“Global Mobile Banking Market to reach a market value of USD 5.7 Billion by 2031 growing at a CAGR of 16.5%”
The Global Mobile Banking Market size is expected to reach $5.7 billion by 2031, rising at a market growth of 16.5% CAGR during the forecast period.
The banking sector in Europe is undergoing a digital transformation driven by technological advancements, changing consumer preferences, and regulatory initiatives such as the Revised Payment Services Directive (PSD2). Consequently, the Europe region would acquire nearly, 30% market share by 2031. Banks and financial institutions are investing in digital banking solutions, including banking apps, to meet the growing demand for convenient, accessible, and innovative banking services.
The major strategies followed by the market participants are Acquisitions as the key developmental strategy to keep pace with the changing demands of end users. For instance, in February, 2024, HSBC announced the acquisition of Silicon Valley Bank's UK subsidiary. The acquisition strengthens HSBC's commercial banking franchise and enhances its ability to serve innovative and fast-growing firms, particularly in the technology and life science sectors, in the UK and globally. Moreover, in July, 2023, BNP Paribas announced the acquisition of Kantox, a leading fintech specializing in the automation of currency risk management. The acquisition is part of BNP Paribas' Growth Technology Sustainability 2025 plan, aiming to enhance technological innovations, customer experience, and capabilities for clients.
Based on the Analysis presented in the KBV Cardinal matrix; JPMorgan Chase & Co. is the forerunner in the Market. In May, 2023, JP Morgan Chase acquired California-based First Republic Bank. The acquisition complements JPMorgan Chase's wealth strategy. Companies such as HSBC Holdings plc, Wells Fargo & Company and BNP Paribas S.A. are some of the key innovators in Market.
With people leading increasingly busy lives, there is a growing preference for services that can be accessed anytime, anywhere. Moreover, this banking eliminates the need for customers to visit physical bank branches or ATMs for routine transactions. Therefore, increasing demand for convenient products and services drives the market’s growth.
Traditional brick-and-mortar bank branches require substantial investments in real estate, construction, maintenance, and staffing. Furthermore, this banking streamlines various banking processes, such as account management, transaction processing, and customer support. Thus, cost efficiency for banks and consumers is propelling the market’s growth.
This banking involves transmitting sensitive financial information over networks, which can make it vulnerable to data breaches and hacking attempts. Likewise, mobile devices are susceptible to malware infections and other malicious software that can compromise the security of banking applications. Hence, security concerns related to this banking are impeding the market’s growth.
Based on platform, the market is divided into Android, iOS, and others. The iOS segment attained a 25% revenue share in the market in 2023. iOS devices like iPhones and iPads are generally associated with a more affluent user base. Users of iOS devices often have higher disposable incomes and greater purchasing power, making them attractive customers for financial institutions offering premium banking services and products.
On the basis of transaction, the market is segmented into consumer-to-business and consumer-to-consumer. In 2023, the consumer-to-consumer segment attained a 20% revenue share in the market. The availability of peer-to-peer (P2P) payment apps integrated into banking platforms has significantly contributed to the growth of the C2C segment. These apps enable users to transfer funds directly to friends, family members, or acquaintances using their mobile devices, eliminating the need for cash or checks.
Free Valuable Insights: Global Mobile Banking Market size to reach USD 5.7 Billion by 2031
Region-wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The North America region witnessed 34% revenue share in the market in 2023. North America has one of the highest smartphone penetration rates globally, with a significant portion of the population owning smartphones. The widespread adoption of smartphones provides a robust foundation for banking usage, as consumers increasingly rely on their mobile devices for various activities, including banking.
The market is fiercely competitive, with traditional banks, fintech firms, and tech giants battling for supremacy. Innovations like mobile check deposits and AI-driven services are key battlegrounds. Strong emphasis on security, user experience, regulatory compliance, and global expansion define strategies in this dynamic and rapidly evolving industry.
| Report Attribute | Details |
|---|---|
| Market size value in 2023 | USD 1.7 Billion |
| Market size forecast in 2031 | USD 5.7 Billion |
| Base Year | 2023 |
| Historical Period | 2020 to 2022 |
| Forecast Period | 2024 to 2031 |
| Revenue Growth Rate | CAGR of 16.5% from 2024 to 2031 |
| Number of Pages | 157 |
| Number of Tables | 253 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Competitive Landscape, Porter’s 5 Forces Analysis, Company Profiling, Companies Strategic Developments, SWOT Analysis, Winning Imperatives |
| Segments covered | Platform, Transaction, Region |
| Country scope |
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| Companies Included | Mitsubishi UFJ Financial Group, Inc. (Mitsubishi group), JPMorgan Chase & Co., Wells Fargo & Company, BNP Paribas S.A., American Express Company, HSBC Holdings plc, UBS AG (UBS Group AG), CAPITAL ONE FINANCIAL CORPORATION, The Bank of America Corporation and Citigroup Inc. |
By Platform
By Transaction
By Geography
This Market size is expected to reach $5.7 billion by 2031.
Increasing demand for convenient products and services are driving the Market in coming years, however, Security concerns related to mobile banking restraints the growth of the Market.
Mitsubishi UFJ Financial Group, Inc. (Mitsubishi group), JPMorgan Chase & Co., Wells Fargo & Company, BNP Paribas S.A., American Express Company, HSBC Holdings plc, UBS AG (UBS Group AG), CAPITAL ONE FINANCIAL CORPORATION, The Bank of America Corporation and Citigroup Inc.
The expected CAGR of this Market is 16.5% from 2024 to 2031.
The Android segment led the Market by Platform in 2023; there by, achieving a market value of $3.7 Billion by 2031.
The North America region dominated the Market by Region in 2023, and would continue to be a dominant market till 2031; there by, achieving a market value of $1.8 Billion by 2031.
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