Global Contactless Payment Terminals Market - Segmented by Technology (Bluetooth, Infrared, Carrier-based), Payment Modes (Account-based, Credit/Debit Card, Stored Value), Devices (Integrated POS, mPOS, Unattended Terminal), End-User Industry (Retail, Transport, Banking), and Region - Growth, Trends, and Forecast (2018 - 2023)
The contactless payment terminals market was valued at USD 8.6 billion in 2017 and is projected to reach USD 28.7 billion by the end of 2023, growing at a CAGR of 22.12% over the forecast period of 2018-2023. The scope of the report is limited to the type of technology, payment modes, and devices used in contactless payment. The regions considered in the scope of the report include - North America, Europe, Asia-Pacific, Latin America, and Middle East & Africa.
The pace with which the payments can be processed is making contactless payment lucrative for businesses and the faster checkout times, along with the ease of payments, are making users upgrade their cards to contactless ones.While increasing internet penetration is driving the growth of the contactless payment terminals market, concerns over the security of information that is visible through such terminals is set to hinder the growth to some extent.
Increasing Internet Penetration
The growth of the contactless payment terminals market will be driven by internet penetration as a strong internet connection is the backbone of this payment method.
The number of internet users in 2018 reached more than 4 billion, depicting a 7% year-on-year growth rate. Moreover, with increasing digitization and smart cities, people will be more inclined towards contactless payment methods as they offer convenience and quicker checkout time. Also, smartphone manufacturers are coming out with contactless payment methods such as Samsung Pay. All this will aid the contactless payment terminals market to grow.
Contactless payments have become one of the hottest ways to pay globally. A contactless payment is a payment transaction that does not require physical contact between a consumer’s payment device and a point-of-sale terminal. The introduction of NFC-enabled mobile payments with Apple Pay, Android Pay, and Samsung Pay, and the use of contactless bank cards for transit – are increasing the value of contactless payments for consumers, issuers, and merchants.
Contactless payments provide merchants and issuers an opportunity to improve payments security, transaction speeds, and the customer experience. With the move to EMV chip technology, the POS infrastructure can also be enabled to support contactless payments, which delivers a host of benefits to merchants, issuers, and their customers.
Key Developments in the Market