Today, with an increased rate of e-commerce and internet penetration, a wide range of consumers are favoring online transaction, in turn, driving the global market for an online payment gateway. The market, likely to see an impressive growth in the near future, provides a various mode of transactions such as direct debits, real-time bank transfers, and so on which are conducted with all kinds of cards used for transactions including credit card, debit card, prepaid card, and charge cards. Differentiation is also found in these modes of payments; while credit cards permit to transact up to a limit which is to be repaid within a specific timeframe, debit cards can be used as long as individual accounts have sufficient balance.
Growing Adoption of Mobile Devices & Surging Popularity of Online Shopping Boosting Online Payment Gateway Market
In the recent years, the adoption of digital payments has resulted in a significant decrease in a number of bank branches and ATMs. Many brands and online shopping portals are integrated with the online payment gateways to ease the transactional interface for consumers. These websites or online portals keep a track of the bank details- of course, with all privacy regulations in place that can be used in the next transaction without going through the transaction process all over again. Mobile wallet is another emerging trend that boosts the online payment gateway market. Not just the biggies, small-time players and industries are also leveraging the power of online sales and services.
Soaring use of mobile devices corresponds to the growth of online payment gateway market. It triggers instant payments to meet the requirements and needs of customers. Industry experts also believe that favoring online payment gateway not only eases the transaction process but also stimulates economic growth while keeping the black economy at bay. PayPal and Amazon.com Inc continue to remain the key players of online payment gateway market. Many non-bank players and third-party payment vendors have also entered the market facilitating its growth.
However, in several regions, the market seems to be obstructed due to security-related issues. The occurrence of mass cyber theft still remains a major threat to the online payment gateway market, eventually restricting the rate of usage. Incorporating high-security options in the services may help in overcoming restrictions and further enhance the current scenario of the market. It is also predicted that new innovations are being worked on to boost the revenue.
All of these insights are taken from an extensive global market research of online payment gateways and detailed excerpts of it will be availablse here.Digital & Social Articles on Business 2 Community