The payment gateway market in India is witnessing a boom due to increased internet usage and growing awareness of online transactions. The integration of payment processors is now vital for businesses, facilitating secure transactions through customers' preferred banks. The 'Digital India' initiative has spurred the adoption of transaction platforms and services, though digital infrastructure needs strengthening in smaller cities and rural areas. The competitive market includes players like PayU, Paytm, Razorpay, PayPal India, and CCAvenue, who are expanding their market share through strategic partnerships, investments, and product launches.

This statistic displays the value of the payment gateway market in India in 2017 with a forecast for 2025. In 2025, the Indian payment gateway market was forecasted to grow to approximately 1.71 billion U.S. dollars.

The Payment Gateway Market is projected to grow at 18.9% CAGR, reaching $89.29 Billion by 2029. Where is the industry heading next? Get the sample report now!

As of the first half of 2024, the average daily number of online transactions made via payment gateway (PG) in South Korea amounted to around 28.86 million, showing an increase from the previous year. The average daily number of online transactions made via PG in South Korea has increased rapidly in recent years, especially after digital transactions increased during the coronavirus (COVID-19) pandemic.

South Korea Electronic Payments: Volume: Payment Gateway data was reported at 1,340,761.000 Number th in Dec 2019. This records an increase from the previous number of 1,143,985.000 Number th for Sep 2019. South Korea Electronic Payments: Volume: Payment Gateway data is updated quarterly, averaging 264,881.500 Number th from Mar 2008 (Median) to Dec 2019, with 48 observations. The data reached an all-time high of 1,340,761.000 Number th in Dec 2019 and a record low of 120,622.000 Number th in Mar 2008. South Korea Electronic Payments: Volume: Payment Gateway data remains active status in CEIC and is reported by The Bank of Korea. The data is categorized under Global Database’s South Korea – Table KR.KA020: Electronic Banking Statistics. [COVID-19-IMPACT]

The statistic shows the share of crowdfunding platforms in Italy in 2015, by preferred payment gateway. According to data, 49 percent of the crowdfunding platforms used PayPal as payment gateway.

Payment gateways in Europe are predicted to grow by roughly 300 percent in market size between 2023 and 2030, according to a data model. This model comes from the "Global Payment Gateway Market (2023-2032)" report from Extrapolate. The source adds this would mean a CAGR of 11.4 percent between those years for the full region. The source, however, did only provide individual figures for Germany, France, the UK, Italy, and Spain, with countries like the Netherlands or Sweden likely to be found within the "rest of Europe" category. Payment gateways refer to services such as Stripe, Braintree, Adyen, Square, or Worldpay. These are financial services that give merchants access to various digital payment methods on their platform, such as Visa but also Apple Pay or local payment options found within a country. Such services are also increasingly attracting interest within fintech as they have options to automatically charge customers for transactions on a consistent basis. These subscription-style payments, often referred to as "recurring billing", are a potential option to help reinforce customer loyalty alongside popular options like cash back.

The global online payment gateway tool market is projected to expand significantly over the forecast period, driven by the increasing adoption of e-commerce and the growing popularity of digital payments. The market size is expected to reach USD 3,170 million by 2033, growing at a CAGR of 14.8% from 2025 to 2033. The proliferation of mobile devices and the emergence of new payment technologies are further fueling the growth of this market. Key industry players include PayPal, Stripe, WePay, Amazon Payments, Google Pay, Authorize.net, WorldPay, Dwolla, Adyen, CCBill, Apple Pay, Braintree, 2Checkout, Merchant E-Solutions, Simplify Commerce, Verifone, BlueSnap, Fiserv, SecurePay, PayU, MOLPay, WeChat Pay, GMO, Alipay, Tenpay, Ping++, Boleto Bancário, CashU, OneCard, Wirecard, WebMoney, Realex (Global Payments), WildApricot Payments, AffiniPay, Due, Freshbooks, Paytm Business, GoCardless, Razorpay, EBizCharge, PayLane, Payworks, and FIS. These companies offer a wide range of payment gateway solutions, including hosted and self-hosted payment gateways, local bank integrates, and platform-based payment gateway solutions, to meet the diverse needs of merchants.

The market is projected to reach USD 1,684.7 Million in 2025 and is expected to grow to USD 6,030 Million by 2035, registering a CAGR of 13.6% over the forecast period. The expansion of Web3 commerce, growing use of stablecoins for e-commerce payments, and increasing integration of crypto gateways with traditional financial systems are fueling market expansion. Additionally, rising demand for decentralized payment solutions, AI-powered fraud detection, and multi-chain payment processing is shaping the industry's future.

Metric	Value
Market Size (2025E)	USD 1,684.7 Million
Market Value (2035F)	USD 6,030 Million
CAGR (2025 to 2035)	13.6%

Country-wise Insights

Country	CAGR (2025 to 2035)
USA	14.0%

Country	CAGR (2025 to 2035)
UK	13.2%

Region	CAGR (2025 to 2035)
European Union (EU)	13.6%

Country	CAGR (2025 to 2035)
Japan	13.8%

Country	CAGR (2025 to 2035)
South Korea	14.1%

Competitive Outlook

Company Name	Estimated Market Share (%)
BitPay	18-22%
CoinGate	12-16%
Coinbase Commerce	10-14%
NOWPayments	8-12%
Binance Pay	6-10%
Other Companies (combined)	30-40%

Global Online Payment Gateway Market market size valued at US$ 24.91 Billion in 2023, set to reach US$ 80.07 Billion by 2032 at a CAGR of about 12.4% from 2024 to 2032.

South Korea Electronic Payments: Value: Payment Gateway: Virtual Accounts data was reported at 60,553.000 KRW hm in Dec 2019. This records a decrease from the previous number of 60,691.000 KRW hm for Sep 2019. South Korea Electronic Payments: Value: Payment Gateway: Virtual Accounts data is updated quarterly, averaging 28,457.000 KRW hm from Dec 2009 (Median) to Dec 2019, with 41 observations. The data reached an all-time high of 60,691.000 KRW hm in Sep 2019 and a record low of 10,068.000 KRW hm in Mar 2010. South Korea Electronic Payments: Value: Payment Gateway: Virtual Accounts data remains active status in CEIC and is reported by The Bank of Korea. The data is categorized under Global Database’s South Korea – Table KR.KA020: Electronic Banking Statistics. [COVID-19-IMPACT]

Access the summary of the Payment Processing Solutions market report, featuring key insights, executive summary, market size, CAGR, growth rate, and future outlook.

The online payment gateway market is currently valued at US$ 127.45 billion in 2024. It is set to register a CAGR of 9.60% and is estimated to reach US$ 318.74 billion by 2034. The virtual payment gateway market is evolving due to high demand for IoT-based payments reinforced by technological improvements.

Attributes	Details
Market Value for 2024	US$ 127.45 billion
Market Value for 2034	US$ 318.74 billion
Market Forecast CAGR for 2024 to 2034	9.60%

2019 to 2023 Historical Analysis vs. 2024 to 2034 Market Projection

Attributes	Details
Market Historical CAGR for 2019 to 2023	10.00%

Category-wise Insights

Attributes	Details
Top Gateway Type	Hosted Payment Gateway
Market share in 2024	39.4%

Attributes	Details
Top Enterprise Size	Large Enterprises (500 to 999 employees)
Market share in 2024	26.70%

Country-wise Insights

Countries	CAGR from 2024 to 2034
United States	9.60%
Germany	5.30%
China	11.70%
Japan	6.00%
Australia and New Zealand	9.10%

Snapshot img

Payment Processing Solutions Market Size 2024-2028

The payment processing solutions market size is forecast to increase by USD 81.4 billion at a CAGR of 13.64% between 2023 and 2028.

The market is experiencing significant growth due to several key trends. The first trend is the high adoption of contactless payment solutions such as virtual cards, as consumers increasingly prefer convenient and touchless payment methods. Another trend is the growing financial inclusion globally, as more people gain access to banking services and the ability to make digital payments.
However, privacy and security concerns related to consumer data remain a challenge for market growth. As the use of digital payments increases, ensuring the protection of sensitive financial information becomes paramount. Market players must prioritize data security measures to address these concerns and build trust with customers.
Overall, the market is poised for continued growth, driven by these trends and the increasing demand for secure and convenient payment methods.

What will be the Size of the Payment Processing Solutions Market During the Forecast Period?

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The market is experiencing significant growth due to the increasing adoption of data-intensive applications, such as mobile payment apps and contactless payments, driven by the shift towards digital payments and social distancing. Cloud computing and data storage infrastructure are essential components of these solutions, enabling fast data retrieval and integration with machine learning and artificial intelligence technologies.
Market leaders are investing in APIs and near-field communication to enhance transaction security and provide seamless user experiences. Venture capital firms are also pouring resources into innovative payment solutions, fueling the market's expansion. E-wallets and machine-to-machine transactions are further expanding the market's scope. 
The payment processing solutions market is evolving rapidly, driven by advancements like contactless payments and AI-powered payment processing, which enhance speed and security. Real-time payment solutions are revolutionizing financial transactions, while mobile wallet adoption continues to rise, offering consumers more convenient options. Crypto payment integration is expanding, catering to the growing demand for digital currencies. Biometric payment authentication is improving security, and cross-border payment innovations are simplifying international transactions. Embedded payment systems and omnichannel payment processing are making payments seamless across various platforms. Fraud prevention in payments remains a top priority, with solutions like NFC payment technology and cloud-based payment gateways leading the way. Additionally, subscription billing platforms, BNPL (buy now pay later) options, and instant payout solutions are reshaping consumer spending habits.

How is this Payment Processing Solutions Industry segmented and which is the largest segment?

The payment processing solutions industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2024-2028, as well as historical data from 2018-2022 for the following segments.

Deployment

  Cloud-based
  On-premises


Method

  Credit card
  Debit card
  E-wallet
  Others


Geography

  North America

    US


  Europe

    Germany
    UK


  APAC

    China
    Japan


  South America



  Middle East and Africa

By Deployment Insights

The cloud-based segment is estimated to witness significant growth during the forecast period.

Payment processing solutions in a cloud-deployment model are hosted on remote servers and accessed online via third-party cloud service providers. This setup offers financial institutions scalability, flexibility, and cost savings as they can subscribe or pay-as-they-go for the required payment processing solutions. Cloud-based deployment also enables seamless integration with other cloud-based services, remote access, and effortless software updates. Traditional financial institutions, burdened by outdated infrastructure built in-house, have increasingly adopted cloud-based payment platform infrastructure due to its ability to adapt to rapidly changing market environments and technology. Key features of cloud-based payment processing include scalable storage solutions, agile architectures, data mobility, replication, and synchronization, interoperability, security, and cloud-first strategies. Hybrid IT models are also gaining popularity, combining the benefits of both on-premises and cloud-based systems.

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The cloud-based segment was valued at USD 31.40 billion in 2018 and showed a gradual increase dur

Snapshot img

Digital Payment Market Size 2025-2029

The digital payment market size is forecast to increase by USD 304.95 billion at a CAGR of 25.5% between 2024 and 2029.

The market is witnessing significant growth due to the increasing use of smartphones and the emergence of mobile payments through NFC systems and e-wallets. The convenience and speed of digital payments have made them increasingly popular, particularly among younger generations. However, data security remains a major concern, with payment gateways and ATMs being prime targets for cyber attacks. To address this issue, advancements in technology such as near field communication, wearables, and blockchain technology are being adopted to enhance security. Furthermore, the integration of machine learning and information services in digital payment systems is expected to improve user experience and streamline transactions. In addition, the rise of renewable energy solutions and the integration of digital payments in POS terminals and e-commerce platforms are further driving market growth. Despite these opportunities, challenges such as privacy concerns and the need for regulatory compliance persist. Overall, the market is poised for continued expansion, with mobile apps, computer-based payments, and LED displays becoming increasingly common in the US and North American markets.

What will be the Size of the Digital Payment Market During the Forecast Period?

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The market is experiencing significant growth as technological advancements and increasing smartphone penetration drive the shift towards cashless transactions. Mobile wallets, digital payment cards, and cloud-based digital solutions are transforming the way adults worldwide conduct business and make purchases. With the proliferation of smartphones and improved internet accessibility, consumers are increasingly relying on user-friendly mobile applications for making payments, whether it be at retail terminals, POS systems, or online.
The market's size is projected to reach billions of people, representing a substantial portion of the world's total transactions. Technological developments, such as EUPay, EPI, and Verve Card, continue to facilitate seamless digital payment processing, enabling businesses to cater to the evolving needs of consumers in the world of web commerce. The convenience offered by digital payments is a key driver of market growth, as more and more people embrace the ease and security of card-based transactions.

How is this Digital Payment Industry segmented and which is the largest segment?

The digital payment industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

End-user

  Large enterprises
  SMEs


Component

  Solutions
  Services


Deployment

  On-premises
  Cloud


Method

  Digital wallets
  Bank cards
  Digital currencies


Application

  BFSI
  Media and entertainment
  IT and telecommunication
  Hospitality
  Healthcare


Geography

  APAC

    China
    India
    Japan
    South Korea


  North America

    Canada
    US


  Europe

    Germany
    UK
    France


  South America

    Brazil


  Middle East and Africa

By End-user Insights

The large enterprises segment is estimated to witness significant growth during the forecast period. The digital payments market has experienced significant growth due to the increasing usage of mobile wallets, digital payment cards, and contactless payments. Technological developments, such as NFC and QR codes, have enabled user-friendly smartphones to facilitate mobile payment solutions, including Apple Pay, Google Pay, and Samsung Pay. These innovations have gained popularity among tech-savvy consumers, leading to an increase in e-commerce sales and cashless methods. Businesses across industries, including retail, hospitality, and finance, have adopted digital payment systems for their convenience and strong security measures. International trade and cross-border transactions have also increased, driving the demand for digital payment services.

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The large enterprises segment was valued at USD 28.1 billion in 2019 and showed a gradual increase during the forecast period.

Regional Analysis

APAC is estimated to contribute 35% to the growth of the global market during the forecast period. Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period. The digital payments market is experiencing significant growth, particularly in the Asia-Pacific (APAC) region. This expansion is primarily driven by the rapid urbanization and increasing internet penetration in the area. The

Payment Processing Software Market Size And Forecast

Payment Processing Software Market size was valued at USD 67294.31 Million in 2024 and is projected to reach USD 148501.53 Million by 2031, growing at a CAGR of 10.40% from 2024 to 2031.

Global Payment Processing Software Market Drivers

The market drivers for the Payment Processing Software Market can be influenced by various factors. These may include:

E-commerce Growth: A key factor pushing payment processing software is the exponential increase of e-commerce activities worldwide. The need for safe, effective, and smooth payment options to enable transactions is growing as more companies go online.

Digitalization and Mobile Payments: Mobile wallets, NFC payments, and QR code payments are just a few of the digital payment methods that payment processing software supporting as smartphones proliferate and people choose to pay with them.

Convenience, speed, and hygiene concerns: particularly in the wake of the COVID-19 pandemic—are driving the growth of contactless payment options. Software for processing payments that permits contactless transactions is highly sought after.

Globalisation and Cross-Border Transactions: Internationally operating companies need payment processing systems that can effectively manage cross-border transactions while guaranteeing regulatory compliance and smoothly handling currency conversion.

Payment processing systems’ security: is receiving more attention as cyber dangers keep developing. Businesses that want to safeguard private financial information must use payment processing software with strong security features including tokenization, encryption, and sophisticated fraud detection algorithms.

PCI DSS (Payment Card Industry Data Security Standard) and GDPR (General Data Protection Regulation): are two examples of the several regulatory standards and compliance criteria that the payment processing sector must adhere to. Highly prized payment processing software assists companies in following these rules and guidelines.

Integration with other Systems: In order to improve productivity and streamline operations, companies are looking more and more for payment processing solutions that can easily interface with other software systems, such inventory management systems, accounting software, and customer relationship management (CRM) platforms.

Increase of Recurring and Subscription Payments: Subscription-based business models are spreading over a number of sectors. Supporting subscription management and recurring billing, payment processing software is in high demand to provide various payment options.

Emergence of Blockchain and Cryptocurrency: The payment processing environment is being affected by the growth of blockchain technology and cryptocurrencies. To meet the increasing need for alternate payment options, several payment processing software companies are investigating blockchain-based solutions and include cryptocurrency support.

Customer Convenience and Experience: Companies want to give their clients a smooth and easy payment process in the end. Fast transaction processing times, a variety of payment methods supported, and user-friendly interfaces are all features of payment processing software that help to improve customer happiness and loyalty.

The Report Covers Indonesia Payment Gateway Infrastructure Providers and is Segmented by Traditional Payment Infrastructure (Card-Based Instrument Infrastructure and E-Money).

The payment gateway aggregator market across India was estimated to record about 22.6 million terminals by fiscal year 2025. This was an increase from only 3.6 million terminals in financial year 2015.The country's digital payments industry as a whole was projected to be valued at over seven quadrillion rupees by 2025.

[322 Pages Report] The global payment processing solutions market is expected to reach US$ 90.4 Billion in 2022, from US$ 82 Billion in 2021. From 2022 to 2032, the market is expected to secure US$ 231.7 Billion while exhibiting a growth rate of 9.9% during the forecast period, supported by:

Data Points	Key Statistics
Payment Processing Solution Market Value in 2022	US$ 90.4 Billion
Payment Processing Solution Market Forecast Value in 2032	US$ 231.7 Billion
Global Growth Rate	9.9%

What is the Regional Analysis of the Global Payment Processing Solutions Market?

Country	Estimated CAGR
USA	9.1%
UK	8.7%
China	8.9%
Japan	8.6%
South Korea	8.3%

Payment Processing Solutions Market Valuation – 2024-2031

Payment Processing Solutions Market was valued at USD 57.21 Billion in 2024 and is projected to reach USD 107.87 Billion by 2031, growing at a CAGR of 9.1% during the forecast period 2024-2031.

Global Payment Processing Solutions Market Drivers

E-commerce boom: The rapid expansion of online shopping has driven the demand for secure and efficient payment processing solutions.

Mobile payments: The widespread adoption of smartphones and tablets has led to a surge in mobile payments, which require robust payment processing infrastructure.

Digitalization of businesses: Businesses across various industries are increasingly adopting digital technologies, necessitating the integration of payment processing solutions.

Global Payment Processing Solutions Market Restraints

Security concerns: The handling of sensitive financial data poses significant security risks, requiring robust measures to protect against fraud and data breaches.

Regulatory compliance: Businesses must adhere to a complex web of regulations and standards, which can be costly and time-consuming.