PUBLISHER: Market Xcel - Markets and Data | PRODUCT CODE: 1522724
PUBLISHER: Market Xcel - Markets and Data | PRODUCT CODE: 1522724
B2C Payment Market Assessment, By Payment Method, By Industry Vertical, By Region, Opportunities and Forecast, 2017-2031F
Global B2C payment market is projected to witness a CAGR of 10.80% during the forecast period 2024-2031, growing from USD 1225 billion in 2023 to USD 2782.62 billion in 2031.
Digital payments have been driven by exponential growth in e-commerce. Consumers are shifting to digital payment modes over traditional modes such as cash and cheque, due to ease of use, security, and accessibility. The rising adoption of mobile and digital banking along has further fueled the growth of B2C payments market. Technological advancements such as biometric authentication, mobile wallets, and contactless payments making digital payments safer and easier to use.
B2C refers to the financial transactions between businesses or service providers and customers, wherein the former receives the money against goods and services sold to individual customers. It includes credit/debit cards, digital wallets, bank transfers via the Internet, and several other e-payment options.
In 2022, a fintech company focused on embedded solutions for banking and payments, Inswitch in alliance with Mastercard International Incorporated designed and delivered digital payment solutions and issuing programs starting with selected countries across Central and South America
Fast-growing E-commerce to Drive Market Growth
The phenomenal growth in e-commerce, online marketplaces, and digital storefronts has greatly increased demand for safe and user-friendly payment solutions. With online shopping rapidly becoming more prominent, businesses are offering seamless and frictionless payment experiences for engaging customers and building retention. The shift that has created massive investment in payment infrastructure, thereby enabling firms to develop new and innovative systems of payment tailored to the changing needs of the digital marketplace. The increased usage of digital wallets, mobile payments, and contactless transactions has favored the growth of nuanced payment gateways and secure processing systems. They facilitate companies' abilities to provide a range of choices from the traditional credit and debit cards to innovative ones like digital wallets and UPI. Besides customer experience, diversified payment methods reduce the risk of data breaches.
In February 2022, the CAREC Digital Strategy 2030 was launched to accelerate the B2C payment market in Central Asia. The strategy will be carried out through creating a common digital space, harmonization of digital and data legislation, and reducing regional trade barriers. It will be instrumental in developing new digital products and services, facilitating the flow of data across the region, and raising opportunities for cross-border e-commerce among businesses.
Technological Advancement to Fuel Market Growth
Technological innovation is majorly influencing the development of the B2C payment market. Advancements in payment processing technology, biometric authentication, and artificial intelligence are facilitating the development of next-generation payment solutions that are more secure, efficient, and sophisticated. Financial institutions and technology firms are collaborating research and development activities to ensure the rapid inclusion of such innovative payment products. Investment in new technologies such as blockchain, digital wallets, and mobile payments further fuels the market growth. These trends empower consumers, offering them convenience, security, and accessibility, while allowing businesses to create personalized payment experiences that map themselves to adapt to new and emerging consumer behavior traits. The huge growth in the B2C payment market is foreseen, driven by the wide adoption of transformative payment technologies across various industry verticals.
In June 2024, Verituity, a leader in intelligent verified payout solutions, raised USD 18.8 million in a funding round led by Sandbox Industries and Forgepoint Capital to expedite its B2B and B2C Verified Payout Platform. This new investment will help Verituity further innovate its advanced machine learning and artificial intelligence models that are the backbone of the company's Zero Trust Payout Verification and intelligent payments.
Payments Through Cards Dominate the Market Share
Credit and debit cards are dominating the global B2C payment market. This can be attributed to the widespread diffusion and high penetration of cards as a preferred mode of payment among consumers worldwide. Cards facilitate convenient and secure transactions and are widely accepted at physical and online merchants. Their integration into digital wallets is increasingly drawing customers to the added advantages accruable from these cards, such as reward programs and cashback offers, which add to their value proposition. Technological changes have been very instrumental in changing the nature of B2C payments. Innovations in the payment infrastructure, such as mobile payment solutions and blockchain technology, are transforming traditional systems toward digital-first economies. This growth is driven by the expansion of e-commerce, rising consumer demand for digital payments, and innovative payment technologies, ensuring credit and debit cards are among consumer's preferred choices.
In June 2021, Bank of America introduced Pay to Card, a new payment solution to its business-to-consumers payment solution. It allows businesses to make payments directly into the consumer's bank account.
Banking and Financial Services segment dominates the market
One of the highest growth sectors for the B2C payment market is the banking and financial services industry. This segment has seen a rise in demand due to increased efforts toward financial inclusion, tapping into underbanked consumer segments, and driving convenience to customers. The rise in app-based banking provided by neobanks is broadening access to digital payment tools. Neobanks leverage low-cost operating models to acquire and serve unbanked and underbanked segments. Payment bank models further proliferate financial access via mobile devices to migrant workers and rural populations. The universal acceptance of open banking and banking-as-a-service allows non-bank fintech companies to further combine digital payment capabilities with value-added services. The trends tend to boost the growth of the B2C payment market within the banking and financial services sector.
According to a survey conducted by Visa's Open Banking Consumer survey in 2022, 87% of the consumers in the United States are using open banking to link finance accounts with third-parties.
North America to Dominates the Market Share
North America dominates the B2C payment industry due to the comprehensive adoption of new-age payment technologies and significant firms based in the region. The United States and Canada lead the way with their well-established financial infrastructure and tech-savvy population, so there is an easy adaptation to digital means of payment. The rapid growth of e-commerce has highly influenced this, with the increasing use of mobile payment applications and the rising acceptance of contactless payment methods. Further, the proliferation of smartphones and mobile banking services has helped spur more convenience in transactions anywhere and at any time for customers, making the market even more prevalent. Increased adoption of contactless payment methods has been another significant driving factor due to changing consumer preferences brought about by the COVID-19 pandemic. Other drivers of the growth of the B2C payment market include regulatory initiatives that enhance innovation and consumer protection. It increases competition among traditional financial institutions and FinTech startups in improving their payment solutions in terms of user experience and security. Therefore, North America is expected to continue dominating the global B2C payment market, with its growth further propelled by new technologies and shifting consumer trends.
In 2023, Stripe, a United States of America-based technology company that enabled businesses of all sizes to accept payment and manage their operations online announced to surpass USD 1 trillion in total payment volume in 2023, highlighting a 25% growth from 2022.
Future Market Scenario (2024 - 2031)
The B2C payment market has shown immense growth potential and is set to grow at an exponential pace, owing to several key factors such as the flourishing e-commerce industry, increased demand for digital payment methods from consumers, and advanced technological developments such as digital wallets, contactless payments, and blockchain-based solutions.
The B2C payment market is expected to benefit from financial inclusion initiatives, better customer experience, and enhanced data security measures. Besides the growing adoption of mobile payments, online banking further leads momentum to the growth in the market.
In May 2024, Visa launched the new Visa Flexible Credential technology, which allows a single card access multiple payment accounting at the point of sale, giving cardholders the flexibility between debit, credit, pay in four, and buy now pay later options, including rewards points.
Key Players Landscape and Outlook
The B2C payment market is highly competitive, with significant players actively engaged in strategic initiatives aimed to strengthen their market presence. These include acquisitions and mergers for aggregating resources and expertise, and new product innovations designed for changing consumer needs. Other focus areas are regional expansions that help companies enter emerging markets and diversify an existing customer base. Technological advances that enhance speed and security in transactions, and the rapid e-commerce growth fuel the demand for efficient payment solutions. Consumers moving increasingly toward digital transactions rather than traditional methods. Massive adoption of digital payment methods changes consumer preferences hence, companies must keep up with the changing competitive dynamics. Regulatory reforms have also significantly contributed to this changing market dynamics as governments around the world are adopting new policies that enhance security and protection for consumers.
Table of Contents
1. Project Scope and Definitions
2. Research Methodology
3. Executive Summary
4. Voice of Customer
- 4.1. Product and Market Intelligence
- 4.2. Mode of Brand Awareness
- 4.3. Factors Considered in Purchase Decisions
- 4.3.1. Features
- 4.3.2. Security and Fraud Prevention
- 4.3.3. Transaction Fee and Costs
- 4.3.4. After-Sales Support
- 4.3.5. Cross-Border Capabilities
- 4.3.6. Ease of Contactless Payment
- 4.4. Consideration of Privacy and Regulations
5. Global B2C Payment Market Outlook, 2017-2031F
- 5.1. Market Size Analysis & Forecast
- 5.1.1. By Value
- 5.2. Market Share Analysis & Forecast
- 5.2.1. By Payment Method
- 5.2.1.1. Credit/Debit Card
- 5.2.1.2. Digital Wallets
- 5.2.1.3. Bank Transfers
- 5.2.1.4. Cash
- 5.2.2. By Industry Vertical
- 5.2.2.1. BFSI
- 5.2.2.2. Healthcare
- 5.2.2.3. Hospitality and Tourism
- 5.2.2.4. Transportation and Logistics
- 5.2.2.5. Retail and E-commerce
- 5.2.2.6. Energy and Utilities
- 5.2.2.7. Others
- 5.2.3. By Region
- 5.2.3.1. North America
- 5.2.3.2. Europe
- 5.2.3.3. Asia-Pacific
- 5.2.3.4. South America
- 5.2.3.5. Middle East and Africa
- 5.2.4. By Company Market Share Analysis (Top 5 Companies and Others - By Value, 2023)
- 5.2.1. By Payment Method
- 5.3. Market Map Analysis, 2023
- 5.3.1. By Payment Method
- 5.3.2. By Industry Vertical
- 5.3.3. By Region
6. North America B2C Payment Market Outlook, 2017-2031F*
- 6.1. Market Size Analysis & Forecast
- 6.1.1. By Value
- 6.2. Market Share Analysis & Forecast
- 6.2.1. By Payment Method
- 6.2.1.1. Credit/Debit Card
- 6.2.1.2. Digital Wallets
- 6.2.1.3. Bank Transfers
- 6.2.1.4. Cash
- 6.2.2. By Industry Vertical
- 6.2.2.1. BFSI
- 6.2.2.2. Healthcare
- 6.2.2.3. Hospitality and Tourism
- 6.2.2.4. Transportation and Logistics
- 6.2.2.5. Retail and E-commerce
- 6.2.2.6. Energy and Utilities
- 6.2.2.7. Others
- 6.2.3. By Country Share
- 6.2.3.1. United States
- 6.2.3.2. Canada
- 6.2.3.3. Mexico
- 6.2.1. By Payment Method
- 6.3. Country Market Assessment
- 6.3.1. United States B2C Payment Market Outlook, 2017-2031F*
- 6.3.1.1. Market Size Analysis & Forecast
- 6.3.1.1.1. By Value
- 6.3.1.2. Market Share Analysis & Forecast
- 6.3.1.2.1. By Payment Method
- 6.3.1.2.1.1. Credit/Debit Card
- 6.3.1.2.1.2. Digital Wallets
- 6.3.1.2.1.3. Bank Transfers
- 6.3.1.2.1.4. Cash
- 6.3.1.2.2. By Industry Vertical
- 6.3.1.2.2.1. BFSI
- 6.3.1.2.2.2. Healthcare
- 6.3.1.2.2.3. Hospitality and Tourism
- 6.3.1.2.2.4. Transportation and Logistics
- 6.3.1.2.2.5. Retail and E-commerce
- 6.3.1.2.2.6. Energy and Utilities
- 6.3.1.2.2.7. Others
- 6.3.1.2.1. By Payment Method
- 6.3.1.1. Market Size Analysis & Forecast
- 6.3.2. Canada
- 6.3.3. Mexico
- 6.3.1. United States B2C Payment Market Outlook, 2017-2031F*
All segments will be provided for all regions and countries covered
7. Europe B2C Payment Market Outlook, 2017-2031F
- 7.1.1. Germany
- 7.1.2. France
- 7.1.3. Italy
- 7.1.4. United Kingdom
- 7.1.5. Russia
- 7.1.6. Netherlands
- 7.1.7. Spain
- 7.1.8. Turkey
- 7.1.9. Poland
8. Asia-Pacific B2C Payment Market Outlook, 2017-2031F
- 8.1.1. India
- 8.1.2. China
- 8.1.3. Japan
- 8.1.4. Australia
- 8.1.5. Vietnam
- 8.1.6. South Korea
- 8.1.7. Indonesia
- 8.1.8. Philippines
9. South America B2C Payment Market Outlook, 2017-2031F
- 9.1.1. Brazil
- 9.1.2. Argentina
10. Middle East and Africa B2C Payment Market Outlook, 2017-2031F
- 10.1.1. Saudi Arabia
- 10.1.2. UAE
- 10.1.3. South Africa
11. Demand Supply Analysis
12. Value Chain Analysis
13. Porter's Five Forces Analysis
14. PESTLE Analysis
15. Transaction fee Analysis
16. Market Dynamics
- 16.1. Market Drivers
- 16.2. Market Challenges
17. Market Trends and Developments
18. Case Studies
19. Competitive Landscape
- 19.1. Competition Matrix of Top 5 Market Leaders
- 19.2. SWOT Analysis for Top 5 Players
- 19.3. Key Players Landscape for Top 10 Market Players
- 19.3.1. MasterCard Inc.
- 19.3.1.1. Company Details
- 19.3.1.2. Key Management Personnel
- 19.3.1.3. Products and Services
- 19.3.1.4. Financials (As Reported)
- 19.3.1.5. Key Market Focus and Geographical Presence
- 19.3.1.6. Recent Developments/Collaborations/Partnerships/Mergers and Acquisition
- 19.3.2. American Express International, Inc.
- 19.3.3. Visa Inc.
- 19.3.4. Apple Cash and Apple Payments Inc.
- 19.3.5. PayPal Holdings, Inc.
- 19.3.6. Alphabet Inc.
- 19.3.7. Capital One Financial Corporation
- 19.3.8. The Bank of America Corporation
- 19.3.9. Payoneer Global Inc.
- 19.3.10. Stripe, Inc.
- 19.3.1. MasterCard Inc.
Companies mentioned above DO NOT hold any order as per market share and can be changed as per information available during research work.
20. Strategic Recommendations
21. About Us and Disclaimer
List of Tables
- Table 1. Pricing Analysis of Products from Key Players
- Table 2. Competition Matrix of Top 5 Market Leaders
- Table 3. Mergers & Acquisitions/ Joint Ventures (If Applicable)
- Table 4. About Us - Regions and Countries Where We Have Executed Client Projects
List of Figures
- Figure 1. Global B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 2. Global B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 3. Global B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 4. Global B2C Payment Market Share (%), By Region, 2017-2031F
- Figure 5. North America B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 6. North America B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 7. North America B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 8. North America B2C Payment Market Share (%), By Country, 2017-2031F
- Figure 9. United States B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 10. United States B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 11. United States B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 12. Canada B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 13. Canada B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 14. Canada B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 15. Mexico B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 16. Mexico B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 17. Mexico B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 18. Europe B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 19. Europe B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 20. Europe B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 21. Europe B2C Payment Market Share (%), By Country, 2017-2031F
- Figure 22. Germany B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 23. Germany B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 24. Germany B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 25. France B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 26. France B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 27. France B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 28. Italy B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 29. Italy B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 30. Italy B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 31. United Kingdom B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 32. United Kingdom B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 33. United Kingdom B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 34. Russia B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 35. Russia B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 36. Russia B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 37. Netherlands B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 38. Netherlands B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 39. Netherlands B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 40. Spain B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 41. Spain B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 42. Spain B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 43. Turkey B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 44. Turkey B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 45. Turkey B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 46. Poland B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 47. Poland B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 48. Poland B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 49. South America B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 50. South America B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 51. South America B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 52. South America B2C Payment Market Share (%), By Country, 2017-2031F
- Figure 53. Brazil B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 54. Brazil B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 55. Brazil B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 56. Argentina B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 57. Argentina B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 58. Argentina B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 59. Asia-Pacific B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 60. Asia-Pacific B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 61. Asia-Pacific B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 62. Asia-Pacific B2C Payment Market Share (%), By Country, 2017-2031F
- Figure 63. India B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 64. India B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 65. India B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 66. China B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 67. China B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 68. China B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 69. Japan B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 70. Japan B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 71. Japan B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 72. Australia B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 73. Australia B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 74. Australia B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 75. Vietnam B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 76. Vietnam B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 77. Vietnam B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 78. South Korea B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 79. South Korea B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 80. South Korea B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 81. Indonesia B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 82. Indonesia B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 83. Indonesia B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 84. Philippines B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 85. Philippines B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 86. Philippines B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 87. Middle East & Africa B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 88. Middle East & Africa B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 89. Middle East & Africa B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 90. Middle East & Africa B2C Payment Market Share (%), By Country, 2017-2031F
- Figure 91. Saudi Arabia B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 92. Saudi Arabia B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 93. Saudi Arabia B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 94. UAE B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 95. UAE B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 96. UAE B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 97. South Africa B2C Payment Market, By Value, In USD Billion, 2017-2031F
- Figure 98. South Africa B2C Payment Market Share (%), By Payment Method, 2017-2031F
- Figure 99. South Africa B2C Payment Market Share (%), By Industry Vertical, 2017-2031F
- Figure 100. By Payment Method Map-Market Size (USD Billion) & Growth Rate (%), 2023
- Figure 101. By Industry Vertical Map-Market Size (USD Billion) & Growth Rate (%), 2023
- Figure 102. By Region Map-Market Size (USD Billion) & Growth Rate (%), 2023
