July 14, 2024

Emerging Digital Payments Infrastructure Expected to Boost the Growth of Mobile Card Reader Market

The global Mobile Card Reader Market is estimated to be valued at US$11.52 Bn or Mn in 2023 and is expected to exhibit a CAGR of 15.% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:
The mobile card reader market consists of devices that are used to read data from a debit or credit card with a smart phone. These readers connect to a smart phone through the audio jack or Bluetooth and allow card transactions and payments to be processed directly from the phone. The advantages of mobile card readers include portability, easy setup and installation, and ability to accept payments anywhere. With the growing adoption of digital payments and increased focus on contactless transactions during the Covid-19 pandemic, the demand for mobile card readers has increased significantly.

Market key trends:
One of the key trends in the mobile card reader market is the integration of advanced security features. Players are focusing on incorporating technologies like EMV chip, tokenization and dynamic encryption to prevent security breaches during transactions. Another major trend is the development of all-in-one card readers that allow accepting not just payments but also signatures for invoicing and receipts. Industry participants are also enhancing the compatibility of their offerings to support various operating systems and applications. The market is witnessing a large number of strategic initiatives by companies to improve security features and expand functionality of their products.
Porter’s Analysis

Threat of new entrants: The threat of new entrants is low due to existing players dominance in the market and requirement of huge capital to enter into this market.

Bargaining power of buyers: Buyers have moderate bargaining power due to availability of substitutes.

Bargaining power of suppliers: Suppliers have low bargaining power due presence of large number of suppliers in the market.

Threat of new substitutes: Threat of substitution is low as mobile card readers offer convenience over traditional POS systems.

Competitive rivalry: Market is fragmented with presence of global as well as regional players leading to high competitive rivalry.

Key Takeaways

The global Mobile Card Reader Market is expected to witness high growth, exhibiting a CAGR of 15% over the forecast period, due to increasing adoption of mobile payments.

The Asia Pacific region is expected to witness fastest growth in the mobile card reader market during the forecast period. Rising adoption of mobile payments, increasing disposable income and growing e-commerce sector are some factors driving the growth of mobile card reader market in Asia Pacific.

Key players operating in the mobile card reader market are Electronic Merchant Systems, eWAY, Ezetap, Ingenico, JUSP, LifePay, Mswipe, Miura Systems, PayAnywhere, payleven, PayPal, Square, SumUp, and Verifone. Industry is expected to witness large number of strategic initiatives to enhance the security and functionality of their offerings. For instance, in June 2017, Barclays announced a launch of its new readers and improved visibility debit card to increasingly cater the disabled and old customers.