P2P Payment Market Size - Global Industry, Share, Analysis, Trends and Forecast 2022 - 2030

The Global P2P Payment Market Size accounted for USD 1,872 Billion in 2021 and is estimated to achieve a market size of USD 9,135 Billion by 2030 growing at a CAGR of 19.7% from 2022 to 2030. The global P2P payment market value is expanding as technology evolves and users continuously increasingly accept online platforms, smartphones, and e-commerce solutions. Furthermore, the rise of the m-commerce industry in emerging economies such as India and China benefits the P2P payment market growth.

P2P Payment Market Report Key Highlights

• Global P2P payment market revenue is expected to increase by USD 9,135 billion by 2030, with a 19.7% CAGR from 2022 to 2030.
• Based on application segment, hospitality & transportation will account for more than 32% of overall market share in 2021
• Asia-Pacific P2P payment market led with more than 34% market share in 2021
• Among payment type, remote sector occupied more than 55% of the total market share
• PayPal Holdings Inc. is a money transfer giant, with over 400 million active account holders worldwide in 2021.
• According to the report, 19.7% of the Canadian population used P2P mobile payments in 2020, while 30.6% of the US population would use P2P payments.

As modernization and industrialization accelerate, people are looking for easier and faster ways to transport their money. Person-to-person payments (P2P) are a popular way for customers to transfer and send money to anybody, anywhere, and at any time. Financial institutions that may profit from expanded P2P use stand to gain financially. According to the study, P2P service customers are more likely than non - participants to have more revenue-generating services with their principal financial institution. In particular, 60% of P2P users had six or more revenue-generating services, compared to 33% of nonusers, which included financing options, CDs, and bank cards. As a byproduct, prevalent P2P payment platforms include PayPal, Square Cash, Venmo, and Zelle.

Global P2P Payment Market Dynamics

Market Drivers

• Increased smartphone penetration throughout the world
• Improve the development of the m-commerce industry in emerging nations.
• Acceleration of cashless and contactless transactions as a result of COVID-19 pandemic
• Increasing demand for transparency in cash flow

Market Restraints

• Increased data leakage and security concerns
• Possibility of financial loss

Market Opportunities

• Increasing rates of innovation and technological progress
• Evolving digitalization in various sectors

P2P Payment Market Report Coverage

P2P payments grew in popularity as quick transfers became feasible and digital formats had become the mainstream. However, there is a sizable peer-to-peer (P2P) payment market that has existed for many years. Whether it's repaying a kind companion or dividing household utilities, P2P payments are crucial to the introduction of personal financial management, and they're becoming more common as P2P platforms proliferate. The data reflects this change. According to a recent Billtrust survey, 79% of Generation Z utilize a P2P payments system including Venmo or Zelle at least once every other month, with a third (32%) utilizing these systems six times or more per month.

Due to widespread digitalization and rising user acceptance of online platforms, smartphones, and e-commerce services, the market for P2P payment is growing globally. Smartphones are also being adopted at a higher rate by newer generations. Furthermore, strengthening the m-commerce industry in emerging nations propels the P2P payment market trend. Moreover, the COVID-19 outbreak aided the growth of the P2P payments business by increasing non-cash interaction demand worldwide to combat virus spread and increasing customer desire for P2P payment platforms as an easy and convenient mode of payment. Additionally, the market is being driven by increased usage of smartphones in both developed and emerging markets like India and China as well as increased awareness of the benefits of mobile and online transactions. As high-speed broadband internet choices such as 4G & 5G are becoming more widely available, people now have access to hassle-free payment services on their phones, fueling the market growth.

P2P Payment Market Segmentation

The global P2P payment market segmentation is based on type, payment type, end user, application, and geography.

P2P Payment Market By Type

• SMS/Direct Carrier Billing
• Mobile Web Payments
• Near Field Communication
• Others

In terms of type, the mobile web payments segment accounted for the largest market share in 2021. Mobile web payments are the most widely used and preferred way to make contactless payments since consumers simply need a smartphone, which fuels the expansion of the P2P payment market in this category. However, according to the P2P payment market forecast, the near-field communication segment is predicted to grow at the fastest rate during the forecast period. This growth is due to various NFC technology characteristics such as increased security, shorter turnaround processing, and expanding end-user desire for NFC technology.

P2P Payment Market By Payment Type

• Remote
• Proximity

In terms of payment type, the remote segment will lead the global market in 2021. The growth of the internet, smartphone, and other modes of remote payment options have proven unstoppable. For years, cash has already been falling, and the physical footfall in shopping has increasingly declined. With the persistent Covid-19 problem all over the world, the necessity for retailers that can provide fast, seamless, as well as remote payment methods is more pressing than ever. As a result, these variables are propelling market segment growth.

P2P Payment Market By End User

• Business
• Personal

Based on the end user, the business segment is expected to grow significantly in the market over the next few years. This expansion might be attributed to the rise of small and medium-sized businesses in developing countries. Due to the benefits connected with these payments, such as their speed, accessibility, efficacy, and simplicity of use, which leads the organization and enables multiple methods to extend their presence, the market for P2P payments will have a lot of opportunities to develop. Furthermore, the companies manage a large amount of money in a single day, therefore P2P payment services are handled with the click of a button. As a result of these factors, the demand for P2P payments is expected to rise.

P2P Payment Market By Application

• Hospitality & Transportation
• Energy & Utilities
• Media & Entertainment
• Healthcare
• Retail
• Others

According to the P2P payment industry analysis, the retail segment is predicted to grow rapidly in the market over the next several years. The rising consumption of cell phones and the concomitant development of transportable trade deals bode well for the segment's future growth. Smartphone apps are currently, more often than not, the most prevalent way to purchase goods. Furthermore, retail businesses are concentrating on introducing a customized set-up of complete installment solutions to meet unique challenges in the lending, executive, and safety areas. Such elements will drive the segment's growth in the coming years.

P2P Payment Market Regional Outlook

North America

• U.S.
• Canada

Europe

• U.K.
• Germany
• France
• Spain
• Rest of Europe

Latin America

• Mexico
• Brazil
• Rest of Latin America

Asia-Pacific

• India
• Japan
• China
• Australia
• South Korea
• Rest of Asia-Pacific

The Middle East & Africa (MEA)

• Gulf Cooperation Council (GCC)
• South Africa
• Rest of the Middle East & Africa