From the period of 2022 to 2028, the Global Wearable Payment Devices Market is expected to reach USD 90.8 Billion in terms of revenue, growing at a Compound Annual Growth Rate (CAGR) of 13.10%.
Wearable Payment Devices enable payments without contact and are a technologically advanced way of payments that is seeing an increase in demand and popularity on a global scale. The pandemic of 2020 led to a substantial rise in demand for contactless payment solutions and this trend boosted the Wearable Payment Devices Market potential which is expected to be prevalent over the forecast period as well. Rising technological proliferation, the presence of advanced internet infrastructure, and rapid advancements in payment technologies are major trends that will drive the Wearable Payment Devices Market potential over the forecast period. However, battery drain and high costs could have a hindering effect on the Global Wearable Payment Devices Market potential through 2028. The wearable payment device companies are investing in new research and development programs to create more effective wearable payment device solutions and boost their sales revenue on a global scale.
Key Highlights from the Report
- On the basis of the Sales Channel, the market is segmented into direct sales and indirect sales. The indirect sales segment is projected to exhibit a lucrative outlook over the forecast period and will maintain a dominant stance as well. Smart watches utilize the contactless payment feature and they are prominent Wearable Payment Devices that will drive the market potential over the forecast period. Increasing smart proliferation will further boost the Wearable Payment Devices Market growth across the world and especially in emerging economies.
- On the basis of application, the market is segmented into Retail/Grocery Stores, Restaurants, Hospitals/Pharmacies, Entertainment Centers, and Others. The retail/grocery store segment is anticipated to hold a prominent market share in the Global Wearable Payment Devices Market landscape over the forecast period. The increasing trend of smart stores and the rising deployment of contactless payment solutions in these stores are projected to boost the Wearable Payment Devices Market potential through the forecast period.
- Asia Pacific is the fastest regional segment in terms of growth. Asia Pacific region will register the fastest sales of Wearable Payment Devices owing to rapid technological advancements and urbanization. Increasing smartphone proliferation and the establishment of internet infrastructure will further boost demand for Wearable Payment Devices in this region. The high adoption of advanced digital devices will further boost the Wearable Payment Devices Market potential. The Wearable Payment Devices Market accounts for a revenue total of US$ 16.31 million in 2021 in this region.
Some of the key players in the Global Wearable Payment Devices Market include Apple Inc. (US), Samsung Electronics Co. Ltd. (South Korea), Fitbit Inc. (US), Garmin AB (Switzerland), Xiaomi Corporation (China) and others.
Increasing Demand for Contactless Payment.
Contactless payment solutions have gained massive popularity in the past few years and this has majorly given impetus to the Wearable Payment Devices Market potential. The emergence of the COVID-19 pandemic led to a major increase in demand for contactless payments in order to maintain hygiene and reduce contact that could potentially risk cross-contamination and infection among the general population. Advancements in payment technologies also further bolstered the use of Wearable Payment Devices in multiple applications and boosted the demand for wearable payment devices.
Increasing Technological Proliferation in Payment Landscape
Payment technologies have evolved exponentially in recent years and technological proliferation in payments has increased at a notable pace. The rising digitization of multiple industry verticals will also boost demand for Wearable Payment Devices as payment infrastructure is revolutionized on a global scale. Rapid advancements in technology are also expected to further boost the demand for Wearable Payment Devices in the new digital age.
Over the projection period, Asia Pacific will hold a dominant stance and is projected to rise at the fastest Compound Annual Growth Rate (CAGR) as well. The Wearable Payment Devices Market in the Asia Pacific accounted for a market share of 38.20% in 2021. The demand for Wearable Payment Devices is expected to be majorly driven by increasing disposable income in the general population of Asia Pacific. The economies of India and China are expected to be the most rewarding markets for Wearable Payment Devices in this region owing to rising smart device popularity and increasing disposable income. Japan, Taiwan, and Malaysia are also notable markets to watch out for in this region.