A new study from Juniper Research has found that the value of contactless payment transactions will reach $10 trillion globally by 2027; from $4.6 trillion in 2022. It anticipates that investment in the underlying contactless payments ecosystem, such as contactless enabled POS (Point-of-Sale) terminals and device-level support, will be the key driver of contactless transactions value growth over the next five years, according to Juniper Research.

The research predicts that the push towards cashless societies will drive growth, as countries look to decrease their reliance upon cash. Mobile and wearable contactless payments are anticipated to grow by 221 percent between 2022 and 2027. This growth owes to the convenience that mobile and wearable payments offer consumers, eliminating the need to carry and produce a contactless card; easing the burden of transitioning away from cash. In comparison, contactless card payments are anticipated to grow by only 119 percent during the same period.

Furthermore, the report identified that the high growth of POS terminals capable of accepting contactless payments is also fueling this growth. Accordingly, the research urges POS vendors to prioritize convenience when designing NFC solutions for the market, which can cater to the growing number of devices that offer NFC payment capabilities.

The research anticipates that contactless ticketing spend is set to grow by over 440 percent between 2022 and 2027. NFC ticketing has recovered strongly following the easing of pandemic-related restrictions, and is forecast to continue rising rapidly over the next five years.

Juniper Research predicts that this growth will be further accelerated by the rapid deployment of NFC ticketing solutions across public transport networks, with the aim of reducing payment friction for customers. In turn, the report urges vendors to foster adoption of their NFC ticketing solutions; targeting the public transport sector in developed regions that are increasingly seeking out ways to improve ticketing efficiencies.

To learn more, see Juniper Research’s new report: Contactless Payments: Key Opportunities, Emerging Trends & Market Forecasts 2022-2027.

Download the free whitepaper: Contactless Payments – Card vs Mobile.

Juniper Research provides research and analytical services to the global hi-tech communications sector; providing consultancy, analyst reports, and industry commentary.