Mobile Proximity Payments Market Report 2026

The mobile proximity payments market size has grown rapidly in recent years. It will grow from $17.27 billion in 2025 to $20.47 billion in 2026 at a compound annual growth rate (CAGR) of 18.5%. The growth in the historic period can be attributed to expansion of contactless payment terminals, growth of mobile wallet ecosystems, increased smartphone penetration, rising urban retail digitization, adoption of cashless payment initiatives.

The mobile proximity payments market size is expected to see rapid growth in the next few years. It will grow to $39.99 billion in 2030 at a compound annual growth rate (CAGR) of 18.2%. The growth in the forecast period can be attributed to increasing demand for seamless omnichannel payments, rising integration of payments with iot devices, expansion of smart retail environments, growing focus on secure real-time authentication, increasing adoption of digital identity solutions. Major trends in the forecast period include increasing adoption of contactless point-of-sale payments, rising use of smartphone-based proximity transactions, growing integration of nfc and qr technologies, expansion of wearable payment devices, enhanced focus on transaction speed and convenience.

The increasing adoption of smartphones is anticipated to drive the growth of the mobile proximity payments market in the coming years. Smartphones are portable electronic devices that combine mobile telephone functions with computing capabilities, enabling users to carry out a variety of digital activities, including payments. The rise in smartphone usage is largely supported by the expansion of digital infrastructure in developing and semi-urban areas, where affordable internet services and budget-friendly devices are making smartphones accessible to previously underserved populations. Smartphones incorporate proximity sensors to detect nearby objects and switch off the screen during calls, conserving power and preventing accidental touches. For example, in February 2023, according to the GSM Association (GSMA), a UK-based industry organization representing mobile network operators and related companies, smartphone penetration in sub-Saharan Africa is expected to increase significantly, reaching 87% by 2030, up from 51% in 2022, highlighting rapid digital adoption in the region. As a result, the growing adoption of smartphones is fueling the expansion of the mobile proximity payments market.

Major companies in the mobile proximity payment market are focusing on launching innovative solutions, such as contactless payment technologies, to enhance early fraud detection, improve operational efficiency, and optimize resource allocation within payment systems. Contactless payment solutions involve advanced, data-driven tools and strategies aimed at prioritizing fraud detection and operational oversight based on the risk levels of specific transaction types, user behaviors, or merchant categories. For instance, in June 2024, Much Better, a UK-based wearable pay tech provider, introduced a new contactless payment ring as part of its Much Better ADD suite, designed to make everyday payments more convenient, secure, and accessible for users. The ceramic ring utilizes a proprietary IoT platform to transform standard wearables into secure, tokenized payment and identification devices. Customers can obtain the ring for free by loading it through the Much Better digital wallet app, directly competing with traditional retail pricing for similar wearable payment products.

In May 2023, Polski Standard Płatności (PSP), a Poland-based mobile payment services provider and operator of the BLIK payment system, acquired a 100% stake in mTrust s.r.o. for an undisclosed amount. Through this acquisition, PSP seeks to broaden its mobile and proximity payment offerings beyond Poland by incorporating VIAMO’s established peer-to-peer and e-commerce payment solutions and rolling out BLIK’s contactless and real-time mobile payment services in the Slovak market. mTrust s.r.o. is a Slovakia-based technology company that specializes in digital trust services.

Major companies operating in the mobile proximity payments market are Apple Inc., Samsung Electronics Co. Ltd., Tencent Holdings Limited, American Express Company, Vodafone Group Plc, Orange S.A., Barclays PLC, Visa Inc., PayPal Holdings Inc., Mastercard Incorporated, NXP Semiconductors N.V., Fidelity National Information Services Inc., Block Inc., IDEMIA France SAS, Ant Group Co. Ltd. (Alipay), ACI Worldwide Inc., Ingenico Group S.A., China UnionPay Co. Ltd., Discover Financial Services, Wise plc, Kakapo Pay.

North America was the largest region in the mobile proximity payments market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the mobile proximity payments market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the mobile proximity payments market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The mobile proximity payments market consists of revenues earned by entities by providing services such as transaction authentication services, biometric verification for payments, real-time payment notifications, and alerts. The market value includes the value of related goods sold by the service provider or included within the service offering. The mobile proximity payments market also includes sales of contactless payment terminals, payment gateway software, digital transaction management tools, quick response code scanners and generators. Values in this market are ‘factory gate’ values; that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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