Mobile PoS (point of sale) Market Size, Share & Trends Analysis Report, By Component (Hardware, Software, Services), Deployment (Cloud, On-premises), Organization Size (Small, Medium, and Large Enterprises), Connectivity (3G/4G, Wi-Fi, Bluetooth, and Others), By Application (Retail, Restaurants, Healthcare, Entertainment, Hospitality, and Others), Region, and Forecasts, 2023–2032

Industry Analysis

The global mobile PoS (point of sale) market size is estimated at USD 25,877.1 million in 2023 and is expected to reach at USD 101,426.9 million 2032 at a compound annual growth rate (CAGR) of 16.39% from 2023 to 2032. The mobile PoS industry is expanding rapidly due to the widespread adoption of mobile technology, improvements in wireless network infrastructure, and government support and legislation promoting the use of digital technologies. The market is expected to further expand during the projection period with the increasing acceptance of contactless payment solutions. The mobile PoS market involves using mobile devices like smartphones or tablets to process transactions for goods or services. The flexibility and convenience of technologies have made it increasingly popular, enabling businesses of all sizes to accept payments anytime and anywhere. A mobile PoS is a portable electronic terminal, such as a smartphone or tablet, which allows wireless payment processing using advanced features like Wi-Fi, VoIP, RFID, and smart cards. These terminals not only facilitate remote payments but also assist in asset and inventory management, sending digital notes and invoices, and obtaining signatures at the counters.

The increasing emphasis of businesses on improving the customer experience is a major factor driving the mobile PoS market. Check-out lines at markets and large stores frequently waste customers' time, prompting the adoption of mobile PoS solutions. Customers can, however, make the purchase directly from the main product area in a store, paying for the items digitally and avoiding long queues. Businesses are rapidly shifting away from traditional PoS systems toward smartphone and tablet PoS as these solutions increase customer satisfaction and thereby increase brand loyalty and trust. One of the major factors driving the overall market is the increasing demand for mPoS terminals across industries. Small and mid-size businesses (SMBs) have been encouraged to adopt the solution for their stores due to the low cost of installing mPoS in the store, as well as the security and user-friendly interface.

Although SMBs are grappling with the effects of business disruptions and lost traffic caused by the COVID-19 outbreak, the demand for mPoS is expected to rise as more people use the digital payment to shop from the comfort of their own homes. Furthermore, the lower total cost of ownership (TCO) and higher return on investment offered by mPoS terminals have significantly increased their demand in SMBs. However, there are some factors that are impeding the market growth. The prevalent cash payment system in many countries, combined with stringent government regulations for payment processing, is expected to limit the growth of the mPoS market. Cash payments at small vendors, fairs, and countries with poor economic conditions are expected to witness slow growth during the forecast period. While PCI and other payment and data collection compliance ensure secure payment, the complexity of adhering to them hinders the adoption of mPoS terminals. Furthermore, new emerging market players are launching new strategic initiatives and partnerships, among other things, to capitalize on the market's growth. Among these strategies are mobile discounts, loyalty programs, gift cards, vouchers, and cash-back offers. Key trends such as increasing technological advancements such as cloud-based mPoS fuel the market growth. As a result, emerging market players and technological trends offer lucrative opportunities for the market growth. In the UK, many small businesses are adopting mPoS technology to provide more flexible payment options to customers and enhance their operations. The government has also launched several programs to support the adoption of digital technologies, including mPoS, among small businesses.

The COVID-19 had a positive impact on the market for mobile PoS market. Digitization accelerated in the hospitality and retail sectors because of the increased emphasis on social distancing and the mandatory use of masks to avoid COVID-19 contraction. Many financial institutions increased contactless payment limits, allowing for simpler and more streamlined cashless transactions. As a result, mPoS became popular as they provided a more convenient and seamless payment option.

Market Dynamics

This section deals covers the market drivers, opportunities, restraints, and challenges. All of this is discussed in detail below:    

 Drivers

  • Increasing demand for cashless payment

Cashless payments offer increased security, convenience, and faster processing times compared to traditional cash-based transactions. The shift in consumer behavior toward cashless payments has led to the growing demand for mobile PoS solutions, which enable businesses to accept payments through various digital channels and streamline transaction processing. With mobile PoS technology, businesses can expand their reach, manage inventory, track sales, and customer data, and make data-driven decisions to improve efficiency and profitability.

  • Faster and more secure payment processing

Mobile PoS solutions offer faster payment processing times than traditional payment methods, and their enhanced security features, including encryption and tokenization, help to protect sensitive payment information and prevent fraud. The demand for faster and more secure payment processing is expected to increase as transaction volume continues to grow globally, particularly for businesses operating in high-volume environments. The adoption of 5G networks can significantly improve the speed and efficiency of mobile PoS transactions, reducing wait times, improving customer satisfaction, and increasing transaction volumes and revenue for businesses.

Opportunity

  • Growing demand for digital payments

The market for mobile PoS is presented with a huge opportunity as a result of the rising popularity of digital payments like mobile payments, digital wallets, and cryptocurrencies. Digital payments are rapidly becoming the preferred payment method for consumers and businesses alike, with the convenience, security, and speed of transactions driving their adoption. Mobile PoS solutions are well-suited to meet this demand for digital payments, offering a range of features and functionalities that enable businesses to accept payments through various digital channels. For example, mPoS can accept payments through contactless payments, mobile payments, and online payments, allowing businesses to offer a range of payment options to their customers. In Kenya, the government has partnered with various mobile network operators and financial institutions to launch mobile money services, including mPoS. These services have helped increase financial inclusion and provide access to financial services to underserved populations, including small businesses.

Restraint/Challenge

  • Lack of data security and standardization

Mobile PoS solutions face data security concerns due to sensitive information like credit card numbers and personal information being transmitted during transactions, making them vulnerable to cyber-attacks. The lack of standardization in the industry can create confusion and interoperability issues for businesses and customers, reducing adoption rates and increasing complexity, especially for businesses operating in multiple countries.

As per an article published by Forbes in August 2021, there are currently no universal standards or regulations governing mPoS systems, which can lead to fragmentation and inconsistency in terms of security and functionality. Additionally, there have been several high-profile data breaches involving mPoS systems in recent years. For example, in 2019, a cybercriminal group called Magecart reportedly hacked into the mPoS systems of several major retailers and stole credit card information from thousands of customers.

  • Expenses of implementation

The expenses of implementation can be a significant hindrance to the growth of the mobile PoS market. The cost of implementing a mobile PoS system includes the cost of hardware, software, installation, and training. Some small businesses may not have the budget to invest in a mobile PoS system, while others may not see the need for it. Additionally, some businesses may be hesitant to switch to mobile PoS systems because of the potential disruption to their existing processes, leading to additional training and relearning costs for employees. However, as technology continues to advance and compete in the market increases, the cost of implementing mobile PoS systems is gradually decreasing. As a result, businesses are becoming more open to adopting these systems, and the market is expected to continue to grow in the future.

Mobile PoS System Insights

The global mobile PoS market can be segmented based on component, deployment mode, end-user, and region.

Based on component, the market can be further segmented into hardware, software, and services. The hardware segment includes devices such as smartphones, tablets, and card readers, while the software segment includes mPoS applications and payment gateways. The services segment includes maintenance and support, consulting, and integration services.

Based on deployment mode, the market can be segmented into on-premises and cloud-based. The on-premises deployment involves the installation of mPoS hardware and software on-site, while the cloud-based deployment involves accessing mPoS solutions over the internet.

Based on end-user, the market can be segmented into retail, hospitality, healthcare, entertainment, transportation, and others. The retail segment includes supermarkets, convenience stores, and specialty stores, while the hospitality segment includes hotels, restaurants, and cafes. The healthcare segment includes hospitals and clinics, while the entertainment segment includes movie theaters and sports arenas. The transportation segment includes airlines, railways, and buses.

Based on region, the market can be segmented into North America, Europe, Asia Pacific, South America, and the Middle East & Africa.

Component Insights

Based on component, The software mobile PoS segment accounted for the largest market share in 2022 and is expected to continue to dominate the market during the forecast period. Software is a critical component of mPoS systems, as it provides the functionality necessary to process transactions and manage business operations. In addition, many mPoS providers offer software solutions that are customizable and scalable, allowing businesses to tailor the system to their specific needs. This can include features such as inventory management, sales reporting, and customer relationship management. Legacy countertop PoS systems have been combined with sleek, user-friendly consumer gadgets to create mobile PoS software systems. mPoS software differs from legacy systems in that it is designed to work on tablets, smartphones, and other mobile devices.

Based on organization size, the large enterprises held the largest share in 2022 and is expected to dominate the market throughout the forecast period. With early adopters launching tablet-based mPoS solutions as a supplement to traditional PoS or, in some cases, as a replacement for cash registers, more medium-sized and even some large merchants are taking notice. Large enterprises often have long-established relationships with merchants, which can make it easier for them to introduce mobile PoS systems to their existing customer base. These relationships can also help to build trust and familiarity with the brand, which can lead to increased adoption of their mobile PoS solutions.

Based on connectivity, the Wi-Fi segment accounted for the largest share of the global mobile PoS market due to the rising consumer preferences for Wi-Fi in various end-use industries. The increasing use of smartphones and smart devices that rely on Wi-Fi networks for greater connectivity reflects the expanding market opportunity for Wi-Fi solutions in mobile PoS. The massive increase in the production and distribution of wireless and smart devices is expected to fuel the growth of mobile PoS Wi-Fi. The number of internet users worldwide is steadily increasing as a result of increased adoption of smartphones and improved connectivity. According to the International Telecommunication Union (ITU), the number of internet users worldwide has increased from 3.2 billion in 2015 to 4.9 billion in 2021, representing a growth rate of 53%. This trend is expected to continue in the coming years, with projections suggesting that the number of internet users could reach 5.8 billion by 2025.

Based on application, the retail segment accounted for the largest share of the global mobile PoS market due to the rising demand for mobile PoS in the retail sector. Although mPoS can be used by a wide range of merchants and organizations, the retail industry has been its primary focus. Essentially, mPoS is an option for any business or organization that would benefit from allowing its employees to accept card payments while on the go. This could also apply to large businesses and government agencies that are no longer considered mPoS possibilities, such as police departments that issue on-the-spot fines or stem cell banking companies that sign up clients at their homes or local clinics. The COVID-19 pandemic has accelerated the shift toward contactless payments, with many consumers preferring to pay using their mobile devices instead of cash or cards. This has further boosted the demand for mobile PoS systems, as retailers focus to offer a safe and convenient payment experience for their customers.

Regional Insights

Based on region, the global mobile PoS market is segmented into North America, Europe, Asia Pacific, South America, and the Middle East & Africa.

North America

North America is expected to hold the largest share of the mobile PoS market due to the early adoption of mobile payment technology and the presence of major market players in the region. The demand for mPOS is high in this region due to widespread awareness of mPoS solutions among small merchants and rapid adoption in the retail, hospitality, and restaurant sectors. North America has a well-established network infrastructure that encourages IoT among various businesses. IoT is expected to benefit mPoS significantly because it creates a strong network for an organization to monitor and manage its activities.

Europe

Europe is also a significant market for mobile PoS, with countries such as the UK, Germany, and France contributing to its growth. The growth in the region is mainly driven by the increase in the number of small and medium-sized businesses adopting mobile PoS systems. The increasing adoption of cashless payment methods by consumers and businesses alike is driving the demand for mobile PoS solutions. Additionally, the growth of e-commerce and online shopping has created a need for flexible and secure payment options, which mobile PoS solutions can provide. Furthermore, the rising popularity of contactless payments, driven in part by the COVID-19 pandemic, has further boosted demand for mobile PoS solutions in Europe.

APAC

The mobile PoS market in the Asia Pacific region is expected to witness significant growth due to the rising adoption of smartphones and mobile payment solutions. Countries such as China, Japan, and India are expected to lead the market in the region. The Chinese government is launching initiatives to establish mobile micro-ATMs in rural and low-income areas, using mobile point-of-sale devices. India also has enormous potential for mPoS because of its large population and growing technological awareness. Furthermore, banks in India are increasingly issuing NFC-enabled debit and credit cards. In India, the government has launched the "Digital India" campaign to promote the adoption of digital technologies, including mPoS. As part of this initiative, the government has launched several programs to provide mPoS devices to small businesses and merchants, with the goal of promoting financial inclusion and boosting the digital economy.


South America and the Middle East & Africa

South America and the Middle East & Africa are also expected to witness growth in the mobile PoS market due to the increasing adoption of digital payment solutions and the growing trend of cashless transactions. However, the growth in these regions may be slower than in other regions due to the lower penetration of smartphones and mobile payment solutions.

Leading Companies:

The global mobile PoS market is highly competitive owing to a large number of industry players. These companies offer a range of mobile PoS solutions, including software and hardware options, to meet the diverse needs of businesses of all sizes and industries. They also have a strong global presence and are continuously innovating their products to stay ahead in this rapidly evolving market.

Square Inc. launched a new PoS system, Square Register, in 2022. This system offers features such as contactless payments, improved hardware, and more customization options for businesses.
iZettle AB, acquired by PayPal in 2018, launched a new POS system for restaurants in 2020. This system includes features such as table management and order tracking. Some other prominent players in the global mobile PoS market include:

  • Hewlett-Packard Company (US)
  • Cisco Systems Inc (US)
  • MICROS Systems (US)
  • Panasonic Corporation (Japan)
  • Toshiba Corporation (Japan)
  • VeriFone Systems Inc (US)
  • PAX Technology Limited (China)
  • Samsung Electronics Co (South Korea)
  • First Data Corporation (US)
  • Ingenico S.A (France)
  • Posiflex Technology (Taiwan)
  • NEC Corporation (Japan)
  • Square, Inc. (US)
  • Epicor Software Corporation (US)
  • Squirrel Systems (Canada)

Recent Developments

  • In September 2022, Square launched a new version of its PoS system, called Square Register. This system offers a range of new features, including a larger and more responsive display, contactless payments, and improved customization options for businesses.
  • In June 2022, Lightspeed announced the launch of the new Lightspeed B2B platform to North American fashion, outdoor, and sports retailers, with broader vertical and feature availability in the coming months. The launch of this transformative new solution will bring together thousands of the world’s best brands and retailers with a cutting-edge supplier network tool that integrates B2B orders directly into the PoS.
  • In June 2022, HP offers the Engage Go mobile POS system, which is designed to be a portable and customizable solution for businesses. It features a 7-inch touchscreen, barcode scanner, and payment capabilities for a range of payment options. HP also offers the ElitePOS, a sleek and modern POS system that features a 14-inch diagonal touchscreen display, integrated security features, and easy serviceability.

Market Segmentation

  • Component Outlook (Revenue, USD Million, 2019 - 2032)
    • Hardware
    • Software
    • Services
  • Deployment Outlook (Revenue, USD Million, 2019 - 2032)
    • Cloud
    • On-premises
  • Organization Size Outlook (Revenue, USD Million, 2019 - 2032)
    • Small Enterprises
    • Medium Enterprises
    • Large Enterprises
  • Connectivity Outlook (Revenue, USD Million, 2019 - 2032)
    • 3G/4G/5G
    • Wi-Fi
    • Bluetooth
    • Others
  • Application Outlook (Revenue, USD Million, 2019 - 2032)
    • Retail
    • Restaurants
    • Healthcare
    • Entertainment
    • Hospitality
    • Others

Regional Outlook (Revenue, USD Million, 2019 - 2032)

    • North America
      • US
      • Canada
      • Mexico
    • Europe
      • Germany
      • UK
      • France
      • Italy
      • Spain
      • Rest of Europe
    • Asia Pacific
      • China
      • India
      • Japan
      • Australia & New Zealand
      • South Korea
      • Rest of Asia Pacific
    • South America
      • Brazil
      • Argentina
      • Rest of South America
    • Middle East & Africa
      • UAE
      • South Africa
      • Rest of Middle East & Africa

What Does This Report Provide?

This report provides a detailed understanding of the global mobile PoS from qualitative and quantitative perspectives during the forecast period. The report also provides dynamic indicators with potential impact on the market during the forecast period and an in-depth analysis of the leading companies operating in the market. The major market drivers, challenges, and opportunities for the global mobile PoS market have been covered in the report. This report further includes the market shares of the leading companies operating in the global market, along with their production capacities and the growth strategies adopted by them.

Objectives of this Report:

  • To estimate the market size for the mobile POS market on a regional and global basis.
  • To identify major segments in the mobile POS market and evaluate their market shares and demand.
  • To provide a competitive scenario for the mobile POS market with major developments observed by key companies in the historic years.
  • To evaluate key factors governing the dynamics of the mobile POS market with their potential gravity during the forecast period.
  • To evaluate the leading company-wise pricing analysis for the mentioned applications

Customization:

This study is customized to meet your specific requirements:

  • By sub-segment
  • By client-specific country, type, and application market analysis
  • Pricing analysis along with the potential list of customers
  • Product-specific competitive analysis

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