In-vehicle Payment Services Market is driven by Growing Customer Base to Achieve Convenience in Vehicles

In-vehicle Payment Services Industry Overview

The global in-vehicle payment services market size was valued at USD 4.23 billion in 2021 and is expected to expand at a compound annual growth rate (CAGR) of 13.2% from 2022 to 2030. In-vehicle payment services allow drivers to order and pay for food, coffee, gasoline, groceries, parking slots, and tolls without having to step out of the vehicle. Advances in the Internet of Things (IoT) technology and the efforts being pursued aggressively by various automakers to integrate new, advanced infotainment solutions in their vehicle models are expected to drive the growth of the market over the forecast period. The growing preference for contactless payment methods in the wake of the outbreak of the COVID-19 pandemic and continued innovations in smart vehicles also bode well for the growth of the market.

North America in-vehicle payment services market size, by mode of payment, 2020 - 2030 (USD Billion)

Various payment solution providers, including MasterCard, Visa, and PayPal, are partnering with automakers around the world to develop and integrate new payment processes and methods in vehicles. For instance, in May 2017, General Motors Co. announced a partnership with MasterCard to design and develop in-vehicle payment solutions. Similarly, in January 2019, Visa announced a collaboration with SiriusXM, to introduce a vehicle-based payments platform. Several other manufacturers such as Volkswagen AG, Honda Motor Co. Ltd., and Ford Motor Co. have also developed in-vehicle payment solutions and platforms. The outbreak of the COVID-19 pandemic has taken a severe toll on the global economy. Supply chains have got disrupted and manufacturing activity at several production facilities has been suspended temporarily owing to the lockdowns and other restrictions imposed by various governments in different parts of the world as part of the efforts to contain the spread of coronavirus. Nevertheless, the social distancing norms being advocated by various governments and the growing preference among individuals for contactless payments to avoid any potential coronavirus exposure are expected to contribute to the growth of the market over the forecast period.

Gather more insights about the market drivers, restraints, and growth of the Global In-vehicle Payment Services Market

Automobile manufacturers are focusing on developing built-in systems, including voice-based controls, which can potentially allow drivers to shop while driving without compromising with road safety norms. Given that a voice-activated dashboard can divert the driver’s attention, drivers have to always prioritize road safety if they are catering to their shopping needs while driving. A study conducted at the University of Utah has already revealed that speech-to-text technology can cause a high level of cognitive disruption since extra effort is required to chat with a dashboard than speaking to an individual. At this juncture, advances in self-driven and connected car technologies would play a vital role in driving the growth of the market over the forecast period.

The growing adoption of driver support systems is also projected to drive the growth of the in-vehicle payment services market over the forecast period. Driver support systems help drivers in various ways, including hassle-free parking and making purchases from the control panel without having to use any other devices or cards to complete the purchase.

Browse through Grand View Research's Next Generation Technologies Industry Related Reports

Contactless Payment Market - The global contactless payment market size was valued at USD 34.55 billion in 2021 and is expected to expand at a compound annual growth rate (CAGR) of 19.1% from 2022 to 2030.

Digital Payment Market - The global digital payment market size was valued at USD 81.03 billion in 2022 and is expected to expand at a compound annual growth rate (CAGR) of 20.8% from 2023 to 2030.

In-vehicle Payment Services Market Segmentation

Grand View Research has segmented the global in-vehicle payment services market based on mode of payment, application, and region:

In-vehicle Payment Services Mode of Payment Outlook (Revenue, USD Million, 2018 - 2030)

  • NFC
  • QR Code/RFID
  • App/e-wallet
  • Credit/Debit Card

In-vehicle Payment Services Application Outlook (Revenue, USD Million, 2018 - 2030)

  • Parking
  • Gas/Charging Stations
  • Shopping
  • Food/Coffee
  • Toll Collection
  • Others

In-vehicle Payment Services Regional Outlook (Revenue, USD Million, 2018 - 2030)

  • North America
  • Europe
  • Asia Pacific
  • Latin America
  • MEA

Key Companies profiled:

Some prominent players in the global In-vehicle Payment Services market include

  • BMW AG
  • Daimler AG
  • Ford Motor Co.
  • General Motors Co.
  • Honda Motor Co. Ltd.
  • Hyundai Motor Co.
  • Jaguar Land Rover Automotive PLC
  • Volkswagen AG
  • ZF Friedrichshafen AG
  • Google
  • Amazon
  • Visa
  • MasterCard
  • PayPal

Order a free sample PDF of the In-vehicle Payment Services Market Intelligence Study, published by Grand View Research.

No comments:

Post a Comment

Analyzing the Impact of Corn Procurement on Revenue: A Forecasting Perspective

The Corn Category is expected to grow at a 3.1% CAGR from 2023 to 2030. The key factors driving corn demand are the rising demand for proce...