The report provides a comprehensive analysis of the potential of the Payment Service Market in India. The report also covers a comprehensive analysis of the payment services, payment gateway, m-wallet, POS Terminals, credit and debit card, payment security and prepaid instruments market in India.

Its market segmentation include by mobile and desktop payments, by modes of payment, by type of industry; Credit and Debit card coverage segmentation by number of transaction, by transactional value, by number of outstanding cards; IMPS segmentation by type of institution; AePS segmentation by types of banks - number of AePS operator; PoS Terminal segmentation by number of terminals, by metro and non-metro cities, by end user industry. The report concludes with future market projections of each segmentation.

Market Overview:

According to Report Ocean estimates, the India Payment Service Market - which grew at a CAGR of % in the period of FY16-FY22 - is expected to grow at a CAGR of $% in the forecasted period of FY22-FY27, owing to the launch of new and innovative payment products, increasing smartphone adoption, a growing need for faster payment modes, and a strong push from the Government and regulators towards adoption of digital channels.

Surge in growth of electronic payments in India, along with rising E-commerce and M-commerce transactions are further expected to give a boost to numerous entities including payment gateway service providers and payment aggregators that facilitate online payments in the country.

Digital transactions have recovered from their lows in the months of the lockdown and gained traction over the rest of the year with a growing preference for contactless transactions and tailored financial offerings by FinTech players to adapt to the needs of end-users.

Key Trends by Market Segment:

By Mode of Payment: Credit transfers from payment methods such as UPI, AePS, ABPS, IMPS have the highest share among modes of payment in India payment service market, followed by Card Payments. This is a direct result of wide range of alternatives under credit transfer made available to a large section of society, such as UPI and AePS, some of which even allow transactions without smartphones or internet connection.

Future Outlook

The India Payment Service Market witnessed a growth during the period of FY16-FY22 and the market would continue to grow owing to the launch of new and innovative payment products, increasing smartphone adoption, a growing need for faster payment modes, and a strong push from the Government and regulators towards adoption of digital channels.