Mobile Card Reader Market Size, COVID-19 Impact Analysis, Regional Outlook, Application Development Potential, Price Trend, Competitive Market Share & Forecast, 2021 – 2027
Report ID: GMI4272
Mobile Card Reader Market size is likely to witness substantial growth over 2021-2027, given the rapid digitalization and the subsequent rise in the adoption of contactless payments worldwide. Increasing penetration of smartphones and the growth of the e-Commerce sector will further boost mobile card reader importance over the coming years.
Mobile card readers refer to devices that are attached to smartphones to process transactions. These devices allow payment via traditional debit and credit card swipes, contactless payments, or chip payments. Small businesses, with the growing need for rapid product purchases, are turning to mobile card readers to ensure seamless payments for customers. Compelling benefits provided by mobile credit card readers and contactless payments include high security, flexibility, and efficiency in checkout experiences for brick-and-mortar and other businesses.
Mounting usage of credit and debit cards, especially during the coronavirus pandemic, is a prominent trend proliferating the mobile card reader market expansion. Since the start of the pandemic, the use of debit and credit cards has surged by 14.9% and 16.3% respectively among shoppers. Escalating acceptance of contactless payments across varied end-use industries, such as the hospitality sector, for fast and secure transactions will further augment the smartphone card reader demand.
The retail segment will account for a considerable share by 2027. This is a result of the rapid usage of contactless payments to maintain social distancing protocols at retail stores. As per National Retail Federation and Forrester’s survey, 67% of the retailer respondents accepted some form of no-touch payment during the pandemic.
North America mobile card reader market will exhibit a high growth rate through 2027, owing to the rapid adoption of digital technologies in countries such as the U.S. Moreover, the mounting usage of contactless payments among customers and businesses to lessen cash handling and contact with communal surfaces will also amplify the smartphone card reader demand in the region. The overall deployment of contactless payments surged by 150% between March 2019 to June 2020 in the U.S. alone.
The competitive landscape of the mobile card reader market comprises companies such as PayAnywhere (North American Bancard), mSwipe, JUSP, Zettle (PayPal), Total System Services (Global Payments), Ezetap Mobile Solutions, First Data Corporation (Fiserv), Square, Inc., Intuit Inc., PayPal, SumUp, Electronic Merchant Systems, Clover Network (Fiserv), and Tappr, among others. These firms are implementing strategies like mergers and acquisitions and new product launches to reinforce their position across the global market.
For instance, PayPal unveiled its new card reader, Zettle, in June 2021. This product was launched with an aim to gain a competitive advantage over rivals like Square Inc., offer unified experiences for merchants, and establish loyalty tie-ins with PayPal mobile wallet. In April 2021, SumUp entered a partnership deal with N26 to simplify the process of cashless payments for customers. Under the collaboration, N26 business account holders can purchase SumUp’s card readers at a discounted price, allowing them to accept mobile wallet and card payments from customers.
Temporary Closure of Non-Essential Businesses During COVID-19 to Impact Mobile Card Reader Market Trends:
The global spread of the coronavirus pandemic resulted in the closure of several non-essential businesses, including the hospitality sector. From laying off employees to disruptions in operations, the crisis has forced these industry verticals to revamp their strategies or temporarily shut their businesses. Exponential reduction in business travel and personal has created huge challenges for the hospitality sector, which could assert a negative influence on the industry to a certain extent.
However, the pandemic has accelerated the transition from cash to digital payments across the medical sector and other essential segments. Due to the increase in infection rates across several countries, the electronic payment method has become the norm, while the use of physical money is gradually declining. This rapid shift towards a cashless economy may stimulate the mobile card reader development in the upcoming years.
The mobile card reader market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue in USD from 2017 to 2027 for the following segments:
Market, By Solution
Market, By Deployment
Market, By Technology
- Chip and PIN
- Magnetic stripe
- Near Field Communication (NFC)
Market, By Application
The above information has been provided for the following regions and countries:
- North America
- Asia Pacific
- South Korea
- Latin America
- South Africa
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