Global Virtual Cards Market To Grow At 20.9% CAGR From 2023 To 2030: Research

The global virtual cards market, valued at USD 13.31 billion in 2022, is poised for significant expansion with a projected compound annual growth rate (CAGR) of 20.9 per cent from 2023 to 2030, as per Grand View Research. The surge in digital transactions worldwide is expected to fuel the demand for diverse virtual card offerings, contributing to the market's robust growth.

In the ever-evolving payments landscape of the past five years, consumer awareness regarding securing digital financial footprints has surged. Mohan K, Founder and CEO, IppoPay, which provides Payment Infrastructure to small businesses to collect and distribute payments, says, "Virtual prepaid cards are playing a pivotal role in changing the way people use their money for online purchases. One of the best examples is the PayZapp wallet, which provides users with virtual prepaid cards and allows them to link all their debit and credit cards to the app. Whenever someone wants to pay for an online transaction, they can use this virtual prepaid card for payment, which also helps keep their credit card, debit card or net banking information safe from exposure to the online world.”

Notably, a MasterCard Payment Index report from May 2021 revealed that 93 per cent of surveyed consumers favoured emerging payment trends like biometrics, digital currencies, QR codes and contactless payments. In response to evolving consumer preferences, payment providers are actively rolling out a variety of pay and shop solutions.
 
Also, the growing adoption of smartphones globally is emerging as one of the major factors propelling the adoption of virtual cards. Innovative technological advancements such as 5G are being integrated progressively within smartphones that offer users better customer satisfaction, thereby accentuating the market growth, suggested Grand View Research. “To sum up, virtual prepaid cards have the potential to transform the payment landscape in India. They provide a secure, convenient and easily accessible payment solution for the digital age. As technology continues to advance and more people adopt this payment method, virtual cards are expected to play a more significant role in shaping the future of payments in India,” concludes Mohan.