Over 6 billion digital wallet users projected in 2030.
A new study by global tech strategists Juniper Research has revealed that the number of digital wallet users worldwide will increase by 35% over the next five years; rising from 4.4 billion in 2025. The research found that in this increasingly saturated market, offering value-added features, including Buy Now, Pay Later (BNPL), virtual cards, and digital identity, is vital to creating differentiation.
The report also advised that digital wallet platforms must offer integrated flexibility of wallet types (stored value, staged, cryptocurrency, etc) and payment types (cards, Account-to-Account (A2A) payments, etc) to best appeal to wallet providers, which are providing increasingly diverse offerings to users.
Reward Schemes Vital for Vendors to Differentiate
One key factor influencing wider digital wallet adoption is the implementation of loyalty and reward schemes. In established markets, especially, benefits such as cashback, reward points, and exclusive offers encourage adoption of a specific wallet, whilst also benefitting the merchant through increased spending and lower transaction fees.
According to Thomas Wilson, Analyst at Juniper Research, “Changing user behaviour such as card usage, particularly when it is long-established, means providing incentives. As the digital wallets space becomes increasingly saturated, differentiation using rewards and other capabilities, such as gamification or superapp features, will be vital to success.”
Whilst rewards will help wallets in established markets compete, digital wallet platforms should also prioritise deploying solutions which target the underbanked in emerging markets. As mobile money services aim to offer banking-like services, digital wallet platforms must evolve to provide more advanced capabilities, or they will lose market share to more mainstream banking platforms.
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An extract from the report, Digital Wallets Market 2025-2030, is available as a free download.
Banking 4.0 – „how was the experience for you”
„To be honest I think that Sinaia, your conference, is much better then Davos.”
Many more interesting quotes in the video below:
