Global Online Payment Gateway Market - WishTree Insight

Global Online Payment Gateway Market by Enterprise Size (Small & Medium Enterprises and Large Enterprises), Payment Type (Direct Payment Gateway, Platform-based Payment Gateway, Hosted Payment Gateway, Non-Hosted Payment Gateway), End-User (Retail, E-commerce, BFSI), and Regions (APAC, Europe, North America, and LAMEA) - Global Industry Analysis, Share, Growth, Trends, Size, and Forecast 2022 – 2032

The Online Payment Gateway market size was valued at USD 117 billion in 2022 and is expected to surpass USD 293 billion by 2032, expanding at a CAGR of 9.7 % during the forecast period, 2022–2032. The market's growth is attributed to the integration of payment gateway, and the growing digital transformation of organizations worldwide.

INTRODUCTION

An online payment gateway is a service that enables merchants to accept credit cards and electronic payments through their websites. It acts as an intermediary between the customer's bank and the merchant's website, securely transmitting transaction information and processing the payment.

The payment gateway is responsible for verifying the customer's payment information, such as their credit card number, expiration date, and security code, as well as ensuring that the customer has sufficient funds to complete the transaction. It also handles any fraud detection and prevention measures. Online payment gateways typically integrate with e-commerce platforms and shopping cart software, making it easy for merchants to add payment functionality to their websites. They also provide a variety of features such as recurring payments, refunds and chargebacks management, fraud detection and prevention, and compliance with security standards such as PCI-DSS. Some examples of popular online payment gateway providers include PayPal, Stripe, and Square. These providers typically charge a transaction fee per successful payment and a monthly or annual service fee. It's worth mentioning that an online payment gateway is a must for businesses that operate online and want to sell products or services because it enables merchants to accept payments from anywhere in the world, 24/7, which can increase their sales and revenue

Market Trends, Drivers, Restraints, and Opportunities

• The integration of payment gateway emerged as a vital component of almost every organization and is expected to drive the market.
• Growing digital transformation is a key driver propelling market growth.
• Rising usage of online payment methods is expected to spur the market.
• The widespread use of broadband on high-speed internet access is anticipated to boost the market.

Scope of the Report

Market Segment Insights

The large enterprise size segment is projected to register a considerable CAGR

Based on enterprise size, the online payment gateway market is divided into small & medium enterprises and large enterprises. The large enterprise size segment is expected to expand rapidly during the forecast period owing to higher customer visits deploying effective solutions for their customers during the checkout process. However, the small & medium enterprise size segment is anticipated to hold a key share of the market in the coming years owing to faster payment processing and offering increased convenience to customers.

The hosted payment gateway segment is expected to expand at a rapid pace

Based on payment type, the online payment gateway market is divided into the direct payment gateway, platform-based payment gateway, hosted payment gateway, and non-hosted payment gateway. The hosted payment gateway segment is expected to expand rapidly during the forecast period owing to the easy payment setup system and reduced merchant liability. However, the non-hosted segment is anticipated to hold a key share of the market in the coming years as retailers can retain control over the whole checkout process.

The retail and e-commerce segment is projected to register a considerable CAGR

On the basis of end-user, the online payment gateway market is segregated into retail, e-commerce, and BFSI. The retail and e-commerce segment is projected to register a considerable CAGR during the forecast period owing to the rising number of online transactions in retail and e-commerce businesses worldwide.

Asia Pacific holds a key market share

In terms of regions, the online payment gateway market is classified as APAC, Europe, North America, and LAMEA. The market of Asia Pacific is expected to constitute a key share of the market during the projected period owing to various initiatives taken by governments to improve online payment infrastructure in the region. However, the North American market is expected to expand at a rapid pace during the forecast period.

Competitive Landscape

Key players competing in the Online Payment Gateway market are Amazon Payments Inc. (U.S.); Bitpay, Inc. (U.S.); Phonepe (India); PayPal Holdings, Inc. (U.S.) Wepay, Inc. (U.S.); Paytm (India).

FAQs

How much is the market worth?

The Online Payment Gateway market size was valued at USD 117 billion in 2022 and is expected to surpass USD 293 billion by 2032.

During the forecast period, what is the CAGR of the market?

During the forecast period, the CAGR of the market is expected to be 9.7%.

What are the key drivers of the market?

The market's growth is attributed to the integration of payment gateway, and the growing digital transformation of organizations worldwide.

What segments are covered in the Online Payment Gateway report?

The segments covered in the report are enterprise size (small & medium enterprises and large enterprises), payment type (direct payment gateway, platform-based payment gateway, hosted payment gateway, non-hosted payment gateway), and end-user (retail, e-commerce, BFSI).

Mention which region is expected to hold the highest share of the Online Payment Gateway market.

The Asia Pacific region is expected to hold the highest share of the Online Payment Gateway market.

Which segment holds the largest market share in the Online Payment Gateway by 2032?

The hosted segment holds the largest market share in the Online Payment Gateway by 2032.

Mention the key players in the market.

Amazon Payments Inc. (U.S.); Bitpay, Inc. (U.S.); Phonepe (India); PayPal Holdings, Inc. (U.S.); Wepay, Inc. (U.S.); Paytm (India)