Apple’s entrance into the soft POS realm will catalyse enormous market growth
A new study from Juniper Research estimates that the total number of merchants deploying Soft POS solutions globally will surpass 34.5 million by 2027, up from 6 million in 2022. The 475% growth will be enabled by Apple’s entrance into the market. The move allowed 1.2 billion iOS users to access an affordable mobile POS solution.
Soft POS technology enables NFC‑supporting smartphones or tablets to accept contactless payments without additional hardware. Thus, Apple’s decision to enable third parties to develop such solutions on iOS NFC capabilities will unlock a previously untapped market.
Besides increasing accessibility of Soft POS solutions, it will result in an influx of iOS-specific services. For instance, mobile POS vendors can leverage Apple’s payment ecosystem to develop innovative solutions such as integrated QR payments acceptance. Besides, third-party vendors may use Apple Pay and Pay Later compatibility to attract a broader iOS user base.
Furthermore, the research anticipates Soft POS adoption will grow due to the increasing use of contactless payments. They expect volumes to rise from 195 billion in 2022 to 408 billion by 2027.
The growth will have a profound impact on small-sum and mobile merchants that must accept contactless transactions but lack the need for high-cost dedicated terminals. Therefore, the research recommends mobile POS vendors target micro and mobile merchants; designing solutions that meet their unique needs.