US Digital Payment Market: Industry Analysis and Forecast (2024-2030)

  • The US Digital Payment Market size was valued at USD 10.66 trillion in 2023 and the total US Digital Payment revenue is expected to grow at a CAGR of 16.2% from 2024 to 2030, reaching nearly USD 30.5 trillion.

  • Format : PDF | Report ID : SMR_1575

US Digital Payment Market Overview

The US digital payments industry has seen significant growth thanks to various factors such as remote work surges, coupled with supply chain disruptions, cybersecurity threats, and global conflicts, have played a role. The Interest rate hikes, regulatory complexity, and business digitization also contribute as well as innovations in payment methods, standardization, and mobile payment acceleration are prominent. The US digital payments industry's transformation, marked by faster, safer transactions, stems from collaborations among tech giants, banks, fintechs, and payment providers, enhancing efficiency and relationships.

 

  • Credit cards dominated in-store transactions at 70% in 2023.

 

  • Mobile wallets, favored in e-commerce, grow, alongside rising adoption of BNPL and P2P payments.

 

  • US credit card transactions average $91.11, contrasting with debit cards at $39.38.

 

The comprehensive report serves as a detailed analysis of the US Digital Payment Market. STELLAR has precisely examined the industry's evolution, spotlighting significant trends, groundbreaking innovations, and the driving forces that mold its trajectory. Delving deep into the present landscape, the report dissects the US Digital Payment Market. It accurately outlines the market's current dimensions, growth patterns, size, and the nuanced trends that use significant influence. Additionally, it keenly identifies the pivotal factors driving market growth and sheds light on growing opportunities.

US Digital Payment Market

Rapid Growth of Mobile Payments Drives the US Digital Payment Market

Mobile payments drive convenience, extend financial services, and increase security, fostering economic inclusion and e-commerce growth. The US digital payment market divides privacy concerns, cybersecurity threats, job displacement, and predatory practices requiring awareness and protective measures.

 

Mobile payments facilitate swift, convenient transactions, saving time for consumers and businesses. They cover financial services to the unbanked, fostering economic inclusion. Biometric authentication and data tokenization in mobile payments enhance security, reducing fraud risks. Businesses leverage valuable consumer data to personalize marketing and improve offerings, driving e-commerce as well as US Digital payment market growth. The trend actively drives fintech innovation, fostering competition, and lowering costs for consumers.

US Digital Payment Market1

 

The US digital payment industry continues as not everyone has access to smartphones or reliable internet, excluding them from the digital payment economy, worsening inequalities. Privacy concerns arise due to extensive data collection in mobile payments, posing risks of misuse by companies or governments. Cybersecurity threats, job displacement, and potential predatory practices highlight challenges requiring awareness and protective measures for both businesses and consumers.

 

US Digital Payment Market Segment Analysis

 

Based on Mode of Payment, the Digital Wallets segment held the largest market share of about 35% in the US Digital Payment Market in 2023. According to the STELLAR analysis, the segment is expected to grow at a CAGR of 16.9% during the forecast period. It stands out as the dominant segment within the US Digital Payment Market thanks to its rapid technological advancement and growing adoption of smart devices with data connectivity and integration.

us digital payment market

 

Digital wallets bring increased convenience and speed to payment transactions, fostering a seamless experience for users both online and offline. With improved security features such as tokenization and two-factor authentication, digital wallets build trust, mitigating fraud and data breaches. The growth of e-commerce is facilitated, benefitting businesses and growing the US digital payment market. Additionally, digital wallets contribute to financial inclusion by providing access to financial services for the unbanked or underbanked. The collection of user spending data enables personalized experiences and targeted marketing, benefiting both consumers and merchants. The competition spurred by digital wallets fosters innovation in the US digital payment industry, resulting in new technologies and improved services for consumers.

 

Additionally, The US Digital Payment market providers collecting and using user data raise privacy concerns, prompting worries about potential misuse. The growth of digital wallets disrupts traditional financial institutions, potentially causing job losses. Some digital wallets impose high transaction fees, increasing costs for businesses. Despite advanced security features, digital wallets remain vulnerable to cyberattacks, emphasizing the need for robust security measures. The convenience of digital payments leads to impulsive spending, necessitating the promotion of responsible use and the provision of budgeting tools.

 

 

US Digital Payment Market Scope

Market Size in 2023

USD 10.66 trillion

Market Size in 2030

USD 30.5 trillion

CAGR (2024-2030)

16.2%

Historic Data

2018-2022

Base Year

2023

Forecast Period

2024-2030

Segment Scope

 

By Service

  • Professional
  • Managed

 

By Solution

  • Payment Gateway
  • Payment Processing
  • Payment Security & Fraud Management

 

 

By Mode of Payment

  • Bank Cards
  • Digital Wallets
  • Point of Sales
  • Net Banking

 

 

By Organization Size

  • SMEs
  • Large Enterprises

 

 

By Deployment Mode

  • Cloud
  • On-premises

 

 

By Industry

  • BFSI
  • Healthcare
  • IT & Telecom
  • Retail & E-commerce
  • Transportation

 

 

Leading Key Players in the US Digital Payment Market


Frequently Asked Questions

Convenience and Efficiency and Contactless payments are expected to be the major drivers for the US Digital Payment market.

1.    US Digital Payment Market Executive Summary
1.1 Study Assumption and Market Definition
1.2 Scope of the Study
1.3 Emerging Technologies
1.4 Market Projections
1.5 Strategic Recommendations
2.    US Digital Payment Market Consumer Adoption and Behaviour
2.1 Consumer Preferences
2.2 Factors Influencing Adoption
2.3 Challenges in Consumer Adoption
3.    US Digital Payment Market: Dynamics
3.1.1 Market Driver
3.1.2 Market Restraints
3.1.3 Market Opportunities
3.1.4 Market Challenges

3.2 PORTER’s Five Forces Analysis
3.3 PESTLE Analysis
3.4 Value Chain Analysis
3.5 Regulatory Landscape 
3.6 Analysis of Government Schemes and Initiatives for the US Digital Payment Industry
3.7 The Pandemic and Redefining of The US Digital Payment Industry Landscape
4.    US Digital Payment Market: Market Size and Forecast by Segmentation (Value) (2023-2030)
4.1 US Digital Payment Market Size and Forecast, by Service (2023-2030)
4.1.1 Professional
4.1.2 Managed

4.2 US Digital Payment Market Size and Forecast, Solution (2023-2030)
4.2.1 Payment Gateway
4.2.2 Payment Processing
4.2.3 Payment Security & Fraud Management

4.3 US Digital Payment Market Size and Forecast, by Mode of Payment (2023-2030)
4.3.1 Bank Cards
4.3.2 Digital Wallets
4.3.3 Point of Sales
4.3.4 Net Banking

4.4 US Digital Payment Market Size and Forecast, by Organization Size (2023-2030)
4.4.1 SMEs
4.4.2 Large Enterprises

4.5 US Digital Payment Market Size and Forecast, by Deployment Mode (2023-2030)
4.5.1 Cloud
4.5.2 On-premises

4.6 US Digital Payment Market Size and Forecast, by Industry (2023-2030)
4.6.1 BFSI
4.6.2 Healthcare
4.6.3 IT & Telecom
4.6.4 Retail & E-commerce
4.6.5 Transportation

5.    US Digital Payment Market: Competitive Landscape
5.1 STELLAR Competition Matrix
5.2 Competitive Landscape
5.3 Key Players Benchmarking
5.3.1 Company Name
5.3.2 Service Segment
5.3.3 End-user Segment 
5.3.4 Revenue (2023)
5.3.5 Company Locations

5.4 Leading US Digital Payment Companies, by market capitalization
5.5 Market Structure
5.5.1 Market Leaders 
5.5.2 Market Followers
5.5.3 Emerging Players

5.6 Mergers and Acquisitions Details
6.    Company Profile: Key Players
6.1 PayPal Holdings, Inc.
6.1.1 Company Overview
6.1.2 Business Portfolio
6.1.3 Financial Overview
6.1.4 SWOT Analysis
6.1.5 Strategic Analysis
6.1.6 Scale of Operation (small, medium, and large)
6.1.7 Details on Partnership
6.1.8 Regulatory Accreditations and Certifications Received by Them
6.1.9 Awards Received by the Firm
6.1.10  Recent Developments

6.2 Square, Inc.
6.3 Stripe, Inc.
6.4 Visa Inc.
6.5 Mastercard Incorporated
6.6 Apple Inc.
6.7 Google LLC
6.8 Amazon.com, Inc.
6.9 American Express Company
6.10 Wells Fargo & Co.
7.    Key Findings
8.    Industry Recommendations
9.    Terms and Glossary
10.    US Digital Payment Market: Research Methodology 

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