05-Aug-2021 | Facts and Factors
The latest report published by Facts and Factors states that the global in-vehicle payment services market was accounted to be at USD 3.09 Billion in 2020 and it is further projected to reach USD 7.66 Billion by the end of 2026, rising at a CAGR of about 16.3% between 2021 and 2026.
In-vehicle payment services refer to vehicle systems with payment technologies that enable drivers to observe and execute transactions with a range of companies, such as gas stations, smart parking, and toll gates. In-vehicle payment systems allow passengers to make purchases directly from their vehicle dashboards, saving time for drivers and allowing them to arrive at their destination in a safer, faster, and more efficient manner.
Top Market Players
Some of the major players functional in the in-vehicle payment services market are Daimler AG, BMW AG, General Motors Co., Ford Motor Co., Honda Motor Co. Ltd., Volkswagen AG, Gentex Corp., Jaguar Land Rover Automotive Plc, Hyundai Motor Co., and ZF Friedrichshafen AG among others.
Increasing Trend Of Autonomous Vehicles And Internet Services Is Driving The Growth Of In-Vehicle Payment Services Market
Over the projected period, the rising trend of autonomous vehicles will drive the growth of the in-vehicle payment services market. According to the rising desire for luxury, convenience, and comfort, autonomous cars are equipped with internet connectivity. For instance, by 2020, the number of connected cars was anticipated to have reached an approximate count of around 64 million units. Moreover, various payment solution providers such as MasterCard, Visa, and PayPal have collaborated with automakers around the world to create and integrate new payment processes and techniques in vehicles. For example, in May 2017, GM and MasterCard announced a collaboration to create and develop in-vehicle payment solutions. Visa partnered with SiriusXM to launch a vehicle-based payments platform in January 2019. Volkswagen AG, Honda Motor Co. Ltd., and Ford Motor have launched in-vehicle payment solutions and platforms. Additionally, the market for in-vehicle payment services is expected to expand in tandem with the rise of Internet Service Providers (ISPs). The concurrent expansion of ISP will have an impact on the connected vehicle industry, as well as enabling payment systems to be integrated into the automobile for a more convenient driving experience. The growing need for driver assistance systems is projected to boost the expansion of the in-vehicle payment services market, as it will allow fuel and hassle-free parking purchases from dashboards without the use of cards or smartphones.
North America is projected To Dominate the Global In-vehicle Payment Services Market
The in-vehicle payment services market is segmented into five major regions like North America, Europe, Latin America, Asia Pacific, and The Middle East, and Africa.
North America had accounted for the greatest revenue share in 2020, accounting for about 39% of total market sales. Furthermore, technology businesses based in North America, such as Apple Inc. and Google Inc., have entered the automotive industry as a result of their capacity to create and compete with automakers.
Similarly, the Asia Pacific regional market is anticipated to develop at the fastest rate between 2021 and 2026. The growing population and increased levels of disposable income are expected to help the regional market flourish. The adoption of contemporary technology and ongoing advances in the way payments are made and processed will also play a crucial role in driving the regional market's growth throughout the forecast period.
Browse the full report “In-vehicle Payment Services Market By Mode Of Payment (QR Code/ RFID, App-based/e-wallet, Credit/Debit Card-based, and NFC), By Vehicle Type (Passenger cars, Light Commercial Vehicles (LCVs), Heavy Commercial Vehicles (HCVs), and Automated Guided Vehicles), By Form Factor (Embedded System, Tethered System, and Integrated System), By Application (Shopping, Gas/Charging Stations, Food and Beverages, Toll Collection, Parking, and Others), and By Region: Global Industry Perspective, Comprehensive Analysis, and Forecast, 2021 – 2026” at https://www.fnfresearch.com/in-vehicle-payment-services-market
The global in-vehicle payment services market is segmented as follows:
By Mode of Payment:
- QR Code/ RFID
- Credit/Debit Card-based
By Vehicle Types:
- Passenger cars
- Light Commercial Vehicles (LCVs)
- Heavy Commercial Vehicles (HCVs)
- Automated Guided Vehicles
By Form Factor:
- Embedded System
- Tethered System
- Integrated System
- Gas/Charging Stations
- Food and Beverages
- Toll Collection
- North America
- The UK
- Rest of Europe
- Asia Pacific
- South Korea
- Southeast Asia
- Rest of Asia Pacific
- Latin America
- Rest of Latin America
- Middle East & Africa
- South Africa
- Rest of Middle East & Africa
Facts & Factors is a leading market research organization offering industry expertise and scrupulous consulting services to clients for their business development. The reports and services offered by Facts and Factors are used by prestigious academic institutions, start-ups, and companies globally to measure and understand the changing international and regional business backgrounds. Our client’s/customer’s conviction on our solutions and services has pushed us in delivering always the best. Our advanced research solutions have helped them in appropriate decision-making and guidance for strategies to expand their business.
Facts & Factors
A 2108, Sargam,
Pune 411041, India