Increasing Reliance on E-commerce Aids the Global Payment Gateway Market Growth

Payment gateways are becoming increasingly popular as online transactions become more abundant. Payment gateways help authorize and authenticate online transactions between a business and a bank. Gateways offers consumers a much more secure transaction, preventing fraudulent incidents. Primarily, the e-commerce market growth is rapidly accelerating, due to the large influx of online shoppers. According to data compiled by Imarc Group, the global payment gateways market reached USD 10 Billion in 2017 and is projected to reach USD 16 Billion by 2023. Furthermore, the market is expected to grow at a CAGR of 8.1% during the forecast period, from 2018 to 2023. The market will continue to grow as more and more businesses adopt payment gateways to help restructure and drive revenue growth. GreenBox Pos LLC , GreenSky, Inc., Net 1 UEPS Technologies, Inc. , Pareteum Corporation  MoneyGram International, Inc.

Payment gateways are also being accelerated by the large number of smartphone users. Over 95% of Americans own a cellphone device of some kind, while 77% of those owners have a smartphone, according to research conducted by Pew Research Center. Many smartphones already offer users a type of payment applications. Consumers can easily send or receive transactions at anytime and anywhere on their mobile devices. “Even as the entire financial industry changes rapidly, nowhere has the change been as evident as in the payments segment. Around the world, banks, consumers, and businesses are making a shift in the way they exchange value,” said Kapronasia in a report. “Technological advances such as more affordable smartphones and the growing footprint and speed of mobile telecommunications networks have enabled this shift as have social-economic factors.”