Digital wallets transaction value to grow by 60% by 2026 globally

A new Juniper Research study has shown that digital wallets will be worth more than $12 trillion in 2026. This year, transactions are expected to exceed $7.5 trillion.

Research shows that top digital payment vendors will diversify and offer new payment solutions to capitalize on the substantial growth.

Digital wallets are software-based systems that securely store users’ payment information for many payment methods in one location.

The new research Digital wallets: Key opportunities and vendor analysis. Market forecasts for 2022 to 2026According to research, digital wallet use is gaining acceptance by merchants at eCommerce checkouts.

It predicts that APIs (“application programming interfaces”) that connect financial institutions to local retailers will be key to the international growth of digital-wallet usage for large, cross-border e-commerce merchants.

Value-added services

Research also suggests that digital-wallet sellers should offer value-added service, such as credit and loyalty rewards, to diversify their revenue streams, capitalising on an active user base.

Juniper Research’s competitor leaderboard for the digital-wallets market has identified the five leading market vendors as follows:

  • PayPal;
  • Alipay;
  • WeChat Pay
  • Apple Pay
  • Google Pay.

Research co-author Damla Sat elaborated: “The digital-wallets market is heavily saturated, meaning finding a source of differentiation is critically important.

“We have ranked PayPal as an established leader as it has successfully grown an expansive, differentiated offering; leveraging its strong merchant acceptance by expanding quickly into buy-now-pay-later and QR code payments, as well as signing partnerships with key merchants to scale its innovative solutions.”

Juniper Research’s competitor leaderboard provides an independent assessment of the market standing of the leading digital-wallets players. It includes a robust and transparent assessment methodology, including heatmap analysis and a thorough explanation of each company’s market position.

The leaderboard tool assesses each vendor’s capacity, capability, and products. This analysis also includes an assessment of the company’s financial performance, as well as the sophistication of their digital wallet offerings.

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