- Shifting from legacy systems used by banks to real time payments, many governments around the world are introducing national payment gateways and open banking systems. Mobile banking is expected to rise with the banks expected to provide access to third party developers through APIs.
- Banks, Big Technology and E-commerce companies have made investments into payments technology by launching mobile payments applications to improve payments for customers and merchants.
- Major marketing strategies adopted by these payment gateway companies is to partner with major merchants and e-commerce sellers to increase transaction value and volume through their gateway and providing incentives such as discounts and cash-backs for using a specific payment method.
Growth in E-commerce: The growth in the Transaction value and volume for payment gateway operators will be driven by growth in internet and mobile phone penetration across global regions. Payment through cards and online will be driven by rise in e-commerce as more customers would make payments seamlessly with fewer steps. Emerging economies are leading the adoption of e-commerce and with it digital payments methods. Seamless payments in brick and mortar stores are also driving innovation in POS and in-store payment methods. Apple, Google and Amazon have introduced real time payment systems across regions that comply with regional regulations to improve payments through their websites and e-commerce sites.
Open Banking Regulations: Majority of the banking system is based on older systems that do not support real time payments. Hence making payments, which has always included the banking system, lacked innovation. Threat of security theft and frauds has inhibited the banks and various governments to lag in introducing innovation in payments. Currently, many governments have introduced Open Banking regulations enable banks to innovate through third party developers. With the help of these third party developers, banks role in payments will be to only execute settlement and clearance notifications to the payment systems operated by card networks.
Middle East and Africa Region has high cash in circulation as a percentage of GDP and relies mostly on cash for payments, both for sellers and buyers. UAE banks have started on the road to digital adoption. With the mergers of major banks in recent years, reduction in the number of ATMs in the future is a trend towards adoption of digital banking services.
Analysts at Ken Research in their latest publication “Global Payment Gateway Market Outlook to 2024” believe growth in e-commerce, demand by customers to have seamless payment options online and in-store, increase in mobile phone and internet penetration driving adoption of mobile phone payments, entry of third party developers to provide value added services, regulations in Fintech, various governments’ need to increase banked population are some of the factors that will drive the market to register an 11% CAGR growth in transaction value and volume for the period 2019-2024.
For More Information on market research report, please refer to the link below:-
Key Segments Covered:-
Middle East and Africa
By End-User Industry
Banking and Financial
Others (Media and Entertainment)
Key Target Audience
Existing Payment Gateways
Investors and Venture Capital Firms
Third Party Developers
Banking and Financial Services Companies
E-Commerce Sellers and Websites
Time Period Captured in the Report:-
Historical Period: 2014 -2018
Forecast Period: 2019-202
Key Topics Covered in the Report:-
Global Payment Gateway Market Value Chain Analysis
Global Payment Gateway Market Overview
Global Payment Gateway Ecosystem
Global Payment Gateway Market Trends
Global Payment Gateway Market Challenges
Global Payment Gateway Future Projections
Global Payment Gateway Market Segmentation by Region
Global Payment Gateway Market Segmentation by End-User Industry
Competition Analysis of Global Payment Gateway Companies
Global Payment Gateway Regulations
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Ankur Gupta, Head Marketing & Communications