The US will be the single largest digital bill payment and presentment market throughout the next 5 years
Global transaction value of digital bill payment and presentment to exceed $2T. Source: pexels.com
According to Juniper Research, the global transaction value of digital bill payment and presentment will exceed $2 trillion by the end of 2021, from $1.9 trillion in 2020.
The research has unveiled that digital bill payment and presentment are accessed and paid digitally, primarily through mobile banking apps.
This steady growth represents the increasing maturity of the market, which is struggling for new user adoption.
In fact, while digital bill payment is well established with traditional banks, digital banks are expected to increasingly expand their presently limited offerings to mirror these capabilities, aiming to broaden their revenue streams.
As such, digital billing services will need to prioritise partnerships with these digital-only banks, in order to access the best sources of future user growth, Juniper Research suggests.
The new research found that smartphone-based digital bill payment and presentment will account for 51% of total digital bill payments in 2021, rising to almost 57% in 2026; displacing online management via browsers.
Along with that, the report identified the ubiquity of banking apps, with the new API opportunities unlocked via open banking being critical to expanding billing reach into a much broader market; widening this ecosystem significantly.
We’ve reported that TrueLayer launches its open banking platform in Australia.
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