Huge Gains Afoot in Mobile Payments Market

For those out there who have ever wondered just how rapidly the mobile payments industry is growing, there’s great news ahead. A new report in from Persistence Market Research points to rapid growth not too far away, and growth that’s likely to continue for most of the next decade to come.

The Persistence Market Research study noted that the consumer mobile payments market is currently worth about $870 million. Not bad by itself, by any means, but it’s going to downright climb from there. Persistence figures that the market will account for $27.77 billion in revenues before the ball drops on 2026, which represents a compound annual growth rate (CAGR) of 41.4 percent.

That’s a positively massive growth trend, fueled in part by an array of factors ranging from vast smartphone market penetration to improving mobile connectivity to greater numbers of vendors accepting such payment methods to even customers’ growing acceptance of the security and capability of these systems.

Improved convenience is also proving a great factor in mobile payment adoption, and considering how many mobile payment vehicles there are to begin with, it’s clear this market isn’t slowing up.

Remote payments systems will be the big winner here, with over 90 percent of consumer mobile payments routed through these measures. However, proximity mode will gain ground in this time frame and feature over 140 base points growth by the end of 2026. Consumer mobile payments involving near-field communications (NFC) nodes will see around a 50 percent CAGR, and retail will be the biggest end user when it comes to this market.

Basically, what we’ve seen anecdotally over an industry has just been solidified and quantified; mobile payments are a huge market and rapidly growing. As more places take mobile payments, as more companies offer mobile payments platforms, and as more consumers get used to the notion of waving a phone at a cashier to make a payment, we’ll see this market continue to gain ground.

Developers have actively responded to the needs and concerns of the consumer, and have been rewarded accordingly with explosive growth. This is a trend that’s likely to continue, which means lots more development to come in the mobile payment space!