Contactless Payments Market Growth Analysis Report & Share by 2030

Contactless Payments Market Size and Forecasts (2020 - 2030), Global and Regional Share, Trends, and Growth Opportunity Analysis Report Coverage: By Payment Mode (Smartphones, Smart Cards, PoS Terminals, and Others), Component (Hardware, Solutions, and Services), and Industry Vertical (Retail, Hospitality, Healthcare, Transportation & Logistics, Media & Entertainment, and Others)

  • Report Code : TIPTE100000406
  • Category : Technology, Media and Telecommunications
  • Status : Data Released
  • No. of Pages : 150
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The contactless payments market size was valued at US$ 33.26 billion in 2022 and is expected to reach US$ 91.80 billion by 2030; it is estimated to record a CAGR of 13.5% from 2022 to 2030.

Contactless Payments Market Analyst Perspective:

The contactless payment market is a rapidly growing sector that involves the use of devices such as smartphones, smart cards, and wearables to make secure and convenient transactions without physical contact. A few of the key factors driving the market growth are a surge in the adoption of digital payment platforms and contactless payment technologies such as NFC and RFID by consumers and merchants across the globe and the rise in government initiatives and support for developing intelligent and smart payment infrastructure and solutions.

Contactless Payments Market Overview:

Contactless payment is a secure and convenient way of paying for goods and services with a smartphone, debit card, or credit card that uses radio frequency identification (RFID) technology and near-field communication (NFC). Contactless payment works by tapping or waving the payment device over a point-of-sale terminal that has contactless payment technology. Contactless payment has several benefits, such as reduced transaction time and friction, as customers do not have to enter their PIN or handle cash at the checkout. It improves customer experience and trust, as contactless payment is safe and encrypted to prevent any fraudulent purchases. It offers flexibility for payment devices, as customers can use their NFC-enabled smartphone, wearable device, or contactless card to make payments. It provides loyalty benefits, as some contactless payment systems are integrated with loyalty programs that offer discounts and rewards to customers.

The contactless payment market is driven by an increase in the adoption of digital payment platforms and contactless payment technologies; a surge in demand for faster, safer, and easier payment methods; the continuous innovation and advancement in payment security technologies and solutions; and a rise in government initiatives and support for developing smart payment infrastructure and solutions. The contactless payment market faces challenges such as the high risk of data privacy and security breaches, opportunities such as the integration of IoT and AI in contactless payment technology, and the untapped potential of emerging markets and regions. The contactless payment market is fragmented and highly competitive, with the wide presence of several regional and global players.

Contactless Payments Market Driver:

Rising Demand for Seamless and Faster Processing Payments Drive Contactless Payments Market

Contactless payment technologies enable payment transactions through contactless chips embedded in payment cards, tags, wearables, and mobile phones. These chips communicate with a contactless reader that uses either radio frequency (RF) or near-field communication (NFC) standards. The technology further enables machine-to-machine communication, including RFID. The contactless payment offers quick approvals from banks, and the money is transferred to the account instantly. This reduces the waiting time and hassle for both consumers and merchants and improves the efficiency and convenience of payments.

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Contactless Payments Market: Strategic Insights

contactless-payments-market-2025
Market Size Value inUS$ 33.26 billion in 2022
Market Size Value byUS$ 91.80 billion by 2030
Growth rateCAGR of 13.5% from 2022 to 2030
Forecast Period2022-2030
Base Year2022
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Segmentation and Scope:

The contactless payments market is segmented on the basis of payment mode, component, industry vertical, and geography. In terms of payment mode, the market is segmented into smartphones, smart cards, and POS terminals. Based on component, the market is categorized into hardware, solutions, and services. In terms of industry verticals, the market is segmented into retail, hospitality, healthcare, transportation & logistics, and media & entertainment. By geography, the market is segmented into North America, Asia Pacific, Europe, the Middle East & Africa, and South America.

  • Sample PDF showcases the content structure and the nature of the information with qualitative and quantitative analysis.

Contactless Payments Market Segmental Analysis:

Based on payment mode, the market is segmented into smartphones, smart cards, POS terminals, and others. This segment includes the different types of devices that enable contactless payment transactions, such as smartphones and wearables, smart cards, and point-of-sale (PoS) terminals. Each device type has its advantages and disadvantages in terms of convenience, security, cost, and adoption rate. For example, smartphones offer more functionality and personalization but also require high battery power and good internet connectivity. Smart cards are more durable and widely accepted but also more prone to theft and cloning. PoS terminals are essential for merchants to accept contactless payments but also require maintenance and updates.

technology-media-and-telecomunications
Contactless Payments Market Segmental Analysis:
  • Sample PDF showcases the content structure and the nature of the information with qualitative and quantitative analysis.

Contactless Payments Market Regional Analysis:

The contactless payments market in North America has experienced significant growth in recent years. The adoption of contactless payment technology has become one of the most prominent trends in the payment industry. One of the factors driving the growth of this market is the high speed and convenience offered by contactless payments. By using near-field communication (NFC) technology, consumers can easily make payments by simply tapping their card or device near a compatible payment terminal. This reduces the time required for transactions and provides a faster and more efficient payment experience for consumers. Overall, the contactless payments market in North America witnessed strong growth, which was driven by the speed, convenience, and security offered by this technology. With support from governments and financial institutions, as well as increasing consumer awareness, this market is expected to continue to expand in the coming years.

Contactless Payments Market Key Player Analysis:

The contactless payments market analysis consists of players such as Infineon Technologies AG, Ingenico, Giesecke+Devrient GmbH, IDEMIA, Visa Inc., and Mastercard. are among the key contactless payments market players profiled in the report.

Contactless Payments Market Recent Developments: 

Companies in the market highly adopt inorganic and organic strategies such as mergers and acquisitions. A few recent key contactless payments market developments are listed below: 

  • In September 2023, MasterCard Inc. announced the launch of its new platform, Mastercard Track Business Payment Service, which aims to simplify and automate the payment processes between buyers and suppliers. The platform enables contactless payments through digital wallets, cards, bank transfers, and blockchain-based solutions. The platform also provides enhanced data and insights, such as payment status, terms, and history.
  • In October 2022, Visa Inc. partnered with PayPal Holdings Inc. to enable contactless payments at more than 8 million retail locations in the US. The partnership allows PayPal and Venmo users to pay with their QR codes at any merchant that accepts Visa contactless payments. The partnership also enables Visa Direct, a real-time push payment solution that allows users to transfer money to their bank accounts instantly.
  • In January 2019, in response to the growing demand for digital transactions, ICBC, a Chinese bank, renewed its contract with Gemalto (Thales Group), a provider of contactless cards. The dual interface card from ICBC's Thales Group (previously Gemalto) allows users to make payments by either inserting or tapping the card at the point of sale.
Report Coverage
Report Coverage

Revenue forecast, Company Analysis, Industry landscape, Growth factors, and Trends

Segment Covered
Segment Covered

Payment Mode, Component, and Industry Vertical

Regional Scope
Regional Scope

North America, Europe, Asia Pacific, Middle East & Africa, South & Central America

Country Scope
Country Scope

This text is related
to country scope.

Frequently Asked Questions


Which key players hold the major market share of the contactless payments market?

The key players holding majority shares in the contactless payments market include Thales, Infineon Technologies AG, Ingenico, Giesecke+Devrient GmbH, IDEMIA, Visa Inc., and Mastercard.

Which is the leading component segment in the contactless payments market?

The hardware segment led the contactless payments market with a significant share in 2022.

Which is the fastest-growing region in contactless payments market?

Asia Pacific is anticipated to grow at the fastest CAGR over the forecast period.

What are the driving factors impacting the contactless payments market?

The increasing adoption of smartphones & mobile devices and demand for seamless and secure payments are driving factors in the contactless payments market.

What are the future trends of the contactless payments market?

Technological advancements and innovations in contactless payment devices is expected to boost the growth of the contactless payments market in the coming years.

What will be the contactless payments market size by 2030?

The Contactless Payments market is expected to reach US$ 91.80 billion by 2030.

What is the estimated global market size for the contactless payments market in 2022?

The Contactless Payments market was estimated to be valued at US$ 33.26 billion in 2022 and is projected to reach US$ 91.80 billion by 2030; it is anticipated to grow at a CAGR of 13.5% over the forecast period.

The List of Companies - Contactless Payments Market 

  • Infineon Technologies AG
  • Ingenico
  • Giesecke+Devrient GmbH
  • IDEMIA
  • Visa Inc.,
  • Mastercard

The Insight Partners performs research in 4 major stages: Data Collection & Secondary Research, Primary Research, Data Analysis and Data Triangulation & Final Review.

  1. Data Collection and Secondary Research:

As a market research and consulting firm operating from a decade, we have published many reports and advised several clients across the globe. First step for any study will start with an assessment of currently available data and insights from existing reports. Further, historical and current market information is collected from Investor Presentations, Annual Reports, SEC Filings, etc., and other information related to company’s performance and market positioning are gathered from Paid Databases (Factiva, Hoovers, and Reuters) and various other publications available in public domain.

Several associations trade associates, technical forums, institutes, societies and organizations are accessed to gain technical as well as market related insights through their publications such as research papers, blogs and press releases related to the studies are referred to get cues about the market. Further, white papers, journals, magazines, and other news articles published in the last 3 years are scrutinized and analyzed to understand the current market trends.

  1. Primary Research:

The primarily interview analysis comprise of data obtained from industry participants interview and answers to survey questions gathered by in-house primary team.

For primary research, interviews are conducted with industry experts/CEOs/Marketing Managers/Sales Managers/VPs/Subject Matter Experts from both demand and supply side to get a 360-degree view of the market. The primary team conducts several interviews based on the complexity of the markets to understand the various market trends and dynamics which makes research more credible and precise.

A typical research interview fulfils the following functions:

  • Provides first-hand information on the market size, market trends, growth trends, competitive landscape, and outlook
  • Validates and strengthens in-house secondary research findings
  • Develops the analysis team’s expertise and market understanding

Primary research involves email interactions and telephone interviews for each market, category, segment, and sub-segment across geographies. The participants who typically take part in such a process include, but are not limited to:

  • Industry participants: VPs, business development managers, market intelligence managers and national sales managers
  • Outside experts: Valuation experts, research analysts and key opinion leaders specializing in the electronics and semiconductor industry.

Below is the breakup of our primary respondents by company, designation, and region:

Research Methodology

Once we receive the confirmation from primary research sources or primary respondents, we finalize the base year market estimation and forecast the data as per the macroeconomic and microeconomic factors assessed during data collection.

  1. Data Analysis:

Once data is validated through both secondary as well as primary respondents, we finalize the market estimations by hypothesis formulation and factor analysis at regional and country level.

  • 3.1 Macro-Economic Factor Analysis:

We analyse macroeconomic indicators such the gross domestic product (GDP), increase in the demand for goods and services across industries, technological advancement, regional economic growth, governmental policies, the influence of COVID-19, PEST analysis, and other aspects. This analysis aids in setting benchmarks for various nations/regions and approximating market splits. Additionally, the general trend of the aforementioned components aid in determining the market's development possibilities.

  • 3.2 Country Level Data:

Various factors that are especially aligned to the country are taken into account to determine the market size for a certain area and country, including the presence of vendors, such as headquarters and offices, the country's GDP, demand patterns, and industry growth. To comprehend the market dynamics for the nation, a number of growth variables, inhibitors, application areas, and current market trends are researched. The aforementioned elements aid in determining the country's overall market's growth potential.

  • 3.3 Company Profile:

The “Table of Contents” is formulated by listing and analyzing more than 25 - 30 companies operating in the market ecosystem across geographies. However, we profile only 10 companies as a standard practice in our syndicate reports. These 10 companies comprise leading, emerging, and regional players. Nonetheless, our analysis is not restricted to the 10 listed companies, we also analyze other companies present in the market to develop a holistic view and understand the prevailing trends. The “Company Profiles” section in the report covers key facts, business description, products & services, financial information, SWOT analysis, and key developments. The financial information presented is extracted from the annual reports and official documents of the publicly listed companies. Upon collecting the information for the sections of respective companies, we verify them via various primary sources and then compile the data in respective company profiles. The company level information helps us in deriving the base number as well as in forecasting the market size.

  • 3.4 Developing Base Number:

Aggregation of sales statistics (2020-2022) and macro-economic factor, and other secondary and primary research insights are utilized to arrive at base number and related market shares for 2022. The data gaps are identified in this step and relevant market data is analyzed, collected from paid primary interviews or databases. On finalizing the base year market size, forecasts are developed on the basis of macro-economic, industry and market growth factors and company level analysis.

  1. Data Triangulation and Final Review:

The market findings and base year market size calculations are validated from supply as well as demand side. Demand side validations are based on macro-economic factor analysis and benchmarks for respective regions and countries. In case of supply side validations, revenues of major companies are estimated (in case not available) based on industry benchmark, approximate number of employees, product portfolio, and primary interviews revenues are gathered. Further revenue from target product/service segment is assessed to avoid overshooting of market statistics. In case of heavy deviations between supply and demand side values, all thes steps are repeated to achieve synchronization.

We follow an iterative model, wherein we share our research findings with Subject Matter Experts (SME’s) and Key Opinion Leaders (KOLs) until consensus view of the market is not formulated – this model negates any drastic deviation in the opinions of experts. Only validated and universally acceptable research findings are quoted in our reports.

We have important check points that we use to validate our research findings – which we call – data triangulation, where we validate the information, we generate from secondary sources with primary interviews and then we re-validate with our internal data bases and Subject matter experts. This comprehensive model enables us to deliver high quality, reliable data in shortest possible time.

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