DIGITAL RECEIPTS MARKET SIZE (2024 - 2030)

The Digital Receipts Market witnessed a valuation of $111.38 Billion in 2023, and it is anticipated to expand substantially, reaching a market size of $306.15 Billion by 2030. Across the forecast period spanning from 2024 to 2030, the market is anticipated to demonstrate a robust Compound Annual Growth Rate (CAGR) of 15.54%.

Digital Receipts Market

Industry Overview:

Digital receipts, also known as e-receipts, represent an electronic form of transaction records provided by merchants, conveniently delivered to consumers via email or mobile devices. They serve as evidence of purchase, eliminating the necessity for physical paper receipts. Previously, businesses incurred expenses for paper and ink to print traditional receipts. To address this, the advent of digital receipts, accessible through free admin templates for web applications, emerged as a cost-effective solution.

Understanding the mechanics of digital receipts is pivotal before delving into their advantages and disadvantages. As the term suggests, digital receipts are receipts transmitted electronically by retailers. This process involves customers receiving their receipts via email post-purchase. Originating as an initiative spearheaded by the Apple Store and various startups, the concept aimed to tackle sustainability concerns.

The operational mechanism of digital receipts entails customers selecting their preferred receipt type post-purchase. Opting for a digital receipt prompts the submission of their email address. Subsequently, the retailer enters the email into the system, facilitating the electronic receipt's prompt delivery. Notably, the digital receipt system retains the email address, enabling retailers to leverage it for marketing endeavors. With this context established, a brief examination of the pros and cons of digital receipts follows.

MARKET DRIVERS:

Environmental sustainability and cost-efficiency propel market expansion.

The production and procurement of paper, alongside associated printing expenses, pose financial burdens on businesses. Digital receipts alleviate these costs by eliminating paper consumption entirely, thereby reallocating financial resources to other operational facets.

Streamlined storage of electronic receipts fosters market growth.

Traditional paper receipts occupy physical space within establishments, leading to clutter and often resulting in misplaced or faded receipts. Conversely, digital receipts offer enhanced storage solutions, requiring minimal physical space. Many digital receipt platforms facilitate cloud storage, ensuring accessibility for both consumers and retailers. Consequently, this improves record-keeping and accounting processes while mitigating fraudulent return incidents.

MARKET RESTRAINTS:

Requirement for basic technical proficiency impedes market growth.

Although digital receipts do not mandate advanced technical expertise, a fundamental understanding is essential for both retailers and consumers. Adequate comprehension of receipt software, management techniques, and utilization of analytics is imperative for retailers. Similarly, consumers must possess active email accounts and navigate email interfaces proficiently. Despite appearing straightforward, these tasks may pose challenges for certain individuals unfamiliar with such technological intricacies.

Market Segmentation Analysis

Digital Receipts Market - By Type of Payments:

• Remote
• Proximity

During the projected period, it is anticipated that the Proximity Payments sector will experience a growth rate of 35.7% CAGR. Proximity payments involve the utilization of mobile phones and POS devices for transactions. Various entities currently offer applications facilitating proximity payments, also known as in-store payments, typically occurring within a merchant's POS terminal at a retail establishment or on-site payments. Proximity payments are particularly conducive for short distances when both the payer and the payee are physically present. This payment method utilizes barcodes and contactless interfaces to initiate mobile transactions. Near-field communication (NFC) technology embedded in NFC-enabled smartphones facilitates this process, transmitting pertinent mobile wallet or debit/credit card details. The payee information stored on the POS terminal is scanned by the corresponding NFC reader. Unlike remote payments, proximity payments involve direct utilization of payment card details from one's own bank account and do not necessitate involvement with a payment processor to execute the transaction. The increasing adoption of mobile payment technologies by brick-and-mortar businesses significantly contributes to the demand for proximity payments.

Digital Receipts Market - By Industry: BFSI

• Telecom and IT
• Media and entertainment
• Healthcare, Retail
• Travel and hospitality
• Transportation and logistics,
• Energy and utilities
• Others

In terms of industry segmentation, banking and travel and hospitality emerge as the fastest-growing sectors in the mobile payments market, with projected CAGRs of 30.2% and 34.8%, respectively. Noteworthy companies such as MakeMyTrip, Yatra, Ibibo, Cleartrip (for airlines and hotels), and redBus (for bus services) in India exemplify online travel booking firms driving the mobile payments market by exclusively facilitating bookings through online platforms. According to a study by the India Brand Equity Foundation (IBEF), 81% of existing digital payment users in India prefer digital and mobile channels for banking transactions over conventional non-cash payment methods like demand drafts or checks.

Digital Receipts Market - By Region: North America

• Europe
• Asia-Pacific
• Latin America
• The Middle East
• Africa

Geographically, North America, renowned for its propensity to adopt innovative technologies, emerges as the most lucrative region for the mobile payments market, capturing a global demand share of 34.3% in 2021. With several key market players headquartered in North America, including PayPal Holdings, Inc. and Microsoft Corporation, this region spearheads innovation with the development of novel technologies such as contactless payments and NFC. Factors such as high internet penetration, e-commerce growth, and micro-payment options contribute to the popularity of the mobile payments market in North America.

European banks are actively pursuing a European payment initiative aimed at establishing a unified payment solution for merchants and consumers across the region. Such initiatives are expected to create new growth opportunities for the market throughout the forecast period. Additionally, the digital payment campaign initiated by the Italian government to promote digital payments in the country further propels regional market expansion.

Digital Receipts Market Share by Company: Square Inc

1. PayStand
2. Dashlane
3. Class Wallet
4. Finovera
5. Sensibill
6. Expensify
7. Flux
8. Gini
9. App Card
10. Green Till
11. Togo Digital
12. Ecrebo
13. Shoeboxed

Celerant Technology provides an omnichannel solution encompassing POS, e-commerce, CRM, inventory management, fulfillment processing, marketing automation, and analytics.

Star Micronics Cloud, a cloud-based Internet of Things company, offers a range of products and services to assist retailers in building customer relationships, including digitized receipts for retailers utilizing Star Micronics POS printers.

The market features the presence of both multinational and regional players engaged in the design, manufacturing, distribution, and implementation of various products. Major companies have made substantial investments in research and development initiatives, focusing on integrating advanced technologies to deliver superior and efficient solutions applicable to the market.

NOTABLE DEVELOPMENTS IN THE GLOBAL DIGITAL RECEIPT MARKET RECENTLY:

• Product Launch: Fiserv introduced EnteractSM, a new cloud-based customer relationship management (CRM) platform for financial institutions in November 2021.
• Agreement: In September 2021, Global Payments Inc and Virgin Money entered into an agreement to leverage Global Payments' unique two-sided network to empower Virgin Money customers with leading digital payment experiences worldwide.

COVID-19 Impact on the Digital Receipts Market:

The COVID-19 outbreak has significantly affected operations across key sectors, including manufacturing, logistics, hospitality, transportation, healthcare, and retail, while moderately impacting sectors such as IT and telecom, energy and utilities, government, education, and BFSI. The pandemic has accelerated the adoption of contactless and mobile payments. eWallets are experiencing increased traction for Peer-to-Peer (P2P) transfers, bill payments, and Customer-to-Business (C2B) payments for essential services due to lockdowns and reluctance to handle cash. However, some eWallet providers have raised their fees for merchants and consumers, leading to retailers refusing to accept their wallets for transactions.

The COVID-19 pandemic has significantly influenced the mobile money market, prompting consumers and businesses to alter their purchasing behaviors. There has been a notable surge in the adoption of mobile wallets, as contactless payments have become imperative for transactions. The avoidance of cash and card transactions to mitigate the spread of COVID-19 has prompted many users to experiment with mobile wallets. As the COVID-19 crisis persists, consumers increasingly rely on digital payments, rendering mobile money indispensable for every transaction.