QR Codes Payment Market Expected to Reach $35.07 Billion By 2030

According to a recent report published by Allied Market Research, titled, “QR Codes Payment Market by Offering, Payment Type, Transaction Channel, and End-User: Global Opportunity Analysis and Industry Forecast, 2021-2030.” The global QR codes payment market was valued at $8.07 billion in 2020, and is projected to reach $35.07 billion by 2030, growing at a CAGR of 16.1% from 2021 to 2030.

Rapid increase in need of secured & hassle-free transaction services and adoption of QR code payments among merchants drive the growth of the global QR codes payment market. With increased usage in the automotive industry for production, tracking, and shipping, QR codes expanded beyond the automotive industry and are gaining momentum in the payment sectors. As it allows transactions to be touchless, the demand for QR codes payment has emerged as a permanent tech fixture from the beginning of coronavirus pandemic. Restaurants, retailers, and merchants are the largest end user segments that adopted QR code payments method in their existing businesses.

Furthermore, the global QR codes payment market is in its developing phase, and exhibits high growth potential due to rise in need for operational efficiency & transparency during transactions and surge in demand for customized digitalized payment options globally. For instance, according to North American Payments Insights 2020 Payments Survey, QR codes are becoming more popular in the U.S. and only 13% of consumers used QR codes on their smartphones prior to the pandemic. Moreover, due to COVID-19 pandemic situation, 34% of consumers are using QR codes payment technology.

Based on transaction channel, the face-to-face segment dominated the market in 2020, and is projected to maintain QR codes payment market trends. This type of transaction channel allows customers to pay with their preferred digital wallets simply by pointing their phone at a code. Moreover, with providing payment convenience, it enhances transparency in terms of transactions, which further propels the growth of this segment. 

Region-wise, Asia-Pacific dominated the QR codes payment market share in 2020 and is expected to grow at the highest CAGR during the forecast period. This is attributed to massive adoption of new payment technologies, such as QR codes, cryptocurrencies, and biometrics, among retailers, merchants, & restaurants and increased smartphones penetration & internet usage in the region. For instance, a study conducted by Mastercard, which is a leading global payments & technology company, projected that 84% of consumers have access to a wider range of digital payment options, including QR code payment and is expected to grow tremendously in the upcoming years.  

The demand for QR codes payment has increased considerably during the COVID-19 pandemic. This is attributed to increased familiarity toward payment technology among consumers and several governing bodies across the globe are taking initiatives to stop the spread of virus by initiating various policies. For instance, in the UK, the health minister has proposed to launch a new application that would help National Health Service (NHS) test and trace. In addition, this new launch of QR code-enabled application is to promote contact tracing of COVID-19 infected person and to establish contact between app-enabled smartphones within a certain radius. Thus, these factors promoted the growth of the QR codes payment market size during the pandemic situation.      

Key Findings of the Study

• By offering, the solution segment led the QR codes payment industry in terms of revenue in 2020. 
• On the basis of payment type, the pull payment segment is expected to exhibit the fastest QR codes payment market growth rate during the forecast period.
• Region-wise, Asia-Pacific generated the highest revenue in 2020.  

The key players operating in the QR codes payment market analysis include Alibaba.com, Barclays, Google, LINE Pay Corporation, One97 Communications Limited (Paytm), PayPal, Revolut Ltd, Square, Inc., Tencent, and UnionPay International Co. Ltd. These players have adopted various strategies to increase their market penetration and strengthen their position in the industry.