government initiatives towards shifting to a cashless economy and banks and private organizations’ integrated approach towards risk management, deployment of various mPOS solutions with additional offerings and discounts on financial transactions is in turn expected to support growth of the mPOS terminals market.
Moreover, growing e-commerce sector coupled with various discounts offered by service providers is expected to increase adoption of mPOS solutions among consumers, and in turn is expected to support growth of the mPOS market in India.
Global mPOS Market Segmentation:
Global mPOS Market Segmentation on the basis of application:
- Financial Institutions
- Third-party Payment Institutions
Global mPOS Market Segmentation on the basis of solution:
Global mPOS Market Segmentation on the basis of region:
- North America
- Asia Pacific
- Latin America
- Middle East & Africa
- Ingenico Group
- Verifone Systems, Inc.
- Fujian Newland Payment Technology Co., Ltd.
- Fujian LANDI Commercial Equipment Co., Ltd.
- Shenzhen Xinguodu Technology Co., Ltd.
- New Pos Technology Ltd.
- Bitel LLC
- Castles Technology Co., Ltd.
- SZZT Electronics Shenzhen Co., Ltd.
- Square, Inc.
- Oracle Corporation
- PayPal Holdings, Inc.
- Toshiba Corporation
- The Hewlett-Packard Company (HP Inc.)
- PAX Technology Limited.
- 1.0 Chapter 1
- 1.1 Preface
- 1.2 Assumptions
- 1.3 Abbreviations
- 2.1 Report Description
- 2.1.1 Market Definition and Scope
- 2.2 Executive Summary
- 2.2.1 Market Snapshot, By Application
- 2.2.2 Market Snapshot, By Solution
- 2.2.3 Market Snapshot, By Region
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