Product Code: 64744
The Payment Security Market size is expected to grow from USD 23.48 billion in 2023 to USD 48.14 billion by 2028, at a CAGR of 15.44% during the forecast period (2023-2028).
Secure payment processing facilitates the efficient transfer of online payments, client data, and other sensitive information. It protects payment data against fraud and other security issues.
- Payment security solutions are in high demand due to several important factors, including the quick shift to online shopping and transactions, the rise in sophisticated data thefts and payment frauds, and the rising awareness of payment security and Payment Card Industry Data Security Standard (PCI DSS) compliance programs.
- Due to the rise in digital payments, such as credit/debit payments, mobile wallets, and internet payments, it is also projected that the market for payment security would expand globally over the course of the projection period.
- Demand for payment services is increasing due to the TPP's increased risk of payment fraud for online shops. Security measures Another factor is implementing security technologies, such as the Secure Sockets Layer (SSL) protocol, which ensures the confidentiality of transmitted data due to the encryption algorithm.
- Moreover, growing flaws in payment security models provide worms, Trojan horses, phishing, viruses, denial of service attacks, transaction poisoning, and spammers with new attack platforms, increasing the risk of unauthorized access, theft, and fraud.
- The COVID-19 pandemic is anticipated to favorably affect the growth rate of the payment security market since more people are using online payment services globally, and more industries need high-security transaction processing systems.
Payment Security Market Trends
Retail Sector to Witness High Growth
- The market for payment security is growing as mobile payments are increasingly used in retail, particularly in the e-commerce sector. The security of mobile banking and payments has become a significant area of concern for consumers and financial service providers, giving the market for mobile payment security software room to grow. Major economies like the United States and China have significantly increased retail e-commerce sales.
- Government support, rising smartphone penetration, and application usage all contribute to the rapid expansion of retail e-commerce sales. The prospect of an improved shopping experience is likely to accelerate this trend.
- E-commerce has created new opportunities for the retail industry. Online channels are now an essential element of the customer experience for retailers as they help significantly lower operational expenses and sales fluctuations in physical locations.
- Since the retail industry is a frequent target of cyberattacks, there is an increasing need for solid payment security solutions, which are anticipated to support segment revenue growth in the future.
- The market is predicted to continue to expand due to the continued growth of mobile technologies, which are supported by the complementary technologies of cloud, analytics, and social, mobile payments.
North America occupies the Largest Market Share
- The robust financial standing of North America allows it to make significant investments in cutting-edge products and technologies, giving the businesses operating here a competitive edge in the market.
- Also, the existence of multiple payment security vendors in the region among them CyberSource Corporation, Elavon Inc., Geobridge Corporation, and TNS Inc. is one of the factors influencing the industry in this area.
- The rise in businesses using online payment processors, the quick adoption of end-to-end encrypted payment security technologies, and the development of reliable platforms with automated fraud detection and user-friendly payment interfaces are all factors that have contributed to the region's market's revenue growth.
- Moreover, The key reason for the increase in demand for a quick payment solution, which in turn fuels the need for the payment security industry, is the changing retail market and rising E-commerce sales in this region.
- The average customer uses multiple cards concurrently, and online payments are growing four times faster than retail payments. These factors, combined with the booming credit card market, present a market opportunity for payment security.
- The region is seeing a rise in the use of digital payments due to consumer acceptance of mobile payments. One of the main factors for the growth drivers for the local economy is the thriving retail sector.
Payment Security Industry Overview
The payment security market is highly competitive due to the presence of numerous players conducting business both domestically and internationally. Technology advancements and mergers & acquisitions are the main methods used by the leading competitors in the industry, which appears to be moderately concentrated. CyberSource Corporation, Braintree Payment Solutions, LLC, Ingenico Group, and Elavon Inc. are a few of the market's key participants.
- November 2022 - Bluefin Payment Systems LLC announced the acquisition of TECS Payment Systems, Bluefin and TECS will work together to support 34,000 linked merchants and around 300 international partners across 55 countries. The strategic alliance broadens both organizations' global reach. The company's existing payment and data security suite will be integrated with omnichannel payments and smartPOS capabilities for Bluefin and its clients.
- September 2022 - Elavon Inc has launched talech Register for North American small business owners, where talech Register is the next-generation, all-in-one payments and business analytics platform that empowers small business owners to better manage their operations, through register company amis to tackle all the complex payments, banking and operational needs of bussiness.
- The market estimate (ME) sheet in Excel format
- 3 months of analyst support
TABLE OF CONTENTS
- 1.1 Study Assumptions and Market Definition
- 1.2 Scope of the Study
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET INSIGHTS
- 4.1 Market Overview
- 4.2 Industry Attractiveness - Porter's Five Force Analysis
- 4.2.1 Threat of New Entrants
- 4.2.2 Bargaining Power of Buyers/Consumers
- 4.2.3 Bargaining Power of Suppliers
- 4.2.4 Threat of Substitute Products
- 4.2.5 Intensity of Competitive Rivalry
- 4.3 Industry Value Chain Analysis
5 MARKET DYNAMICS
- 5.1 Market Drivers
- 5.1.1 Growing Adoption of Digital Payment Modes
- 5.1.2 Increase in Fraudulent Activities in E-commerce
- 5.2 Market Restraints
- 5.2.1 Lack of Trust in Online Payment Modes
- 5.3 Impact of COVID-19 on the industry
6 MARKET SEGMENTATION
- 6.1 Platform
- 6.1.1 Mobile Based
- 6.1.2 Web Based
- 6.1.3 Other Platforms
- 6.2 End-user Industry
- 6.2.1 Mobile Based
- 6.2.2 Retail
- 6.2.3 Healthcare
- 6.2.4 IT and Telecom
- 6.2.5 Travel and Hospitality
- 6.2.6 Other End-user Industry
- 6.3 Geography
- 6.3.1 North America
- 6.3.2 Europe
- 6.3.3 Asia-Pacific
- 6.3.4 Latin America
- 6.3.5 Middle-East and Africa
7 COMPETITIVE LANDSCAPE
- 7.1 Company Profiles
- 7.1.1 CyberSource Corporation (Visa Inc.)
- 7.1.2 Bluefin Payment Systems LLC
- 7.1.3 Braintree Payment Solutions LLC
- 7.1.4 Elavon Inc.
- 7.1.5 SecurionPay
- 7.1.6 Broadcom Inc.
- 7.1.7 Signified Inc.
- 7.1.8 TokenEx Inc.
- 7.1.9 TNS Inc.
- 7.1.10 Shift4 Corporation
8 INVESTMENT ANALYSIS
9 MARKET OPPORTUNTIES AND FUTURE TRENDS