Surge in Consumer Preferences for Non-Cash Payments Expected to Drive Russia Payment Services Market over the Forecast Period: Ken Research

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Payment system is a system used to settle financial transactions by the transfer of monetary value. Payment system includes institutions, people, rules, instruments, procedures, standards, and technologies which make it exchange possible. Its common type is known as operational network that links bank accounts and provides monetary exchange using bank deposits. It includes cash and non-cash payments. Non-cash payments includes payment cards, Point-of-sale (POS) Terminals segment and electronic-money (e-money) & acquiring side entailing ATM terminals.

POS is the place where customer makes a payment for services or products at store. E-money is a digital corresponding of cash, stored on an electronic device at a server. Additionally, ATM is an electronic finance outlet which allows customers to complete basic transactions without the help of a branch representative or teller.

According to study, “Russia Payment Services Market Outlook to 2025- Breaking New Grounds through Alternative Payment Systems such as Contactless Payments albeit Challenging Profitability of Incumbent Firms)” the key companies operating in the Russia payment services market are NCR Corporation, Nautilus Hyosung, Diebold Nixdorf, Lanit ATM, Oki, MultiCarta, Indemit, Ridgast, Ingenico, PAX, Verifone, Yandex.Money, WebMoney, QIWI, PayPal, VISA, NSPK, MasterCard, Alfa Bank, Sberbank, Rosan Finance, VTB 24, Alioth, Novacard, Yandex.Checkout, UnitPay, Robokassa, PayAnyWay, Payeer.

Based on component type, payment services market is segmented into hardware and software. Based on POS terminal type, market is segmented into fixed POS terminals and mobile POS terminals. Based on payment card type, market is segmented into single purpose prepaid card and multi-purpose prepaid card. Based on payment cardholder, market is segmented into legal & individual entities. Based on banking automated teller machines (ATMs), market is segmented into geographical location (federal districts wise) and transaction type (financial & non-financial). Based on payment aggregator, market is segmented into payment gateways, payment aggregators and particular instruments. Based on e-money payment mode, market is segmented into Near-field communication (NFC), Short Message Service (SMS), mobile billing, Wireless Application Protocol (WAP) and Unstructured Supplementary Service Data/ SIM Application Toolkit (USSD/STK). Based on purchase type, market is segmented into airtime transfers & top-ups, merchandise & coupons, money transfers & payments and travel & ticketing. Based on usage type, market is segmented into gift card, general purpose reloadable card, gift card, incentive or payroll card, government benefits or disbursement card, and others. In addition, based on industry vertical, market is segmented into corporate institutions, financial institutions, retail establishments, government, restaurants, healthcare, entertainment and others.

The payment services market is driven by rise in demand for cash alternatives, followed by prepaid-based remittance feature, rise in e-commerce & m-commerce industry, increase in penetration of smart-phones, surge in consumer preferences for non-cash payments and increase in number of internet users. However, prone to fraudulent attacks may impact the market. Moreover, increase in unbanked & under banked population and rise in demand for fast & hassle-free transaction services are key opportunities for market.

It is anticipated that future of the Russian payment services market will be bright owing to rise in disposable income, growth in need for secure, user-friendly, & convenient payment options and increase in number of government initiatives to promote digital economy over the forecast period.

Key Segments Covered

Russia Payment Services Market

By Cash and Non-Cash Payments

Russia Terminals Market (Banking ATMs)

By Transaction Type (Financial and Non-Financial)

By Geographical Location (Federal Districts wise)

Russia Terminals Market (POS Terminals)

By End-User (Retail, Delivery, Restaurant, Healthcare and Others)

By Type of Devices (Fixed and Mobile)

By Geographical Location (Federal Districts wise)

Russia Payment Cards Market

By Type of Cards (Debit and Credit Cards)

By Type of Cardholder (Individual and Legal Entities)

By Type of Transactions (Cash Withdrawals, Payment Transactions and Others)

Russia Payment Aggregators Market

By Type of Merchant Services (Payment Aggregator, Payment Gateways and Particular Instruments)

Time Period Captured in the Report:

Historical Period – 2013-2018

Forecast Period – 2018-2025

Companies Covered:

ATM Terminals Market

NCR Corporation

Diebold Nixdorf

Nautilus Hyosung

Oki

Indemit,

Lanit ATM,

MultiCarta

Ridgast

POS Terminals Market

Ingenico

Verifone

PAX

E-Money Operators

Yandex.Money

QIWI

WebMoney

PayPal

Payment Aggregators Market

Yandex.Checkout

Robokassa

UnitPay

Payeer

PayAnyWay

Payment Cards Market

VISA

MasterCard

NSPK,

Sberbank

Alfa Bank

VTB 24

Novacard

Rosan Finance

Alioth

Key Topics Covered in the Report

Demographic Analysis of Russia

Consumer Profile in Russia

Economic Analysis of Russia

Shadow Economy of Russia

Consumer Adaptability of Non-Cash Payments Russia

Payment Infrastructure of Non-Cash Payments Russia

Ken Research Framework of Payments Landscape

Cross Comparison of Russia with other developed, developing and emerging economies

Russia ATM Terminals Market Overview, Market Size and Introduction

Competitive Landscape of ATM Manufacturers and ATM Management Companies

Future Outlook on ATM Terminals industry by Number of ATM Terminals and Number of Transactions

Russia POS Terminals Market Overview, Genesis and Size

Competitive Landscape of POS Terminal Manufacturers including Market share and Company Profiles

Future Outlook of POS Terminals; By Installed base, Number of Transactions and By Type of Devices

Russia Payment Cards Market Overview, Genesis and Market Size

Card Holder Profile in Russia

Competitive Landscape of Issuers and Payment System Operators in Payment Cards Market

Snapshot on Card Manufacturing Companies

Future Outlook of Payment Cards Industry; By Number of Users, By Number of Cards in Circulation, By Type of Cards and By Type of Transactions

Russia E-Money Market Introduction, Overview and Genesis

Company Profile of Yandex.Money, QIWI, WebMoney and PayPal

Russia Payment Aggregator Market Introduction, Overview and Market Size

Competitive Landscape of Major Players

Company Profile of Yandex.Checkout, Robokassa, UnitPay, Payeer and PayAnyWay

Future Outlook of Russia Payment Aggregator Market

Analyst Recommendations for Russia Payment Services Market

Suggested Strategies to ensure Business Sustainability

For more information, refer to below link:

Russia Payment Services Market

Related Reports:

India Payment Services Market Research Forecast to 2023 - By Online Payments, M-PoS, IMPS, AePS, USSD-BHIM Transactions, UPI, M-Wallet, PoS Terminal, Payment Gateways, CUG Cards and Payment Security Segment

Russia Remittance and Bill Payments Market Outlook to 2023 – By Domestic Remittance Banking & Non Banking Channels; International Remittance Flow Corridors and Channel; and Bill Payment Segment

Contact Us:

Ken Research

Ankur Gupta, Head Marketing & Communications

Ankur@kenresearch.com

+91-9015378249

Russia Payment Services Market Research Report to 2025: Ken Research

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How Payment Services market is positioned in Russia?

Russia is located in Eastern Europe with an area of around 17,098,242 square km and is home to around 144.5 million populations, as at 31st December 2018. With around 63.2% smartphone penetration rate, the country has come a long way in developing the Payment Services infrastructure and adapting to the simultaneous change in customer payment preferences for non-cash payment services. As per our framework, Russia was observed at a ‘Converging’ stage in terms of its progression towards becoming cashless, ahead of economies such as India, Indonesia and Saudi Arabia while lagging behind United States and Australia. The Y-o-Y nominal GDP growth rate was observed to be 7.3% for the past six years with a simultaneous reduction in the share of Shadow Economy which stood at around RUB 12.7 Trillion as at 31st December 2018.

The number of non-cash transactions were recorded at ~ in 2018, an increase by CAGR of ~ during 2013-2018. The non-cash payments were dominated by Payment Cards owing to its easy availability and high number of users.

While the introduction of domestic payment system, MIR cards, usage of NFC Technology backed contactless payments are expected to reap benefits in terms of covering the unbanked population and increasing the usage of non-cash transactions, the competitive landscape is expected to become fiercer; thereby taking heavy toll on margins for every participant. A change in user’s demand for a ubiquitous payment resource that offers broader reach for payments is gaining traction, enabling incumbent firms to search for alternative strategies to remain profitable in the market. Introduction of white label schemes under different segments and simultaneous partnerships with Big Tech companies are some of the suggested strategies for the players in the payment services market.

Russia ATM Terminals market: Changing industry dynamics

The ATM terminals industry was characterized at a juncture, facing continuous innovation in terms of cash recyclers with white label scheme of operations and declining usage and reducing base of installed terminals. The number of installed ATM Terminals was observed to be ~ as at 31st December, which processed around ~ number of transactions in 2018. The annual volume of transaction per ATM terminal is continuously rising with a subsequent reduction in the average value of a transaction; highlighting the usage of ATM terminals for small value transactions as well.

Segmentation:

By Type of Transactions (Financial and Non-Financial): The demand for cash withdrawals transactions have fairly remained around ~ during study period. The increase in the usage of ATM terminals for non-financial transaction including bill payments has been on the rise, with a share of around ~% in 2018. The negligible commission charges for payment through ATM terminals make it a preferred mode for payment by the users.

By Geographical Location:

The installation of ATM terminals is highly dependent on the population density and area of the region. the trade-off between cost of installation and the expected revenue influences the location of installation of the terminal. While Central Federal district leads the segmentation with ~ % share, regions such as Urals and Southern Federal district have less number of ATM terminals per 1,000 populations.

Competitive Landscape:

ATM Manufactuers: A concentrated industry space with 4 major players competing on the basis of price, quality, level of innovation, after sales services through tie-up with ATM Management Company and other parameters.

ATM Management Company: A highly fragmented market space with partnerships in different segments being the core business model. The firms majorly compete on prices of FLM and SLM, SLA, partner manufacturer supported, geographical areas supported and others.

Snapshot on Cash Management Companies:

There are majorly 3 players operating in the industry supporting management of cash-in-transit. Such companies have partnered with installing entities and ATM management service providers to get contracts. A slow growth in cash-in-transit management is expected owing to the reducing usage of ATM Terminals for cash withdrawal transactions.

Future Outlook:

The numbers of ATM terminals located in Russia are expected to reach ~ by 2025E. This would be majorly led by the rising profitability concerns of the installing entities owing to the decrease in the usage of cash by the customer. Introduction of cash recyclers and implementation of White Label Scheme by ATM management companies could change the industry dynamics.

Russia POS Termimals Market: Shaping the Future

The POS Terminals segment forms a major part of the acquiring business for credit organizations. The number of POS terminals as at 31st December 2018, stood at ~ facilitating the processing of around ~ number of transactions. A higher commission charge is detrimental to the increasing installed base of POS terminals by the small turnover merchants, which lends much space for the new entrant to ease the pain-point and gain high market share in less time frame. Although the demand of Mobile POS devices is rising, much innovation in POS Terminals in terms of contactless, supporting e-wallet and contactless payment transactions is expected in the coming years. The introduction of white label scheme with lower commission charges could be the new business model for the players operating in the industry.

Key Segments Covered

Russia Payment Services Market

By Cash and Non-Cash Payments

Russia Terminals Market (Banking ATMs)

By Transaction Type (Financial and Non-Financial)

By Geographical Location (Federal Districts wise)

Russia Terminals Market (POS Terminals)

By End-User (Retail, Delivery, Restaurant, Healthcare and Others)

By Type of Devices (Fixed and Mobile)

By Geographical Location (Federal Districts wise)

Russia Payment Cards Market

By Type of Cards (Debit and Credit Cards)

By Type of Cardholder (Individual and Legal Entities)

By Type of Transactions (Cash Withdrawals, Payment Transactions and Others)

Russia Payment Aggregators Market

By Type of Merchant Services (Payment Aggregator, Payment Gateways and Particular Instruments)

Time Period Captured in the Report:

Historical Period – 2013-2018

Forecast Period – 2018-2025

Companies Covered:

ATM Terminals Market

NCR Corporation

Diebold Nixdorf

Nautilus Hyosung

Oki

Indemit,

Lanit ATM,

MultiCarta

Ridgast

POS Terminals Market

Ingenico

Verifone

PAX

E-Money Operators

Yandex.Money

QIWI

WebMoney

PayPal

Payment Aggregators Market

Yandex.Checkout

Robokassa

UnitPay

Payeer

PayAnyWay

Payment Cards Market

VISA

MasterCard

NSPK,

Sberbank

Alfa Bank

VTB 24

Novacard

Rosan Finance

Alioth

Key Topics Covered in the Report

Demographic Analysis of Russia

Consumer Profile in Russia

Economic Analysis of Russia

Shadow Economy of Russia

Consumer Adaptability of Non-Cash Payments Russia

Payment Infrastructure of Non-Cash Payments Russia

Ken Research Framework of Payments Landscape

Cross Comparison of Russia with other developed, developing and emerging economies

Russia ATM Terminals Market Overview, Market Size and Introduction

Competitive Landscape of ATM Manufacturers and ATM Management Companies

Future Outlook on ATM Terminals industry by Number of ATM Terminals and Number of Transactions

Russia POS Terminals Market Overview, Genesis and Size

Competitive Landscape of POS Terminal Manufacturers including Market share and Company Profiles

Future Outlook of POS Terminals; By Installed base, Number of Transactions and By Type of Devices

Russia Payment Cards Market Overview, Genesis and Market Size

Card Holder Profile in Russia

Competitive Landscape of Issuers and Payment System Operators in Payment Cards Market

Snapshot on Card Manufacturing Companies

Future Outlook of Payment Cards Industry; By Number of Users, By Number of Cards in Circulation, By Type of Cards and By Type of Transactions

Russia E-Money Market Introduction, Overview and Genesis

Company Profile of Yandex.Money, QIWI, WebMoney and PayPal

Russia Payment Aggregator Market Introduction, Overview and Market Size

Competitive Landscape of Major Players

Company Profile of Yandex.Checkout, Robokassa, UnitPay, Payeer and PayAnyWay

Future Outlook of Russia Payment Aggregator Market

Analyst Recommendations for Russia Payment Services Market

Suggested Strategies to ensure Business Sustainability

For more information, refer to below link:

Russia Payment Services Market

Related Reports:

India Payment Services Market Research Forecast to 2023 - By Online Payments, M-PoS, IMPS, AePS, USSD-BHIM Transactions, UPI, M-Wallet, PoS Terminal, Payment Gateways, CUG Cards and Payment Security Segment

Russia Remittance and Bill Payments Market Outlook to 2023 – By Domestic Remittance Banking & Non Banking Channels; International Remittance Flow Corridors and Channel; and Bill Payment Segment

Indonesia Domestic and International Remittance Market Outlook to 2023 - By Inbound & Outbound Remittance, By Banking and Non-Banking Channel, By Income Level Group and By Inflow and Outflow Remittance Corridors

Contact Us:

Ken Research

Ankur Gupta, Head Marketing & Communications

sales@kenresearch.com

+91-9015378249