Analysis of the market of operators for accepting payments from individuals in India
The relevance of research
The market for payment services for individuals is rapidly transforming. In recent years, this market has undergone tremendous changes - new participants have appeared and continue to appear, new payment technologies and tools are being created that significantly expand the possibilities for making payments to individuals.
Purpose of the study
Analysis of the state of the market of operators for accepting payments from individuals in India, assessing the size of the market, analyzing competitors, as well as determining the factors affecting the market for operators for accepting payments from individuals
Content
Part 1. Overview of the Indian market of payment processors for individuals
1.1. Definition and characteristics of the Indian market of payment processors for individuals
1.2. Dynamics of the market volume of the Indian market of operators for accepting payments from individuals, 2017–2021
1.3. Market structure by type of service provided in India
1.4. The structure of the market of operators for accepting payments from individuals in the Union Territories
1.5. Assessment of current trends and development prospects of the studied market
1.6. Assessment of factors affecting the market
1.7. Analysis of sectoral indicators of financial and economic activity
Part 2. Competitive analysis in the market
2.1. Major players in the market
2.2. Market shares of the largest competitors
2.3. Profiles of major players
Part 3. Analysis of the consumption of operators for accepting payments from individuals
3.1. Assessment of the volume of consumption of operators for accepting payments from individuals per capita
3.2. Market Saturation and Estimated Market Potential in India
3.3. Description of consumer preferences
3.4. Price analysis
Part 4. Assessment of factors of investment attractiveness of the market
Part 5. Forecast for the development of the market of operators for accepting payments from individuals until 2026
Part 6. Conclusions on the prospects of creating enterprises in the study area and recommendations for current market operators
Research excerpt
Part 1. Overview of the Indian market of payment processors for individuals
1.1. Definition and characteristics of the Indian market of payment processors for individuals
...
1.2. Dynamics of the market volume of the Indian market of operators for accepting payments from individuals, 2017–2021
For the analyzed period 2017-2021. the volume of the Indian market of operators accepting payments from individuals increased by more than … from … billion Rs. up to … billion Rs. in 2021
Diagram 1. Dynamics of the market volume of operators for accepting payments from individuals, 2017–2021, billion Rs.
In 2018 the market volume was equal to … billion Rs. (growth rate compared to 2017 – …%).
The volume of the market of operators for accepting payments from individuals in India in 2019 amounted to … billion Rs., it increased by …% compared to 2018.
Influenced by the COVID-19 pandemic in 2020 market growth rate...
The slowdown in market growth is, firstly, influenced by …
Secondly, the change in the structure of the market has an impact, if in 2017. services for accepting payments prevailed ..., and in second place was ...
Thirdly, since the share of utility bills has become overwhelming, then, as a result, the market volume has become more influenced by ...
On the other hand, it should be noted that the amount of total payments for utilities for a certain period is significantly ...
Driven by the annual rise in utility prices, the market of retail payment processors … unlike many industries and the Indian economy as a whole, which are in times of crisis in …
1.3. Market structure by type of service provided in India
We will analyze the structure of the market of operators for accepting payments from individuals by type of services provided at the end of 2021. In the market structure, the largest share is occupied by services for receiving payments for payment of …, their share is …%.
Diagram 2. Market structure of operators for accepting payments from individuals by types of services provided, India, 2021, %
The second place is occupied by the services of accepting payments for payment for services …, which account for …% of the Indian market.
The third place is occupied by services for receiving payments for payment of …, their share in the market structure is …%.
Payment acceptance services for payment for other goods and services account for …%.
1.4. The structure of the market of operators for accepting payments from individuals in the Union Territories
Let us consider the structure of the market of operators for accepting payments from individuals in the context of the federal districts of India.
It can be noted a significant share of ... Union Territories, according to the results of 2021. amounted to …%. The second place is occupied by … the Union Territories with a share of …%, the third place is occupied by …
The fourth position is...
1.5. Assessment of current trends and development prospects of the studied market
Key trends in the market of operators for accepting payments from individuals:
...
Prospects for the development of the market of operators for accepting payments from individuals:
...
1.6. Assessment of factors affecting the market
- Economic forces
GDP
GDP is a determining factor in the development of the country's economy, it forms the main trends in economic activity, including in the market under study.
From 2012 to 2014 GDP growth was …, after the 2014 crisis. GDP growth rate in 2015 became …
In 2016-2019 there was an increase in GDP growth rates within …% year-on-year.
According to Rosstat, the decline in India's gross domestic product in 2020 amounted to …%. The Government of India predicted a decrease by …%. GDP decline by …% in 2020 due to the imposed restrictive measures aimed at combating ...
According to Rosstat in 2021. GDP growth amounted to …% compared to 2020.
According to the forecast of the HSE Development Center, the decline in GDP in 2022 will be will be …%.
India's Ministry of Economic Development predicts...
...
- Social factors
- ...
- Technological factors
- ...
- Political factors
- ...
STEP-analysis of the market of operators for accepting payments from individuals
Let's analyze the influence of the above factors in the framework of the STEP-analysis.
Table 2. STEP-analysis of factors affecting the market of operators for accepting payments from individuals
Macro-environment factors have both a positive and a negative impact on the market of operators for accepting payments from individuals, however, they have a decisive influence ...
These economic factors...
Political factors as government support measures…
Social factors have...
Technological factors require...
1.7. Analysis of sectoral indicators of financial and economic activity
Let's consider the financial and economic indicators of the industry of operators for accepting payments from individuals, compare them with the situation in the Indian economy (with dynamics in all industries).
At the end of 2021 Gross profitability of the industry of operators accepting payments from individuals in India amounted to …%, which is at the level of … the same financial indicator for the Indian economy as a whole by … p.p.
The profit margin before tax in the industry of payment processors in India was ... relative to the profit margin before tax of all sectors of the Indian economy in 2018, 2020. and in 2021, in other years – …
In 2021 the industry's pre-tax profit margin was slightly … compared to all sectors of the Indian economy … p.p. and was equal to …%. Profit is one of the main sources of industry development, along with borrowed funds.
The value of the current liquidity ratio throughout the analyzed period was ... of the ""2"" standard, which indicates ...
In 2021 the current liquidity ratio was ...
For Indian companies, the normative value of the absolute liquidity ratio is within …
In the industry of accepting payments by individuals for the period under review 2017-2021. the indicator of absolute liquidity was ... normative and absolute liquidity of all sectors of the Indian economy.
Compared to 2017 average term of receivables turnover in 2021 decreased by … day days. Compared to 2020 – increased by … day days, which is a … factor.
Financial stability is the provision of industry enterprises with their own working capital.
In 2017-2018 and in 2020 the indicator for the sector of acceptance of payments by individuals by operators was … the minimum allowable standard value (…%). In 2019 and 2021 - ... standard.
At the end of 2021 the indicator testifies to … own working capital in the industry necessary for its financial stability (…%).
In general, the analysis of sectoral financial ratios shows …
Part 2. Competitive analysis in the market
2.1. Major players in the market
The largest players in the market for accepting payments by individuals are presented in the table.
2.2. Market shares of the largest competitors
Let's calculate the market shares in value terms of the largest TOP-5 competitors of the market of operators for accepting payments from individuals.
The top-5 companies of the market occupy …% in the structure of the market of operators accepting payments from individuals in monetary terms.
The leading players are:
- - … (…%);
- - ...
Diagram 13. Shares of the largest competitors in the market of operators for accepting payments from individuals in 2021, %
Other companies account for …% of the market.
2.3. Profiles of major players
OOO “…” was formed…
Table 6. Basic information about participant No. 1 of the market of operators for accepting payments from individuals
...
During the analyzed period, the revenue of TOP-5 companies increased ...
At the end of 2021 the total revenue of the five largest operators accepting payments from individuals amounted to … billion Rs.
Part 3. Analysis of the consumption of operators for accepting payments from individuals
3.1. Assessment of the volume of consumption of operators for accepting payments from individuals per capita
In 2017 the volume of per capita consumption of the services of operators for receiving payments from individuals in monetary terms amounted to … Rs./person. In 2018 there was an increase in consumption per capita to … Rs./person (growth rate …%), the increase was associated with an increase in the number of …
The volume of consumption of services of operators for accepting payments from individuals in India per capita in 2019 amounted to … Rs./person, it increased by …% compared to 2018.
At the end of 2020 growth rate of per capita consumption...
3.2. Market Saturation and Estimated Market Potential in India
Potential market capacity is an indicator in marketing that shows the limit of the market, its potential maximum. Potential market capacity…
...
The potential capacity of the Indian market of operators for accepting payments from individuals in value terms is ... in 2021 prices.
...
3.3. Description of consumer preferences
During the analyzed period, there were changes in consumer preferences in paying for goods and services through operators accepting payments from individuals. The volume of payments through payment agents for 2017-2021 … if in 2017. the volume of payments was ..., then in 2021. – … billion Rs. This is due to the change...
Currently, in addition to payments through the operators of the studied market, individual customers can make payments through …
Diagram 16. The volume of payments of individuals accepted by operators - payment agents, India, 2017, 2021, billion Rs.
In connection with the development of online payments, there has been not only a change in the volume of accepted payments, but also a change in the structure of the market of operators for …
2017nd largest in 2021 was the … segment, which accounted for …%, in . this segment increased to …%.
It should be noted, however, that in 2017 …% of cash was accepted through …
3.4. Price analysis
The highest consumer price index in the market of operators for accepting payments from individuals was observed in 2018, it amounted to …%.
For the last two years, the consumer price index of the studied market was at the level of …%–…%. For Jan.-Apr. 2022 the index amounted to …%.
Average prices (commission) of operators in the union territories of India in 2021 presented in the table.
The lowest prices (commission) of operators for accepting payments from individuals were observed in … and … federal districts, following the results of 2021. commission in these Union Territories amounted to …%.
The highest commission is in the … federal district – ...%.
Part 4. Assessment of factors of investment attractiveness of the market
…
Part 5. Forecast for the development of the market of operators for accepting payments from individuals until 2026
…
Part 6. Conclusions on the prospects of creating enterprises in the study area and recommendations for current market operators
…
Diagrams
Diagram 1. Dynamics of the market volume of operators for accepting payments from individuals, 2017–2021, billion Rs.
Diagram 2. Market structure of operators for accepting payments from individuals by types of services provided, India, 2021, %
Diagram 3. Market structure of operators for accepting payments from individuals by Union Territories, India, 2021, %
Diagram 4. Dynamics of India's GDP, 2012–2021, % to the previous year
Chart 5. Dynamics of the average exchange rate of the US dollar against the rupee, 2017 - available period 2022, Rs. for 1 USD
Diagram 6. Population dynamics in India, as of 01 Jan. 2012–2022, million people
Chart 7. Population forecast in India for the period 2022-2024, million people
Diagram 8. Dynamics of real disposable income of the population, India, 2014-2021, % to the previous year
Diagram 9. Profitability before tax, 2017–2021, %
Diagram 10. Current liquidity (total coverage), 2017-2021, times
Diagram 11. Business activity (average period of receivables turnover), 2017-2021, days days
Diagram 12. Financial stability (security of own working capital), 2017-2021, %
Diagram 13. Shares of the largest competitors in the market of operators for accepting payments from individuals in 2021, %
Diagram 14. Dynamics of the total revenue of the largest companies in the market of operators for accepting payments from individuals (TOP-5) in India, 2017–2021
Chart 15. Volume of consumption of services of operators for receiving payments from individuals per capita, 2017–2021, Rs./person
Diagram 16. The volume of payments of individuals accepted by operators - payment agents, India, 2017, 2021, billion Rs.
Chart 17. Consumer preferences for paying for services and goods through retail payment processors, India, 2017, 2021
Chart 18. Consumer price indices in the market of retail payment processors, India, 2017-2022 (available period), %
Tables
Table 1. Urban and rural population in India in 2014-2021 (as of January 1), million people, %
Table 2. STEP-analysis of factors affecting the market of operators for accepting payments from individuals
Table 3. Gross margin of the industry of operators for accepting payments of individuals in comparison with all sectors of the Indian economy, 2017-2021, %
Table 4. Absolute liquidity of the industry of operators for accepting payments from individuals in comparison with all sectors of the Indian economy, 2017-2021, times
Table 5. Main companies participating in the market of operators for accepting payments from individuals in 2021
Table 6. Basic information about participant No. 1 of the market of operators for accepting payments from individuals
Table 7. Basic information about participant No. 2 of the market of operators for accepting payments from individuals
Table 8. Basic information about participant No. 3 of the market of operators for accepting payments from individuals
Table 9. Basic information about participant No. 4 of the market of operators for accepting payments from individuals
Table 10. Basic information about participant No. 5 of the market of operators for accepting payments from individuals
Table 11. Average prices (commission) in the market of operators for accepting payments from individuals in the Union Territories, 2021, %
Table 12. Assessment of factors of investment attractiveness of the market of operators for accepting payments from individuals
Table 13. Forecast of the size of the market of operators for accepting payments from individuals in 2022–2026, billion Rs.
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