North America Mobile Payments Market Size (2024 - 2029)

The North American mobile payments market is experiencing significant growth, driven by the increasing preference for cashless transactions and the expansion of online shopping. This market expansion is attracting interest from various stakeholders, including customers, businesses, and financial institutions. Despite the challenges posed by established technology infrastructures and data security concerns, the demand for mobile payment solutions continues to rise. The pandemic has further accelerated the shift towards digital payments, as people seek to minimize physical contact. Social media platforms are also emerging as potential players in the financial services sector, contributing to the overall market size.

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Market Size of North America Mobile Payments Industry

north america mobile payments market size
Study Period 2019 - 2029
Base Year For Estimation 2023
Forecast Data Period 2024 - 2029
Historical Data Period 2019 - 2022
CAGR 22.30 %
Market Concentration Low

Major Players

north america mobile payments market share

*Disclaimer: Major Players sorted in no particular order

North America Mobile Payments Market Analysis

The North American mobile payment market is growing due to the benefits offered; it is seeking the attention of customers, businesses, financial institutions, and the government. Online shopping has exploded, and mobile payments have become the preferred payment method. Furthermore, the Carrier Billing ecosystem is undergoing an absolute revolution due to rapid and massive changes in the economy, social conditions, regulatory landscape, and technology-related. Furthermore, as mobile payment apps grow in popularity, tech companies, payments technology brands, banks, retailers, and others are all looking for ways to secure a part of this expanding market.

  • In the United States, progress towards contemporary technologies like e-wallets is tempered by mature technology infrastructures, habits, and preferences established over generations. The region has the highest ARPU among all countries, about 13 times that of China, the world leader in mobile payments. It is expected to decline as people switch to contactless cards for amounts instead of mobile payments.
  • Payment mode requires certain details such as card details and card PIN. Transacting online payment mode requires certain information such as card details or card PIN; however, most users are hesitant to switch to such platforms, which may hinder the industry's growth. Data security remains a major concern for all mobile payment providers, as a robust and resilient system is required to ensure that their customers' data is not misused. As a strong and resilient system, providers must ensure that no unauthorized use of their customer data occurs.
  • Social media is integral to daily life and will likely play an even more important role in the foreseeable future. For instance, such platforms are predicted to offer adjacent financial services. In December 2021, for example, WhatsApp is currently testing an instant payment feature using Pax Dollars (USDP) on a trial basis for some US users. WhatsApp works with Novi, a digital wallet owned by Meta, formerly Facebook. WhatsApp has over 2.5 billion users in over 100 countries around the world.
  • The pandemic has boosted digital payments across North America, encouraging people to use cashless transactions to avoid physical contact and maintain social distance. As a result, the demand for financial tools is increasing, contributing to the market's growth.

North America Mobile Payments Industry Segmentation

Mobile payments replace traditional payment methods such as cash, checks, or credit cards. Mobile Payment allows customers to purchase any good or service using wireless devices such as smartphones, tablets, and others. Furthermore, mobile payments use NFC (Near Field Communication), SMS-based transactional payments, and direct mobile billing to improve transaction security and provide hassle-free transactions. Any payment made with a mobile device is called a mobile payment. Because of the increasing reliance on smartphones, various methods have been developed to allow consumers to pay conveniently using their phones.

North America Mobile Payments Market is Segmented By Payment Mode ( Proximity Payment, Remote Payment)

Payment Mode
Proximity Payment
Remote Payment
By Geography
North America
United States
Canada
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North America Mobile Payments Market Size Summary

The North American mobile payments market is experiencing significant growth, driven by the increasing preference for cashless transactions and the rapid expansion of e-commerce. The integration of Near Field Communication (NFC) technology into mobile devices has facilitated the creation of digital wallets, making mobile payments a more convenient option compared to traditional methods. The pandemic has further accelerated this trend, as consumers have sought to minimize physical contact by opting for digital payment solutions. The entry of major tech companies like Apple and Google has also opened up substantial opportunities for market expansion, as these giants continue to innovate and enhance their payment offerings. Additionally, the growing adoption of 5G technology is shifting consumer focus towards online purchasing and financial operations, further bolstering the market's growth.

Despite the promising growth prospects, the market faces challenges such as data security concerns and the need for robust systems to protect customer information. In the United States, the transition to modern payment technologies like e-wallets is hindered by established habits and mature infrastructure. However, the market remains competitive and fragmented, with key players like Google, Apple, PayPal, Mastercard, and American Express actively investing in new technologies and partnerships to capture a larger market share. These companies are continuously developing innovative products and services to meet the evolving needs of consumers and businesses, ensuring the North American mobile payments market remains dynamic and poised for further growth.

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North America Mobile Payments Market Size - Table of Contents

  1. 1. MARKET INSIGHTS

    1. 1.1 Market Overview

    2. 1.2 Industry Value Chain Analysis

    3. 1.3 Industry Attractiveness - Porter's Five Forces Analysis

      1. 1.3.1 Bargaining Power of Suppliers

      2. 1.3.2 Bargaining Power of Consumers

      3. 1.3.3 Threat of New Entrants

      4. 1.3.4 Intensity of Competitive Rivalry

      5. 1.3.5 Threat of Substitutes

    4. 1.4 COVID-19 Impact on the Market

  2. 2. MARKET SEGMENTATION

    1. 2.1 Payment Mode

      1. 2.1.1 Proximity Payment

      2. 2.1.2 Remote Payment

    2. 2.2 By Geography

      1. 2.2.1 North America

        1. 2.2.1.1 United States

        2. 2.2.1.2 Canada

North America Mobile Payments Market Size FAQs

The North America Mobile Payments Market is projected to register a CAGR of 22.30% during the forecast period (2024-2029)

PayPal, Alipay, Zelle, Apple Inc. and Google LLC are the major companies operating in the North America Mobile Payments Market.

North America Mobile Payments Report Snapshots

North America Mobile Payments Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)