Wearable Payment Device Market Forecasts to 2030 – Global Analysis By Device Type (Smart Watches, Fitness Trackers and Other Device Types), Technology (Near Field Communication Technology (NFC), Radio Frequency Identification (RFID), Contactless Point of

Wearable Payment Device Market Forecasts to 2030 – Global Analysis By Device Type (Smart Watches, Fitness Trackers and Other Device Types), Technology (Near Field Communication Technology (NFC), Radio Frequency Identification (RFID), Contactless Point of Sale (POS) Terminals and Other Technologies), Sales Channel, Application and By GeographyAccording to Stratistics MRC, the Global Wearable Payment Device Market is accounted for $62.61 billion in 2023 and is expected to reach $169.62 billion by 2030 growing at a CAGR of 15.3% during the forecast period. Technologically advanced wearable accessories that enable contactless payments, such as smart watches, fitness bands, and other wearable accessories, is known as the wearable payment device. These wearable’s enable convenient and secure transactions without the need for actual cards or currency by utilizing near-field communication (NFC) or other secure payment technologies.

According to a survey by Vista Retail Support, 72% of the customers believe that wearable payment devices are the future of in-store shopping.

Market Dynamics:

Driver:

An increase in the use of contactless payment methods due to covid-19

Payments made with wearable devices equipped with wireless technologies like NFC and RFID are referred to as wearable payments. In addition to providing clients with a simple and contactless method of payment, wearable payment gadgets also guarantee security and cleanliness, which is particularly important in light of the COVID-19 outbreak. Customers prefer to conduct cashless transactions due to COVID-19's spread for hygienic reasons. In the first quarter of 2020, contactless payments increased by 40%, according to MasterCard. For contactless payments, 60% of VISA users who reside outside of the US have also used tap-to-pay technology.

Restraint:

Wearable payment device battery discharge problems

The device must be periodically recharged to ensure proper performance if it runs out of power, the user is immediately cut off. This could result in incomplete or missing data clusters, which would have an impact on the payment process. Small batteries are required to power the payment functionality of wearable payment devices since they are becoming smaller than ever to improved technologies and form factors. A wearable gadget also needs a large battery backup to provide uninterrupted performance when running cutting-edge operating systems.

Opportunity:

Convenience and user experience

In the market for wearable payment devices, convenience and user experience offer a substantial opportunity. Wearable technology facilitates easy and smooth payment experiences, which encourages more people to use it. Transactions are streamlined when physical cards or cash are not required, which makes payments simple and quick. User-friendly wearables are appealing because they promote higher adoption rates and customer satisfaction, which boosts engagement and sales. Wearable payment systems could revolutionize how individuals interact with their finances as technology advances, changing how people conduct cashless transactions and further speeding industry growth.

Threat:

Security concerns related to wearable payment devices

On a larger scale, wearable technology interacts with a variety of ecosystem components, including internet services, numerous devices such embedded chips, mobile apps, computing apps, and many others. Because of their simplicity, quick transaction times, and capacity to gather and analyze complicated data in real time, wearable payment devices have become commonplace in grocery stores, restaurants, hospitals, pharmacies, and entertainment venues. Companies adopting wearable payment devices, however, run the danger of experiencing a data breach. Devices are susceptible to assaults because of their connectivity and cellular network use. Companies that make wearable payment devices can, however, quickly address these security-related issues by updating their devices and software.

Covid-19 Impact:

The COVID-19 epidemic had a big influence on the growth of the manufacturing and industrial sectors, but a surge in the adoption of sophisticated payment technologies saw reasonably high growth in 2021. The COVID-19 pandemic, however, also brought about a number of challenges, including a shortage of skilled workers and project delays or cancellations as a result of partial or total government shutdowns around the world. The market for wearable payment devices, is anticipated to expand, due to an increase in the adoption of internet of things hardware across industrial, manufacturing, and commercial sectors.

The barcodes segment is expected to be the largest during the forecast period

The barcodes segment is expected to have a lucrative growth. Barcodes serve as an alternative and cost-effective payment solution. Some wearable devices utilize barcode technology, displaying a scannable code on the device's screen that merchants can scan using their point-of-sale (POS) systems to process payments. This method allows for contactless transactions without the need for NFC or other specialized hardware. Barcodes offer convenience and can be integrated into a wide range of wearable devices, making them accessible to a broader market.

The smart watches segment is expected to have the highest CAGR during the forecast period

The smart watches segment is anticipated to witness the fastest CAGR growth during the forecast period. Integrated with secure payment technologies like NFC, they allow users to make contactless transactions on the go. Smart watches offer convenience by eliminating the need for physical wallets and enabling quick and easy payments with a simple tap on the wrist. Their popularity stems from their versatile nature, combining fitness tracking, notifications, and payment capabilities in one device. As consumers increasingly embrace wearable technology and cashless payments, smart watches have become a preferred choice, contributing significantly to the growth and expansion of the market.

Region with largest share:

Due to its sophisticated technological infrastructure and high consumer acceptance of wearable technology and cashless transactions. Major players in the financial and wearable device industries are based in the region, which promotes innovation and joint ventures to expand the industry. Consumers in North America are embracing wearable payment technologies, such as smart watches and fitness bands, for simple transactions with a heavy emphasis on user experience and convenience. The region's thriving financial services sector and widespread acceptance of contactless payments also support the market for wearable payment devices' ongoing growth and significance in North America.

Region with highest CAGR:

Asia Pacific is projected to have the highest CAGR over the forecast period, driven by its large population, rapid technological advancements, and growing digital payment ecosystem. With a thriving consumer electronics market and a strong preference for mobile and cashless transactions, wearable payment devices like smart watches and fitness bands gain popularity. Moreover, collaborations between technology companies, financial institutions, and local manufacturers contribute to innovative payment solutions tailored to the region's unique needs. As Asia Pacific continues to embrace digitalization and contactless payments, the Wearable Payment Device market is poised for substantial growth and influence.

Key players in the market

Some of the key players in Wearable Payment Device market include Apple, Inc., Barclays PLC, Fitbit Inc., Garmin AB, Gemalto NV, Google LLC, Mastercard, Inc., PayPal Holdings Inc., Samsung Electronics Co., Ltd., Tappy Technologies Ltd., Visa Inc., Wirecard and Xiaomi Corporation.

Key Developments:

In August 2022, Samsung Electronics Co. Ltd., announced the Galaxy Watch4 and Galaxy Watch4 Classic. They are the first smart watches to feature the new Wear OS Powered by Samsung, built jointly with Google, and are equipped with One UI Watch, Samsung's most intuitive user interface yet.

Device Types Covered:
• Smart Watches
• Fitness Trackers
• Payment Wristbands
• Smart Rings
• Other Device Types

Technologies Covered:
• Near Field Communication Technology (NFC)
• Radio Frequency Identification (RFID)
• Contactless Point of Sale (POS) Terminals
• Quick Response (QR) Codes
• QR & Barcode
• Other Technologies

Sales Channels Covered:
• Direct Sales
• Indirect Sales

Applications Covered:
• Retail and Grocery Stores
• Festival and Life Events
• Restaurants and Bars
• Hospitals and Pharmacies
• Entertainment Centers
• Other Applications

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

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2021, 2022, 2023, 2026, and 2030
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements