Fintech-as-a-Service Platform Market Size, Share, Growth, and Forecast Report 2030
The global fintech-as-a-service platform market is expected to be worth approximately USD 232.17 billion in 2021 and approximately USD 949 billion by 2028, with an approximate 17% compound annual growth rate (CAGR) between 2022 and 2028.
Over the forecast period, the report investigates the drivers, restraints/challenges, and impact on demand in the global fintech-as-a-service platform market. Furthermore, the report investigates new opportunities in the fintech-as-a-service platform market.
Overview of the Fintech-as-a-Service Platform Market
Fintech is a term used to describe the technology-driven segment of the finance-related industries. It improves the customer experience by automating financial transaction processes, resulting in simpler operations for the end user. Fintech is more widely used than we realise because it has changed the way financial transactions are handled. Fintech-as-a-service refers to the provision of financial technology as a service with the ultimate goal of resolving customer issues as quickly and efficiently as possible. Akurateco, a white-label payment gateway, for example, provides a “Cashier platform” that enables merchants from various industries to access multiple payment solutions through a single integration.
There are numerous benefits to using fintech-as-a-service platforms. These platforms do not require any maintenance. Because this is a service platform, there is no need for the user to pay for these services. It is the vendor’s responsibility to ensure that the process runs smoothly. The services have been shown to reduce processing costs by at least 50% because users can route transactions through multiple payment service providers and choose the lowest rates from a stack of providers. Because of the increased demand for data and transactional security, many fintech-as-a-service platforms offer excellent fraud and chargeback prevention. This is one of the most important aspects of these services, which are constantly attracting customers and building a larger user database in such a short period of time.
Fintech-as-a-Service Platform Market: Growth Drivers
Increasing investments in the banking sector to improve customer experience will drive market growth.
Increased investment in the banking and finance sectors to upgrade and improve customer experience will drive growth in the global fintech-as-a-service platform market. Almost all sectors in today’s digital world have seen rapid technological advancements as a result of leveraging technology’s benefits in easing operations while also providing excellent business output results. Banks and other financial institutions have been around for decades, but they have only recently undergone a technological revolution as a result of increased customer demand for user-friendly service approaches.
Fintech-as-a-Service Platform Market: Segmentation
The global fintech-as-a-service platform market is divided into technology, end-use, type, application, and region.
In terms of technology, the two most important global market segments are artificial intelligence and blockchain. Major players are increasingly utilising blockchain technology. Because of its increased use by large-scale enterprises, blockchain technology will account for more than 28% of the global market in 2021. The benefits of blockchain are expected to drive segmental growth during the forecast period.
Investment banking, retail banking, insurance, stock trading firms, hedge funds, and other end-use global market segments are examples. Insurance accounted for more than 30% of global market revenue in 2015 due to the large number of applications for insurance companies to handle claim processing and risk assessment.
The global market is divided into the following categories: funds transfer, payments, personal loans, personal finance, and others. In 202, payments accounted for approximately 40.20% of global market revenue, aided by the use of AI technology and mobile-based payment methods rather than traditional banking.
The global market segments are compliance and regulatory, KYC verification, and fraud monitoring. In 2021, compliance and regulatory support will account for 31.9% of global market revenue, driven by an increase in online customer support provided by financial institutions to improve customer service and streamline operations.
Fintech-as-a-Service Platform Market: Competitive Analysis
The global fintech-as-a-service platform market is dominated by players like Mastercard Incorporated, Rapyd Financial Network, PayPal Holdings, Inc., Solid Financial Technologies, Inc., Railsbank Technology Ltd., Block, Inc., Synctera Inc., Upstart Holdings, Inc., Envestnet, Inc., and Braintree
The global fintech-as-a-service platform market is segmented as follows:
Stock Trading Firms
Compliance and Regulatory Support
Rest of Europe
Rest of Asia Pacific
Rest of Latin America
Middle East Africa
Rest of Middle East Africa
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